Frequently Asked Questions - General:

What is Silent Sports Insurance?

What am I getting when I purchase this coverage?

How do I get started with my application?

What documents do I need to include with my application?

What do I do if my event is named in an insurance claim?

Frequently Asked Questions - Coverages:

General Liability Insurance

Protects the organization against lawsuits arising from Bodily Injury, Property Damage, Personal and Advertising Injury, and as applicable, Products and Completed Operations. Liability protection is provided by this policy for your sponsored and supervised activities.

Claim examples under our Silent Sports Program General Liability policy include lawsuits coming from injured participants (or members), injured spectators, or third-parties who seek damages for alleged liability.

Our Silent Sports Program General Liability policy is written on an occurrence-basis. The Cost of Defense is provided outside the limits of liability. Coverage is Included for Claims by Athletic Participants.

Accident Medical Insurance

Excess/Secondary Accident Medical coverage is designed to supplement and coordinate with existing primary medical policies. Provides up to 52 weeks (1 year) of benefits on an excess basis. If no primary plan is in place (such as health insurance), this policy could act as primary coverage, subject to the terms and limitations of the accident policy.

For events, only registered participants who sustain an injury caused by an accident during your sponsored and supervised event are eligible for this coverage. At the time of application, you have the option to elect this Excess Accident Medical coverage for any non-participant volunteers as well.

For clubs, only members of your organization who sustain an injury caused by an accident during a club sponsored and supervised activity are eligible for this coverage. Non-members who are injured during a club activity are not eligible.

The Excess Accident Medical policy does not cover sickness/illness. Sub-limits typically apply for Outpatient Hospital Miscellaneous, Physical Therapy and Chiropractic Treatment.

Accidental Death & Dismemberment

Coverage for the accidental death, or the loss of limb or limbs as a result of participation in an insured event or club activity.

Automobile Liability Insurance

This type of liability insurance protects the insured against financial loss because of legal liability for automobile-related injuries to others or damage to their property by an auto.

Your auto coverage needs will vary based on how vehicles are used by your event/organization.

If your company/organization owns or leases a vehicle, a Commercial Auto Insurance policy is needed to provide liability and physical damage coverage for the vehicle.

Commercial Auto Insurance is typically available as a stand-alone policy or as a part of a package policy.

If your company/organization does not own a vehicle but your employees or volunteers drive their own vehicles or rent vehicles on the business of the company/organization, hired and non-owned auto liability coverage is recommended.

Hired and Non-Owned Automobile Liability (HNOA) is typically available as an optional coverage and added by endorsement to a General Liability policy. Coverage is excess over any primary insurance covering the hired auto or non-owned auto.

For risk management purposes, the following guidelines should be followed with respect to the use of any owned, hired and non-owned autos:

  • Drivers under the age of 25 and over the age of 70 should not be appointed to drive on behalf of an event/organization
  • Drivers should have no more than 1 speeding violation in the past year and no major moving violations.
  • As part of your Risk Management Plan, you should have a written policy on vehicle use consisting of policies such as, but not limited to:
    • Limit who is allowed to drive on behalf of the organization
    • Avoiding personal errands
    • Inspection of the vehicle prior to use
    • Procedures for reporting accidents
    • Confirming that each driver is capable and familiar with the vehicle which they have been assigned to drive (For example – does the person have previous experience driving a larger passenger van or a box truck?)

Liquor Liability Insurance

This type of liability insurance providers coverage for bodily injury or property damage for which you may be held liable by reason of:

  • Causing or contributing to the intoxication of any person;
  • Furnishing alcoholic beverages to a person under the legal drinking age or under the influence of alcohol; or
  • Violating any statute, ordinance or regulation related to the sale, gift, distribution or use of alcoholic beverages.

This coverage applies if you are involved in the following activities:

  • Manufacturing, selling or distributing alcoholic beverages;
  • Serving or furnishing alcoholic beverages for a charge, whether or not such activity requires a license or is for the purposes of financial gain or livelihood; or
  • Serving or furnishing alcoholic beverages without a charge, if a license is required for such activity.

If your organization needs a quote for Liquor Liability Insurance contact us for an application.

‘Host Liquor’ Liability Coverage

Host Liquor Liability coverage, an exception to the liquor liability exclusion within General Liability policies, is intended to provide coverage for a person or organization for certain functions or events that are incidental to the named insured’s business and where there is no fee or donation charged.

Sexual Abuse Liability Insurance

Sexual Abuse Liability Insurance is typically available as an optional coverage and added by endorsement to a General Liability policy. This coverage is designed to protect an organization from claims of bodily injury arising out of abuse, molestation or exploitation. Depending on the coverage form used, this coverage can also provide defense for an employee or volunteer work of the insured who is alleged to be directly involved in a covered act of abuse, molestation or exploitation until such time as that employee or volunteer worker is adjudicated to be a wrongdoer or enters a plea of no-contest or is determined to be legally liable.

Directors & Officers Liability (and Employment Practices Liability) Insurance

Directors & Officers (D&O) Liability Insurance protects the organization and its directors and officers from claims and lawsuits that arise out of negligent/wrongful acts, omissions or misleading statements.

Employment Practices Liability Insurance (EPLI) protects the organization and its directors and officers from claims and lawsuits that arise out of wrongful suspension/dismissal, sexual harassment, discrimination and acting beyond authority.

D&O and EPLI coverage is available to for-profit and not-for-profit organizations.

McKay Insurance has partnered with RPS Bollinger Sports & Leisure to offer a combined plan of Directors & Officers Liability (D&O) and Employment Practices Liability (EPLI) for non-profit sports organizations. See the Applications page for more information.

This plan provides protection for lawsuits stemming from actual or alleged wrongful acts and errors and omissions against the directors and officers of 501c3 Non-Profit Sports Organizations, as well as their employees and volunteers. The policy provides protection for suits brought against the sports organization as an entity, as well as individuals who are acting in an official capacity on behalf of the organization.

If your organization is for-profit, please contact McKay Insurance to obtain a quote.

Crime Insurance

Crime Insurance coverage provides protection against the financial loss caused by the dishonest disappearance of money, securities, or financial instruments.

McKay Insurance has partnered with RPS Bollinger Sports & Leisure to offer Crime Insurance protection for non-profit sports organizations. See the Applications page for more information.

If your organization is for-profit, please contact McKay Insurance to obtain a quote.

Equipment Insurance

Equipment owned or rented by your company/organization such as race timing equipment, event production equipment, generators, club merchandise and any related equipment can be protected against loss, including fire and theft. Coverage can be written on an actual cash value or replacement cost basis (varies by company).

If you would like a quote for owned or rented equipment please contact McKay Insurance for an application.

Insurance for Property of Others in Your Care, Custody or Control

This coverage is typically available as an optional coverage, added by endorsement to a General Liability policy. Coverage may be purchased for the personal property of your event participants while in your care, custody or control. The coverage is designed to provide a minimum amount of coverage for property that is damaged or stolen while in your care. There is no need to prove liability or negligence on your part; it is a goodwill payment that is triggered by the occurrence. This is an important coverage that can assure the relationship you have worked hard to build with your tour participants.

Event Cancellation/Weather Insurance

Event Cancellation/Weather Insurance can be purchased to protect your event expenses or revenues against cancellation due to adverse weather conditions. It is designed to offset not only the revenue lost due to reduced attendance but other revenue sources such as concessions, food and parking. It can cover perils such as rain, snow, wind and temperature.

The Event Cancellation/Weather Insurance plans are individually underwritten and priced according to the amount of expenses or revenues you want to insure.

If you would like a quote, please contact McKay Insurance for an application.

Travel Insurance

As an added service, McKay Insurance has partnered with Travelex Insurance Services to offer Travel Insurance to your tour and event participants. Travel Insurance covers unforeseen events for domestic or international trips. The Travelex plans combine travel insurance coverage and travel assistance that protects your participants before, during and after their trip.

You and your participants can click here for more information and to obtain a quote.

Frequently Asked Questions – Miscellaneous:

Participant Days

Most companies rate for participant-based events on the estimated number of participant days you expect to have. Participant days is calculated by taking the # of days of the event times the estimated # of participants.

4-day bicycle tour x 100 participants each day = 400 participant days

Participant Liability vs. Spectator Liability

When shopping for insurance for your event or organization, it’s important to remember that you get what you pay for. Many companies in the marketplace today will offer a fast, very inexpensive quote for General Liability coverage for your bicycle ride, bicycle tour, adventure race, 5K run/walk, triathlon, etc., but lurking in the fine print of that policy is an exclusion for “athletic participants” or “claims brought by athletic participants”.

What you have purchased is a spectator liability policy, which would protect your organization from claims brought by spectators of the event but would not protect the organization from claims brought by participants of the event.

Spectator liability coverage is fine for a festival, expo or similar event that does not have an athletic participant exposure but is not adequate for participant-based events like those mentioned above.

Waivers/Release of Liability

In the event of a lawsuit, a well drafted release of liability waiver is the first line of defense for your organization. It is a requirement of the Silent Sports Association Insurance Program (and most General Liability policies covering participant-based events) that you have a release of liability waiver signed by all “athletic participants”.

For events, this includes all registered participants of your event. You may also want to have volunteers sign a waiver.

For clubs, this includes members of your organization as well as any non-members who are allowed to participate in a club activity on a trial-basis.

Release of liability waivers are to be considered valuable papers and their destruction is subject to applicable insurance laws in respect of the retention of records.

Electronic/Online Waivers are acceptable as long as they are valid in your state. At the time of a claim, you will need to be able to provide proof of an individual’s “signed” and/or electronically acknowledged waiver.

We recommend that you consult with an attorney or other qualified legal counsel in your state when developing or reviewing your waiver/release system.

Primary/Non-Contributory Endorsement

When an insurance policy is considered “primary” it will pay out first in the event of a loss. If there are two policies covering the same risk, the policy deemed “primary” will pay out its limit before the other secondary policy and is responsible for defense costs until liability is determined.

When an insurance policy is considered “non-contributory” the insurance carrier issuing the policy will not seek contribution from an Additional Insured if it pays out on a loss.

Some entities who request Additional Insured status may also require a ‘Primary & Non-Contributory’ endorsement, meaning in the event of a claim, they want your insurance policy to pay out first, cover the defense costs associated with the claim and be unable to seek contribution from their own insurance policy.

Waiver of Subrogation Endorsement

By adding a Waiver of Subrogation endorsement to a liability policy, the insurer gives up the right to take action against a third party for a loss suffered by an insured. Typically, under terms of the Subrogation Clause within a liability policy, the insurer, having paid for an insured loss, takes over any rights possessed by the insured who has suffered the loss.

Frequently Asked Questions - Certificates of Insurance

What is a Certificate of Insurance?

A Certificate of Insurance (COI) is an insurance industry standard form that relays to the certificate holder information about the insurance coverage purchased. It will show:

  • Name of Insurance Company
  • Effective Dates of Coverage
  • Types of Coverage
  • Limits of Coverage
  • Description of Operations
  • Certificate Holder
  • Signature of Agent or Authorized Representative

What is a Certificate Holder?

A Certificate Holder is the entity to whom we are providing proof of coverage. We need the name and address of the certificate holder to complete the form.

What is an Additional Insured?

Certificates of Insurance may also be used to show that the Certificate Holder has Additional Insured (AI) status. When an entity is named as an AI it means that our client’s policy is providing coverage for the AI and sharing their limits of liability with them. The reason entities ask for AI status is to transfer their risk to another organization as a risk management technique.

How do I know when to ask for a Certificate of Insurance or an Additional Insured?

If an entity asks for proof of coverage a COI will suffice. You should never name anyone as an AI unless it is required by contract or as terms of doing business with them. If you are unsure, send McKay Insurance the documents requesting the COI or AI and we will review them or call us with questions.

Who is typically named as an Additional Insured?

Typical AI’s include landowners of property where you are holding events, Cities, Counties, States, the Federal Government, Sponsors and Co-Promoters. We recommend that you do not offer to add anyone as an Additional Insured.

Who should not be added as an Additional Insured?

Often, we get requests to specifically add individual volunteers of clubs or events as AI. This is not necessary as the policy language already specifically provides coverage for volunteers.

Should our club or event be asking for Additional Insured status?

YES! Vendors or service providers may ask to be named as an AI, however many times you should be asking them for AI status instead. If another entity is providing services or participating in your event, they need to provide AI to you since you do not have control over their operations and do not want to take on this added risk.