All About Defense Base Act

The Defense Base Act was created in the year 1941

, and the federal worker's compensation program was extended to harbor and long shore workers.Initially, the extension was for people who were working on the American military bases abroad. Then, there was expansion to various federal contractors who worked outside the United States. According to the Defense Base Act Law, worker's compensation insurance is provided to the employees working outside the United States by contractors and subcontractors of the federal government.


Under the provisions of the DBA, overseas federal public and military works contractors are subject to same rules of worker's compensation rules just like the maritime employers who are subject to LHCWA, i.e. the Longshore Harbor Workers' Compensation Act. The schedules of benefits and requirements of insurance are the same, and the same rules and laws of LHCWA are applicable.


The Defense Base Act makes provision of full coverage to workers who are injured. If the workers are injured, or if there are survivors of workers who were killed on job, they get benefits for deaths, illnesses and injuries related to employment. This is the best remedy against employers, and it means that employers cannot be sued due to injuries. However, third party lawsuits can be brought by the employees of DBA against entities or people other than employers. If serious injuries are caused by entities except employers, a third party lawsuit should be explored.


A worker's compensation insurance can be purchased from private carriers by contractors who have got coverage from the DBA. However, these private carriers must get an approval from the DOL. The major providers of insurance coverage are CAN, American International Group and the ACE-USA. These insurance companies can play the "attrition" game because many DBA cases are concentrated only in these few companies. Thus, due to this game, lots of profits can be earned by companies. Many claimants prefer hiring local workers compensation lawyers. However, these local lawyers haven't handled DBA or LHWCA cases for twenty years or so. However, while hiring the lawyer, make sure that he is aware of LHCWA and DBA.


by: Ken Arch

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