The dispute stemmed from an April 2013 explosion at Exxon’s Beaumont, Texas refinery throughout a upkeep challenge. Exxon had contracted Brock Companies, Ltd. to supply scaffolding providers. Beneath the service settlement, Brock was recognized as an unbiased contractor and was required to acquire insurance coverage protection, together with employees’ compensation, employer’s legal responsibility, and business basic legal responsibility (CGL) insurance policies naming Exxon as an extra insured. Nonetheless, the contract additionally gave Exxon the choice to acquire these coverages on Brock’s behalf, which it did by an Proprietor Managed Insurance coverage Program (OCIP). Exxon procured employees’ compensation and employer’s legal responsibility insurance policies protecting Brock and its workers and deducted the insurance coverage value from funds made to Brock.
