Federal Acquisition Regulation
Insurance
FAR 35.013
Nonprofit, educational, or State institutions performing cost-reimbursement contracts often do not carry insurance. They may claim immunity from liability for torts, or, as State institutions, they may be prohibited by State law from expending funds for insurance. When this is the case, see Solicitation provision and contract clause on liability insurance under cost-reimbursement contracts (FAR 28.311) for appropriate clause coverage.
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