AIVC Insurance Guide
The latest copies of the insurance documents are here
Insurance Policy (valid August 2005)
Insurance Schedule Revision 2005/2006
Insurance Schedule Revision 2004/2005
Insurance Schedule 2004/2005 with Full Endorsements
NOTES OF GUIDANCE.
Prepared by the AIVC Secretary, from reading the Policy documents, and from discussions with the Broker.
Issued July 1994.
Updated November 2001
WARNING:
These Notes are offered in good faith, to help IVC officials understand the Liability Insurance and what it covers. They are not a substitute for the policy documents themselves, and are simply the AIVC Secretary's personal interpretation of the information available. Neither the AIVC Secretary nor any other officer of the Association of IVCs (AIVC) accepts any responsibility for the accuracy or otherwise of these Notes, in the event of any circumstances bringing a different interpretation to light.Copies of the documents relating to the AIVC Insurance may be found in the Association Handbook issued every November to the Secretary and Liaison Officer of every member and prospective member Club in the Association.
WHY HAVE THE AIVC INSURANCE ?
Firstly, the AIVC provides this insurance cover to ensure the member clubs of the AIVC are able to meet any legal obligations that may arise as a result of the normal operations of the clubs. Secondly, the possession of an insurance cover note is sometimes required when hiring premises or facilities from a third party. Thirdly, it is much cheaper for all the clubs of the Association to subscribe to a single national policy than for each club to individually obtain their own third party liability cover.HOW MUCH DOES THE AIVC INSURANCE COST ?
For the year 2001/2002, the cost of the AIVC Insurance Levy to Clubs in the Association is £0.26 per member per year.THE REMAINDER OF THESE NOTES DESCRIBE THE AIVC PUBLIC LIABILITY INSURANCE
1. GENERAL DESCRIPTION.
What we have is a Public Liability insurance policy, so that any member of a participating IVC is covered against claims by a third party (e.g. member of the public), if that club member is liable for having caused injury to the third party, or damage to the third party's property. Note that the insurance does not cover damage to the club member's own property, or any personal injury or accident he or she sustains alone.This is a bit like having third party motor insurance: its purpose is simply to cover the insured against any liability to a third party.
Our policy is extended in one important respect: it includes so-called member to member liability. That is, it covers one member against liability for injury of, or damage to the property of, another member.
The important point to grasp is that it is the person liable for damage who is covered: the person suffering the damage is the third party, and isn't covered. The third party can only sue for damages against the person he or she believes is liable. If found to be liable for the injury or damage caused, it is the former person who would expect cover.
This places a duty of care on all of us, when going about IVC Business, that we should take all reasonable precautions not to cause injury to, or damage to the property of, either the public or fellow club members. Our Business, by the way, is the running of sports and social organizations and their events.
So now for more detail on particular aspects of the cover.
2. WHAT IS THE POLICY?
What we have is a Public Liability Insurance Policy, with Provincial Insurance (the "Insurers"). It is arranged through the Brokers,William Tuke & Co. Ltd,
Helix House,
High Street,
Wadhurst,
Sussex
TN5 6AA.
Tel: (01892) 783777.
Email: rupert@tandp.fsnet.co.uk
The policy consists of:
the Policy document (Policy Number SS PLI 79675); the Schedule; and any Endorsements which are operative.
These three things together define the cover, and its terms or conditions. Each club Secretary should keep a copy of these for reference. Copies of these documents may be found in the AIVC Handbook issued every January to the Chairman, Secretary and Liaison Officer of each Club.
As a general point, by the way, please on no account deal directly with the Insurers (Provincial). If you do have any queries, please always address them to the AIVC Secretary. In an emergency, or as a last resort, then by all means contact William Tuke (the Broker); but please have the courtesy to keep the AIVC Secretary informed.
3. WHOM DOES IT COVER?
The cover applies to the Association of IVCs (AIVC) (the "Insured"), which means: the AIVC Committee, committees of individual IVCs (provided the IVC opts in to the scheme), and individual members of those clubs.It assumes we are conducting our stated Business, which is the provision and management of sports and social organizations (IVCs), and which may be taken to include the activities and events thereof. Beware of activities which could be argued were not an IVC event! An IVC event is usually organized in advance, usually appears on a club Programme or other notice, and is open to all club members and their guests. A spontaneous gathering of people, some of whom happened to be IVC members, would not be covered, unless the "event" was demonstrably part of IVC Business.
Prospective Members attending a club are covered also, by virtue of being guests of that club; but they should not organize events.
Lapsed Members (members who have not paid their subscriptions within the time laid down in a club's Constitution), are not covered, and should not organize events!
Employees. On request, cover may be extended to employees; but only for Public Liability. Put simply, an employee of an IVC could be covered (whilst carrying out the business of the IVC) against liability to a member of the public; but this is not the same as the club having insurance against any claim the employee might make. Injuries to employees, and damage to employees' property, whilst on the business of an IVC, are not covered by the policy, and clubs with employees should take out their own cover for this.
4. WHAT IS THE COVER?
The cover is for Public Liability, i.e. liability for injury to, or damage to the property of, a third party (usually "the public"). Our policy is also extended (under Endorsement F01), to cover member to member liability, i.e. each member is covered against liability for injury to, or damage to the property of, any other member. (See the General Description above).The details of cover (injury, damage to property, etc.) are set out in the paragraphs on pages 6 and 7 of the Policy document: "Section 1 - Public Liability Indemnity"; and "Costs".
The limit of liability is 2 million pounds sterling (£2,000,000) for any single claim, or in total for all claims attributable to any single cause.
There is also an excess of £100 on each and every claim in respect of loss of or damage to property (clause 902 of the Endorsements).
The Policy document describes, in Section 2, a cover called Product Liability. This section does not apply to IVC, as we do not have or sell any material product.
5. WHERE DOES COVER APPLY?
The policy covers Great Britain, Northern Ireland, the Channel Islands, and the Isle of Man.In addition, people who normally live in the above areas are covered, for temporary visits to other countries in the course of IVC Business.
Note that "Offshore Territories" are excluded from cover (under Clause 901 of the Endorsements). This means visits to oil rigs or other marine platforms are not covered.
6. WHAT SORTS OF ACTIVITY ARE EXCLUDED?
The policy specifically excludes certain so-called dangerous Sports (exclusion F02 in the Endorsements). These are:* Hang-gliding,
* Paragliding,
* Skiing,
* Jet skiing,
* Rugby league football.
"Rugby" means all rugby! "League Football" means any professional, or semi-professional league. Friendly soccer matches, and even an informal or friendly league would be acceptable.
By implication, any other sports might be covered; but nevertheless, clubs should not undertake activities which are obviously of a dangerous nature. For example, fell walking is covered (the Insurers have accepted this); but it is assumed such an activity is led by someone who has at least a little experience of it, and of the area in which it is being undertaken! Rock climbing (with ropes) is clearly a dangerous activity, and I wouldn't recommend any club to put this on its Programme, unless a case could be made that it were justified.
If we change the nature of our activities in some way, so as to start doing more dangerous activities, we should first seek to establish whether this risk would be acceptable to Insurers. ...Please see Section 9, below, titled "What Conditions do We Have to Observe?"
As a general point, especially for sporting activities that offer a little "spice", professional organizations which provide these sports should also provide their own insurance cover. Do check before taking part, if going to professional establishments for canoeing, rock climbing, or whatever.
If you have any questions about whether a particular activity is covered by the insurance, please always contact the AIVC Secretary in the first instance. This is so that the AIVC Secretary is aware of any enquiries and questions that could affect the policy cover by the insurers.
7. ARE PREMISES COVERED?
Generally, premises owned by a club are not insured (General Exclusion 2 in the Policy; p.12).Limited cover may apply to rented premises, but not for any loss or damage for which the club has agreed to be liable (under the tenancy agreement between the club and its landlord); nor for loss or damage arising from any peril (e.g. fire) if the landlord requires the club to arrange such insurance. (This is the paragraph "Rented Premises" on p.14 of the Policy). Put simply: if you have agreed to be liable for anything, or your tenancy agreement requires you to take out cover for anything, so far as loss of or damage to the premises is concerned, then you are not covered here! In any case, there is an excess of £50 applicable to any claim (Endorsement F03).
8. TRAVEL AND TRANSPORT.
The following legal liabilities are not covered by the policy:- those arising from ownership, possession or use of aircraft; or work on aircraft or runways etc; (The Flying and Aviation Special Interest Group rely on insurance provided by the flying centre)
- those arising from ownership, possession or use of watercraft, (other than hand-propelled boats or powered boats less than 20ft long);
- those arising from use, possession or ownership of motor vehicles.
The details are set out in the paragraphs on page 8 of the Policy document, and the paragraph "Contingent Motor Liability" on page 15. Effectively, the policy does not provide things like third party motor insurance, which a car owner would normally take out anyway. It does extend legal liability cover to IVC members if having to use their own vehicle on IVC Business, and where damages are not covered by any other policy (such as the member's own motor insurance).
9. WHAT CONDITIONS DO WE HAVE TO OBSERVE?
It is a condition of the policy that we undertake certain things.We must take reasonable care, always, when going about IVC Business and when organising or attending events, not to cause danger to people or their property; nor to make a nuisance of ourselves. If something appears to take a turn for the worse (like the weather deteriorating markedly on a fell walk), or we recognise some danger or risk, then we should immediately attempt to remedy the danger (e.g. by cutting the walk short; or whatever).
If we change the nature of our activities in some way, so as to increase the risk of incurring a claim, we must notify the Insurers. This means in practice, that you must inform the AIVC Secretary (or failing that, the Broker) of any intention to embark on dangerous activities; otherwise, in the event that anything went wrong, you yourself might become liable, for having failed to disclose a Material Fact.
Lastly, we must not ever admit or offer payment or liability, to a third party, unless we have the Insurers' consent to do so.
10. HOW IS THE PREMIUM CALCULATED?
Each year, clubs are asked to return a statement of their number of members, usually as standing at the end of each calender year (or as estimated at the time the return is given, for clubs which have a "rolling" membership year).From these returns, for clubs which opt in to the Insurance cover, the Association calculates the total, and submits this to the Broker at the time of the next renewal of the Insurance cover (which is currently at the start of December). As you can see, the estimate of membership is almost a year out of date when it is finally given to the Insurers!
However, the Premium is calculated on the basis of this number, and as the total number of IVC members varies from year to year, so does the Premium. On average, given that in some years the number goes up, and in others it declines, it is accepted that the Premium paid is as fair as can reasonably be calculated.
To conclude: a club need not worry that members might not be covered, if they have joined after the membership return was given!