Not strictly so Fireflybob.
Article 8 of the AHM 810 is the 'Hold Harmless' clause you refer to. This absolves the handling agent from costs re genuine accidents. However if the accident is done with 'intent to cause damage, death, delay, injury or loss, or recklessly and with knowledge that damage, death, delay, injury or loss would probably result' the handling agent will be laible.
I know of several instances when the Handling company has paid up for actual, and liquidated damages, as a result of the actions of their employees.
It rarely goes to court as the Handling Agents would rather preserve their money and not pay for Barristers and their like
All airlines are responsible for auditing their Handling Agents, and that includes auditing the initial and refresher training programmes for ramp staff. If they do not like what they see then they can insist on changes or use another company that does meet their requirements.
There is also the possibility for airlines to have Article 8 excluded from the Handling agreement. The effect of this is that the Handling Agents Insurance company hikes the premiums up and the handling charge reflects this increase. The difference is generally felt to be prohibitive, and the airlines accept Article 8.