§443 Risk management

Summary

Sellers who provide approved anti-terrorism technology to federal or non-federal government customers must buy liability insurance in the types and amounts the Secretary requires and certifies. That insurance must cover third-party claims that come from a terrorist act when the technology was used to defend against, respond to, or recover from that act. The seller does not have to buy more insurance than the maximum reasonably available from private sources on the world market at prices and terms that will not unreasonably change the product’s sale price. The insurance must protect the seller and others involved in making, selling, or using the technology, such as contractors, subcontractors, suppliers, vendors, and customers. The seller must also sign agreements with those parties saying each will cover its own losses, including business interruption and employee losses. Any legal liability for these claims cannot exceed the insurance limits the seller is required to carry.