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Pages 19-22

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From page 19...
... 19 contractor of the project. The package typically includes CGL, worker's compensation, and every other type of insurance that may be needed for a particular project.
From page 20...
... 20 vehicle hydroplaned in a rainstorm and struck a parked dump truck. Plaintiffs alleged that the Texas Department of Transportation's (TxDOT)
From page 21...
... 21 the contractor to be in breach of its contract if insurance was not in place, and all of the state specifications require insurance to be in place before the project begins. Each specification further provides that the contractor will be in breach of the contract if insurance lapses without a replacement.
From page 22...
... 22 If an insured does not respond to the reservation of rights letter, the lack of response can be construed as consent to the reservation.77 If the agency is not satisfied with the conditions set out in the reservation of rights letter, it can hire its own counsel to defend it and pursue the insurance company for costs, or file a declaratory action against the insurance company demanding that the court determine whether or not coverage exists. While the costs of these actions should be recoverable by the agency if it is determined that the carrier should have provided a defense and did not, those options take time and resources away from the defense of the claim.

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