FAR and DFARS › FAR Part 37: Service Contracting › Subpart 37.4
FAR 37.401 Policy.
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 section allows agencies to contract with health care providers for nonpersonal services, where the contractor is an independent contractor and the Government does not control medical judgments. It requires specific contract clauses to protect the Government from liability and ensure the contractor has medical liability insurance.
Applies to: Agencies entering into nonpersonal health care services contracts with physicians, dentists, and other health care providers
What it requires
- State that the contract is a nonpersonal health care services contract and the contractor is an independent contractor.
- State that the Government may evaluate quality but retains no control over medical, professional aspects of services.
- Require the contractor to indemnify the Government for any liability-producing act or omission by the contractor, its employees, and agents during contract performance.
- Require the contractor to maintain medical liability insurance in an amount acceptable to the contracting officer and not less than the local community norm for the specialty.
Key terms: nonpersonal health care services contract · independent contractor · indemnify · medical liability insurance · 52.237-7
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
Agencies may enter into nonpersonal health care services contracts with physicians, dentists and other health care providers under authority of 10 U.S.C. chapter 221 and 41 U.S.C. chapter 33, Planning and Solicitation. Each contract shall—
(a) State that the contract is a nonpersonal health care services contract, as defined in 37.101, under which the contractor is an independent contractor;
(b) State that the Government may evaluate the quality of professional and administrative services provided, but retains no control over the medical, professional aspects of services rendered (e.g., professional judgments, diagnosis for specific medical treatment);
(c) Require that the contractor indemnify the Government for any liability producing act or omission by the contractor, its employees and agents occurring during contract performance;
(d) Require that the contractor maintain medical liability insurance, in a coverage amount acceptable to the contracting officer, which is not less than the amount normally prevailing within the local community for the medical specialty concerned; and
(e) State that the contractor is required to ensure that its subcontracts for provisions of health care services, contain the requirements of the clause at 52.237-7, including the maintenance of medical liability insurance.
← 37.400 Scope of subpart. · 37.402 Contracting officer responsibilities. →
Rule changes for FAR Part 37
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 6, 7, 10, 18, 26, 37, and 41 ↗ · proposed 2026-06-23 · comments due 2026-07-23
- Federal Acquisition Regulation: Preventing Organizational Conflicts of Interest in Federal Acquisition ↗ · proposed 2025-01-15 · comments due 2025-03-17
- Federal Acquisition Regulation: Sustainable Procurement ↗ · final rule 2024-04-22 · effective 2024-05-22
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.