FAR and DFARS › DFARS Part 252: Solicitation Provisions and Contract Clauses › Subpart 252.2

DFARS 252.228-7000 Reimbursement for War-Hazard Losses.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This clause allows contractors to be reimbursed for costs of providing employee war-hazard benefits under the Workers' Compensation and War-Hazard Insurance clause, but not for insurance covering those liabilities. It requires the contractor to submit proof of losses, settle open claims within a year of contract end (unless extended), and notify the contracting officer of any potential claims or lawsuits.

Applies to: Contractors with the Workers' Compensation and War-Hazard Insurance clause in their contract

What it requires

  • Submit proof of loss files to support payment or denial of each claim.
  • Make lump sum final settlement of open claims and obtain release documents within one year of contract expiration or termination, unless extended by the Contracting Officer.
  • Provide the Contracting Officer at final settlement with an investigation report and evaluation of any potential claim, and an estimate of the dollar amount if the claim matures.
  • Investigate and promptly notify the Contracting Officer in writing of any occurrence that may give rise to a claim, including the estimated amount.

Key terms: war-hazard benefits · proof of loss files · lump sum final settlement · potential claim · refund, rebate, or recapture

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

As prescribed in 228.371(a), use the following clause:

Reimbursement for War-Hazard Losses (DEC 1991)

(a) Costs for providing employee war-hazard benefits in accordance with paragraph (b) of the Workers' Compensation and War-Hazard Insurance clause of this contract are allowable if the Contractor—

(1) Submits proof of loss files to support payment or denial of each claim;

(2) Subject to Contracting Officer approval, makes lump sum final settlement of any open claims and obtains necessary release documents within one year of the expiration or termination of this contract, unless otherwise extended by the Contracting Officer; and

(3) Provides the Contracting Officer at the time of final settlement of this contract—

(i) An investigation report and evaluation of any potential claim; and

(ii) An estimate of the dollar amount involved should the potential claim mature.

(b) The cost of insurance for liabilities reimbursable under this clause is not allowable.

(c) The Contracting Officer may require the Contractor to assign to the Government all right, title, and interest to any refund, rebate, or recapture arising out of any claim settlements.

(d) The Contractor agrees to—

(1) Investigate and promptly notify the Contracting Officer in writing of any occurrence which may give rise to a claim or potential claim, including the estimated amount of the claim;

(2) Give the Contracting Officer immediate written notice of any suit or action filed which may result in a payment under this clause; and

(3) Provide assistance to the Government in connection with any third party suit or claim relating to this clause which the Government elects to prosecute or defend in its own behalf.

(End of clause)

Sections it refers to

Sections that refer to it

← 252.227-7041 Additional postaward requirements for Small Business Technology Transfer Program. · 252.228-7001 Ground and Flight Risk. →

Rule changes for DFARS Part 252

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

DFARS 252.228-7000 Reimbursement for War-Hazard Losses · SpendQuery