Supply Agreement Insurance

Once the insurance certificate is received, the contracting procurement and services team updates the list of suppliers to the university`s financial system, the Kuali Financial System (KFS). KFS does not authorize the submission of an application if a remedy is provided, if the supplier`s insurance is missing or out of date. The supplier`s insurance certificate must be submitted to the UC Davis Procurement and Contracting Services Department before work begins. An insurance certificate is a document issued by insurance agencies as proof of insurance coverage. If the supplier does not provide an insurance certificate on request, there are significant delays in processing orders. The contract can also determine the corrective measures and damages you have. For example, an exclusive supplier contract may allow you to establish a relationship with another supplier if the broken supplier does not meet the minimum purchase/delivery quantities. Check insurance requirements and indemnification clauses with suppliers and customers. Many customers and providers carry out insurance policies that can reduce the financial losses you suffer as a result of your COVID-19 violations or performance issues.

In fact, the contract may require them to maintain insurance coverage. The nature and amount of contract insurance coverage generally depends on the nature of the parties and the contract itself. If some insurance associations are general and require only « sufficient insurance coverage, » other types and amounts of insurance coverage could be indicated, such as. B as general business liability, work allowance or roof insurance. Similarly, the contract may require a supplier or customer to compensate you if they violate your obligations to third parties. As COVID-19 continues to have a negative impact on supply chains, the parties should carefully review their contracts and consult with the Commission in the event of uncertainty. This page contains some basic information on how insurance requirements are being processed. As the closure of businesses in the context of the COVID 19 crisis continues to wreak havoc on supply chains around the world, companies responding to supply chain disruptions will find that their obligations, rights and remedial actions depend heavily on a particular language in their contracts.