Holding the right insurance policies allows clubs to reduce their own risk and protect future operations, says industry consultant Warren Tapp.
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It amazes me how little interest many directors take in their company’s insurances.
From a risk management viewpoint, insurance is a risk transfer tool; pay the premium and let the insurer cover the risk by transferring it to them.
You should ask management for a list of all current insurance policies and their expiry date and amount of cover.
Do you have these policies?
- Directors and Officers Liability
- Public liability
- Volunteer personal accident
- Property and Contents insurance
- Business interruption insurance
- Cyber insurance
- Event-specific insurance
- Machinery breakdown insurance
- Professional Indemnity insurance
There may be other policies specific to your venue, so ask you your broker or lawyers for advice.
Check the limitations or exclusions on all policies to see if the amount of cover is in line with current industry claims, or not.
It is important that all directors take a close interest in the insurances their organisation has and use it as way to transfer unnecessary risk.
Warren Tapp
