PRIVATE PROPERTY LOSS CLAIMS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-04724A000200050026-1
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 4
• Document Creation Date: December 9, 2016
• Document Release Date: July 27, 2000
• Sequence Number: 26
• Content Type: REPORT

Approved Fcr1. Relea a 2000/681 a r .P78-047244000200050026-1
PRIVATE PROPERTY LOSS CLAIMS
In two recent decisions, the Headquarters Board of Survey found it neces-
sary to recommend that the approving authority disapprove an employee's claim for loss of his personal and household effects ~#to-fire. The losses suffered
by these employees were more severe, the lack of insurance coverage.
rganization policy for honoring claims
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claims are summarized here Organization personne m remind 0 '
the necessity for making appropriate insurance arrangements to protect their pri-
vate property.
As a general rule, civilian departments and organizations have no statutory
authority to pay claims for damage or loss of private property. Insurance cov-
erage is the personal responsibility of the individual employees, at their per-
sonal expense, if they desire protection against loss. Accordingly, employees
of this Organization,
the circumstances of these disapproved
sure their privatelyfowned property against the risk of loss or damage while in
transit, storage, quarters or other authorized places and situations if they do
not wish to personally accept that risk. The Organization does not provide in-
surance for such purposes and the fact that the Organization provides services
and arrangements, and sometimes accepts custody, for storage, etc. does not mean
that the Organization accepts total responsibility for the property.
' d e e t 1 a !r i!ltgrated
P7 -047~A 26ts1tt must be
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claims may be submitted. to the Organization on account of the loss, damage, de-
struction, capture or abandonment of privatelyowned property, which occurred
without negligence on the part of the owner. These claims will be honored
when., operational circumstances or security factors directly related to
Organization service (the reviewing authorities
justify reimbursement from ,onfidential ~unds.
In the absence of insurance coverage, a claim will not be honored/
unless (i.,) security, cover )or extenuating circumstances precluded. proper insurance
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rt, D4-
coverage, or W negligence on the part of the Organization is determined the
principal cause of loss, or (43) the loss is a direct result of performance of
operational duty, sensitive circumstances, or other extraordinary reasons which
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merit special consideration:`"-? 'A J1 gib. _
cv+~ ,
If the property was insured, a claim will be honored If security
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or cover considerations preclude reimbursement by a insurer a or o e?
4 u,.L Gam,` &A
J i liable entity A commercial carrierA storage contractor,`` stiff*
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In the firstAalsap rpved claimjA.n employee was transferred PCS overseas and
the Organization provided services to the employee in arranging for pick-up and
storage of his property by a commercial storage company, at Organization expense.
The employee1failed to insure because he was not cognizant of
that personal responsibility. He mistakenly assumed. that the Organization was
accepting total responsibility for the property and, would do whatever was neces-
sary in regard to insurance. Some time later, the storage contractor's warehouse
was destroyed by fire. The contractor denied negligence anddisclaimed responsi-
bility for the loss of the employee's property (worth several thousand dollars)
because the fire was probably attributable to a boy arsonist. The original claim
and appeal were denied by the Organization because (1) there was no organization
responsibility for the property or loss thereof, and (2) the claimant was not pre-
or
cluded by security4cover considerations from seeking relief by contesting the con-
tractor's denial through legal action, or by claiming against a private insurer,
and. (3) the claimant failed to carry insurance.
In t e of r dies o ed la m, the Organization reimbursed the employee for
rental of a private local residence which he leased near his overseas post, and
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the Organization provided heaters for his benefit,as. A fire destroyed.
the residence and all of the employee's clothing and household effects valued at
several thousand dollars. The exact cause of the fire was not definitely estab-
lished, but the local fire department reported that the most likely cause ~ was AV
A." cw"Ns
possibly defective heater. Although theeBoard was not unmindful of the magnitude
and circumstances of this loss, it was necessary to disapprove the claim because'
(1) The Organization had no custodial responsibility for the property and
no maintenance responsibility for the heaters or quarters, even though the premises
government quarterd"'provided under authority of
There was no evidence to indicate that the heaters were defective
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when issued.
(2) The claimant failed to carry insurance. The circumstances of his
cover would not have precluded his making a claim against a private insurer.
(3) The loss was not related to security/(cover factors of Organization
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