The Motor Carrier Contingent Liability (CL) Coverage protects the Motor Carrier in the event an Independent Contractor or Contract Driver is declared to be a statutory employee of the Motor Carrier by a Workers' Compensation board, governmental agency or a court of competent jurisdiction.  The CL plan will reimburse the Motor Carrier, or pay on behalf of the Motor Carrier, for benefits it pays under the Workers' Compensation Law for an Independent Contractor or Contract Driver deemed to be an employee by a court.

The CL coverage is only available to Motor Carriers who have their Independent Contractors or Contract Drivers insured under one of our Occupational Accident Policies.

Unless prohibited by the Motor Carrier's Workers' Compensation carrier, or applicable state law, the insurance company has a right and duty to defend the Motor Carrier against any claim, proceeding or suit involving an Independent Contractor or Contract Driver seeking benefits or damages covered by the policy.  If the insurance company elects to join in the defense of a claim, proceeding or suit being defended by the Motor Carrier's Workers' Compensation carrier, it will pay all expenses in incurs.  The insurance company reserves the right to investigate and settle any claim or suit that may result.  The right and duty to defend will end when the applicable limit of insurance in the payment of judgments or settlements has been fully utilized.