Know your Insurance

Everyone’s favorite topic of insurance can be a complicated one, especially if you’re not sure where to start or what to do. In this blog we’ll cover a number of things related to buying insurance to what things you’ll want to ensure you have and what you could add.

Starting a business requires a lot. There are many boxes that need to be checked prior to starting. Sports programs are no different. Whether you’re in the profit or non-profit group, everyone has boxes to check. You may have more or different boxes to check depending on which group you’re in. However, everyone need insurance.

Insurance is a fickle thing for some. However, for most it’s a straightforward process. Think of it as an a la carte process. You can pick and choose what coverage you want. Your premium will vary based on that and other factors. What insurance you need will vary based on what you’re doing, how many staff or volunteers you have, and how big an organization (number of players) you need covered. It’s important to make sure you have what you need to protect your organization.

All facilities you’re wishing to use should require insurance. If they don’t I’d be shocked and a little concerned if they don’t require it in the first place. Many will have a minimum level of coverage that they require. In addition they will likely require a certificate of insurance naming them on your insurance. Some of the requirements have changed and will likely continue to be adjusted year to year.

Common Policy Limits

Each Occurrence$1,000,000
General Aggregate$3,000,000
Products/Completed Operations Aggregate$3,000,000
Personal/Advertising Injury$1,000,000
Damage to Premises of Others$   300,000
Premises Medical Payments  (spectators)$       5,000
Participant Legal Liability$1,000,00

We’re not here to recommend one company over another or say one policy or protection is better or not. However, we would recommend making sure that you ask lots of questions. Make sure you understand everything that you’re paying for. You also may think you have something as part of your coverage and done.

One common thing that facilities will require is being added as Primary and Non-Contributory to your insurance certificate. This is important and depending on your provider will be added at no additional charge or will require a fee every time you request it.

What does Primary & Non-Contributory mean?

Primary and Noncontributory — this term is commonly used in contract insurance requirements to stipulate the order in which multiple policies triggered by the same loss are to respond. For example, a contractor may be required to provide liability insurance that is primary and noncontributory. This means that the contractor’s policy must pay before other applicable policies (primary) and without seeking contribution from other policies that also claim to be primary (noncontributory).

Insurance can feel like a lot. While it is important to have to protect your business, it doesn’t have to be scary. Learn the process, understand what you’re getting into, and more importantly ask questions. Your insurance providers are there to help you understand your policy and how it affects you. Use them to get educated.