Cookie Consent by FEDS Privacy Policy
Liability Insurance for Federal Employees and Contractors

Contracting Officers

Professional Liability Insurance often becomes necessary for Contracting Officers after a complaint is made by Congress, a beneficiary of a federal program, a special interest group, a contractor, a grant recipient, a forensic accountant or auditor, a member of the public, a subordinate, or a fellow employee. FEDS professional liability insurance provides coverage against administrative, civil and criminal exposures.

Existing and new rules aimed at increasing the transparency and public scrutiny of payments to beneficiaries of federal programs, contractors, grant recipients and other entities, explicitly require agencies to cut down on misappropriation and funding errors. The performance of a Contracting Officer, Contracting Officer's Technical Representative (COR/COTR), Grant Official, Certifying Official, Task Administrator, Cognizant Technical Officer (CTO), Quality Assurance Evaluator (QAE), or any other contractor oversight or federal fund appropriation position will be evaluated and scrutinized by the public, IG, GAO, Congress and agency officials.

Administrative / Disciplinary Matters

When it comes to employees and managers obligating and administering federal funds and contracts, OIG, GAO, OSC, EEO, Congressional and agency investigations are usually the result of:
  • Erroneously entering into a contract, grant or other federal fund appropriation;
  • Erroneously administering a contract, grant or other federal fund appropriation;
  • Erroneously terminating a contract, grant or other federal fund appropriation;
  • A Deficiency Act violation;
  • A Fraud, Waste or Abuse complaint/allegation;
  • A whistleblower or ethics Complaint;
  • A No Fear Act investigation;
  • An EEO complaint;
  • A complaint or allegation of wrongdoing made by the public; or
  • Other allegations of wrongdoing involving the performance of your official duties.
If you are also a manager or supervisor, very often, you must invoke your policy benefits due to employee allegations of harassment, discrimination, retaliation, wrongful termination, and whistleblower reprisal.

For administrative matters, your FEDS policy will pay for legal defense (up to $200,000) to defend the allegations, prepare you for the agency administrative or investigation process, attend the investigative interview with you, and defend you in any resulting disciplinary action at both the agency level and at the MSPB.

Criminal Investigations

As a federal employee, you can be investigated criminally for even the most trivial matters and false allegations—and if it happens to you without insurance, you must pay for your own legal representation. 
If you are the subject of a criminal investigation, FEDS will pay for legal defense up to $100,000. Some of the most common criminal investigations involving federal employees are due to conflict of interest statutes, allegations of misappropriated funds, or release of privacy act or other statutorily protected information.

Civil Lawsuits

Federal employees in all types of jobs and performing all kinds of federal functions can be sued in his or her personal capacity by private persons or other entities. DOJ has the right to exercise its broad discretion to deny you DOJ representation, decline to hire private counsel for you, and/or decline to indemnify you.
If you are sued, as a FEDS policy holder, you would be provided with an attorney to defend you in the civil action. Also, if there were a civil monetary judgment issued against you, your FEDS policy would pay up to $1,000,000 (or $2,000,000 or $3,000,000 depending on the policy you choose) of the judgment in the event that the U.S. Government declines to indemnify you and/or the agency declines to indemnify.

 FEDS Protection is Affordable:

$1,000,000 Policy:  $290*

$2,000,000 Policy:  $390*

$3,000,000 Policy:  $490*

* Plus applicable taxes and administrative fees

Payroll deduction is available, starting at $12 per pay period.


Some agencies offer PLI reimbursement for Contracting Officers. Please check with your HR personnel to see if you are eligible. 

Have questions? Call us at 866.955.FEDS (3337) or contact us online.

Please see the Master Policy for complete policy terms and conditions.

A division of StarWind Specialty