WHY DO I NEED MORE INSURANCE?
Q. My event is already sanctioned by USA Cycling, why should I consider purchasing additional insurance?
A. Good question - the USA Cycling sanctioned event liability and event accident medical insurance policy was primarily designed to provide coverage for participants and lawsuits brought by injured participants. It does extend liability protection against spectator lawsuits for actions related to the actual race (i.e. rider loses control and collides with a spectator), but it does not extend coverage for ancillary non-racing activities like concerts, vending, expo, concessions, demonstrations, etc. In fact, it specifically excludes ancillary, non-race related activities.
Q. Your rates are great, does your ancillary event liability plan cover race participants/athletes as well?
A. No - our ancillary event liability policy specifically EXCLUDES event participants and lawsuits brought by injured participants. The USA Cycling sanctioned event insurance provides coverage for participants and lawsuits brought by them, while our plan excludes participants and only provides coverage for spectators and ancillary, non-race related activities. Additionally, our ancillary event liability policy excludes the race participants for any race, fun ride, tour, training ride, camp clinic, Gran Fondo or other cycling event. To insure the actual event participants, you will need to continue sanctioning your event through USA Cycling. To secure liability protection for the ancillary, non-race related spectator attractions and activities, you will need to purchase our ancillary event liability plan.
ANCILLARY EVENT LIABILITY POLICY FAQs
Q. What types of events can you provide coverage for, and what excluded events do you have?
A. Some of our acceptable events that we can provide coverage for include, but are not limited to:
Sporting Events (excluding participants), Fairs and Festivals, Beauty Pageants / Fashion Shows, Concerts (some exclusions include some Rap/Heavy Metal bands), Graduations / Receptions / Weddings, Conventions / Meetings / Trade shows / Consumer Shows, Fundraisers, Dances
Some of the excluded events are:
Carnivals, Bars/Nightclubs, Air Shows, Rap/ Hip Hop Concerts, Amusement Parks, Contact Sports / Athletics
Q. What are the coverage exclusions on the Special Event Liability Form?
A. Standard Exclusions would include:
Described Hazards, Securities and Financial Interests, Collapse of Temporary Structures, Attendance Limitation Endorsement, Athletic or Sports Participants, Abuse and Molestation, Stunt Exclusion, Exclusion of Performers, Field of Entertainment Exclusion, Pollution – Nuclear & Asbestos, Employment Related Practices, Fireworks/Pyrotechnics, Fungus, Assault and Battery
Q. What carriers do you use?
A. We have non-admitted paper with Houston Casualty Company and HCC Specialty Insurance Company, Best Rated A+.
Q. What is your policy limit?
A. We can provide up to 1 million of coverage.
Q. How is the amount of premium determined?
A. The premium is based on a predetermined rate depending on the type of event, number of attendees, amount of coverage, and risks associated with the event.
Q. How long does it take to get a quote?
A. If the event fits within the automated underwriting criteria, the quote will be released instantaneously. When criteria is not met for the automated system, we can provide a quote in within 48 hours of submission of the application, in most cases.
Q. How far in advance do I need to bind?
A. We are very flexible as far as a time frame on binding coverage and can usually provide coverage up to one or two days prior to the event date. However, we must receive payment as well as any outstanding information prior to the start of the event.
Q. How long does it take to get a quote?
A. If the event fits within the automated underwriting criteria, the quote will be released instantaneously. In most cases when the criteria is not met for the automated system, you will receive a quote within 48 hours of submission.
Q. How far in advance do I have to bind coverage?
A. 14 days before the start of the event, we will need a confirmation to bind coverage, confirmation on whether or not you are accepting TRIA coverage, any outstanding information, and payment.
Q. What is covered by the Event Cancellation Policy?
A. Our coverage is an “all cause” coverage, meaning that it covers you for any Non-Excluded cause beyond your control that leads to the necessary Cancellation, Abandonment, Postponement, or Relocation of your event. In addition, our program provides protection for out-of-pocket expenses you may incur to avoid or diminish a loss, even if your event goes on as scheduled.
Q. What carriers do you use?
A. Our Event Cancellation program is Best Rated and we have non-admitted paper with AIG, Lloyd’s of London, and Houston Casualty Company.
Q. How do you determine the amount of the premium?
A. There is a predetermined rate that is based on the location and date of the event and the risks associated with it. Once a rate is determined it is applied to the aggregate limit that is being insured.
Q. When can I insure expenses instead of revenue ?
A. You can insure expenses if this is the first time the event is running.
Q. What is Enforced Reduced Attendance (ERA)?
A. Enforced Reduced Attendance is the inability of visitors to travel to the event due to a specific cause that is beyond the control of the organizer and attendees. An example would be a winter weather exposed area in which flights are delayed or cancelled, therefore disabling attendees from traveling to the event.
Q. What are the Principal Exclusions on the Event Cancellation policy form?
A. Standard exclusions would include:
The non-appearance of any person or persons (can be bought back into the policy), Teleconferencing, Adverse weather in respect to outdoor events, Civil commotion, Pollution or contamination, Alterations of the insured event, Acts of terrorism (can be bought back into the policy), Actual or threatened use of biological or chemical materials, Any national or court mourning unless a declared state of national mourning occurs following the death of the President of the United States or it occurs within seven days from the published start of the event date.
Q. How long does it take to get a quote?
A. We currently offer automatic quoting for event weather coverage when insuring the peril of rain. If your quote does not qualify for automatic quoting, you will receive a quote within 24 hours of submission, in most cases. For all other coverages which we must address off-line you will still receive a quote within 24 hours of submission, in most cases.
Q. How far in advance do I have to bind coverage?
A. Coverage must be bound 7 days prior to the first insured date.
Q. My event is taking place within 7 days of today, why can’t I obtain a quote?
A. Weather insurance must be bound within 7 days of the insured event start date. If you are required to obtain Special Event Liability coverage, you can purchase this coverage up until the day prior to the event start date.
Q. What is covered by the Event Weather Policy?
A. The event weather policy is provided on a stated value basis, which means whatever value is insured, is the amount you will receive in the event of a claim. The policy trigger is determined at time of binding, for example, 1/4 (0.25) inches or more of rain accumulation during the insured hours of 2:00 PM – 6:00 PM.
Q. How do you determine the amount of the premium?
A. There is a predetermined rate that is based on the location and date of the event and the hours of coverage being purchased. Once a rate is determined it is applied to the limit of insurance that is being insured. Weather Insurance coverage looks at historical weather data specific to your insured location, date and hours of coverage. The more sensitive of a weather risk you wish to insure, the higher the rates will be. Rates are based on the occurrence of an insured peril occurring over a certain number of hours. The more hours you insure the higher the rate so it's important to choose the most critical hours that will affect the success of the event. The earlier hours are usually more important than the later hours because that is when people will decide whether or not to attend.
Q. Can I insure expenses instead of revenue? What about partial revenue?
A. If unwanted weather comes it is unlikely to be a total wash out, so unlike most traditional insurance coverages, you do not need to insure to full value of expenses or revenue. Determine the expected amount of loss and insure that amount.
Q. What determines how much rain fell at my event?
A. There are three options available when insuring rain accumulation: Closest National Weather Station – The station closest to your event will be identified at the time of quoting. This is a free service and in the event of a claim inquiry, we would look up the data directly from the weather station closest to your event and will be able to determine if a claim was triggered. Independent Weather Observer (IWO) - An IWO is an individual that you would hire who is qualified to take weather measurements. These individuals can be found at your local university, TV station, Radio station, etc. Once the individual fills out a qualification form that HCCS provides at time of binding he/she will be approved/declined for usage. The insured will be responsible for hiring and paying the IWO per the IWO’s terms, the cost of which is approximately $35 per hour. WEATHER COMMAND - As an alternative to the nearest national weather service station (which may be too far away) or an on-site weather observer (which may be too expensive), WEATHER COMMAND Service is available as a pre-approved alternative for measuring your insured peril.
Q. What perils can I insure?
A. Weather Insurance can be used to cover perils such as Rain, Snow, Electrical Storm, Wind and Temperature, as well as Adverse Weather which refers to any extreme weather conditions which pose a serious threat to those attending the event. Currently, Rain is the only peril available for coverage through our online system. To submit a quote request for any other peril or risk, please complete the "Weather (non-rain) Application" located above the FAQ section of this site.