Part ____ of the WC&EL policy is structured like a traditional liability policy with an insuring agreement to pay damages on the insured's behalf.

• A. Part One
• B. Part Two
• C. Part Three
• D. Part Four

Answer: (B)

The part described is the Employers Liability portion. This section is designed to handle the legal liability arising from injuries to employees, and it is written like a traditional liability policy. It includes an insuring agreement in which the insurer promises to pay damages on behalf of the insured and to defend the insured in lawsuits, subject to policy limits and exclusions. This contrasts with the workers’ compensation portion, which provides statutorily required benefits to employees regardless of fault and does not operate like a standard liability policy. The other parts of the policy address different scope items (such as coverage for out-of-state operations or administrative details) and are not structured around a liability-style insuring agreement.