Contractual Liability and Mutual Hold Harmless Agreements
An airport is a "Nexus of Contracts." Every airline, catering company, and fuel provider signs a "Ground Handling Agreement" (GHA) with the airport. This document analyzes the Contractual Liability provisions within Airport Liability Insurance.
Technically, these agreements utilize "Mutual Hold Harmless" clauses and "Waivers of Subrogation." The document explains how the "Primary and Non-Contributory" clause works: it ensures that if a ground handler’s tug hits a plane, the ground handler’s insurance pays first, and the airport’s insurance is only triggered if that limit is exhausted. This "Layering of Risk" prevents the airport’s premiums from skyrocketing due to the actions of third parties. The document also covers the "Certificate of Insurance" (COI) tracking systems used by airport administrators to verify that every tenant maintains adequate limits.