Actuarial Notes

Exam DISC-RM Practice Question 403

Study guide: Exam DISC-RM

An employee of a bottling plant loses a hand in a machine. The plant's NCCI workers compensation and employers liability policy pays his statutory benefits. He then sues the machine's manufacturer, which sues the plant, claiming the plant removed a safety guard. Which part of the policy responds to the manufacturer's suit against the plant?

  • A) Part One, because the injury arose out of and in the course of the employee's employment
  • B) Part Three, because the suit against the plant is brought by someone other than the employee
  • C) No part, because liability the plant owes to a third party is excluded as contractual liability
  • D) Part Two, which covers the employer's liability to a third party over an employee's injury

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