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FAR and DFARS › FAR Part 47: Transportation › Subpart 47.2

FAR 47.207-7 Liability and insurance.

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 tells the contracting officer what liability and insurance terms to specify in transportation contracts, including the contractor's liability for injuries, property damage, and freight loss or damage, plus required insurance amounts. It also directs which standard clauses the contracting officer must include depending on whether the freight is household goods or other freight. Contractors should know these terms will appear in their solicitations and contracts and define their exposure.

Applies to: Transportation contracts and solicitations, including household goods and other freight

Key terms: liability · insurance · freight · household goods · released or declared value

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

The text

(a) The contracting officer shall specify—

(1) The contractor's liability for injury to persons or damage to property other than the freight being transported;

(2) The contractor's liability for loss of and/or damage to the freight being transported; and

(3) The amount of insurance the contractor is required to maintain.

(b) When the contractor's liability for loss of and/or damage to the freight being transported is not specified, the usual measure of liability as prescribed in section 11706 of the Interstate Commerce Act (49 U.S.C. 11706) applies.

(c) The contracting officer shall insert the clause at 52.247-21, Contractor Liability for Personal Injury and/or Property Damage.

(d) The contracting officer shall insert the clause at 52.247-22, Contractor Liability for Loss of and/or Damage to Freight other than Household Goods, in solicitations and contracts for the transportation of freight other than household goods.

(e) The contracting officer shall insert the clause at 52.247-23, Contractor Liability for Loss of and/or Damage to Household Goods, in solicitations and contracts for the transportation of household goods, including the rate per pound appropriate to the situation.

(f) When freight is not shipped under rates subject to released or declared value, see 28.313(a) and the clause at 52.228-9, Cargo Insurance.

(g) When the contracting officer determines that vehicular liability and/or general public liability insurance required by law are not sufficient for a contract, see 28.313(b) and the clause at 52.228-10, Vehicular and General Public Liability Insurance.

Sections it refers to

  • 52.247-21 Contractor Liability for Personal Injury and/or Property Damage.
  • 52.247-22 Contractor Liability for Loss of and/or Damage to Freight Other Than Household Goods.
  • 52.247-23 Contractor Liability for Loss of and/or Damage to Household Goods.
  • 28.313 Contract clauses for insurance of transportation or transportation-related services.
  • 52.228-9 Cargo Insurance.
  • 52.228-10 Vehicular and General Public Liability Insurance.

Sections that refer to it

  • 52.247-21 Contractor Liability for Personal Injury and/or Property Damage.
  • 52.247-22 Contractor Liability for Loss of and/or Damage to Freight Other Than Household Goods.
  • 52.247-23 Contractor Liability for Loss of and/or Damage to Household Goods.

← 47.207-6 Rates and charges. · 47.207-8 Government responsibilities. →

Rule changes for FAR Part 47

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

FAR 47.207-7 Liability and insurance · SpendQuery