WASHINGTON--Democratic members of a House oversight committee last week accused several insurers of "war profiteering" because the Defense Department allows defense contractors to secure their own workers' compensation insurance on overseas contracts.

Indeed, Rep. Henry Waxman, D-Calif., chairman of the panel, the House Oversight and Government Reform Committee, said he would soon introduce legislation requiring the DOD to follow the policies of the State Department and Army Corps of Engineers on workers' compensation insurance on foreign contracts.

Those agencies take bids for the coverage. But DOD was said to allow contracting firms to get their own coverage and pass costs back to the government.

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