Re: [AISdiscuss] 2006 Spring Insurance Report

["Deatons" <deatons@earthlink.net>]

Michelle's suggestions have quite a bit of merit, and look like they would
not bankrupt even the smallest of clubs or regions.  I know that of the two
affiliates that I belong to, the insurance would be well over $1500 per
year, and that might not cover the shows, so a donation of $100 would be a
boon for each club.  This only makes sense people, as we are getting into a
society that "sues first and asks questions later".
Cheryl Deaton
----- Original Message -----
From: <SAMMYGIZ@aol.com>
To: <AISDiscuss@aisboard.org>
Sent: Friday, May 05, 2006 9:11 PM
Subject: [AISdiscuss] 2006 Spring Insurance Report


> Hello all,
>
> I know the issue of insurance will be brought up once again and there
will
> most likely be a great bit of discussion concerning the cost of the policy
we
> have.  I thought I would copy my report here and send it out to  digest
and if
> any of you have some specific questions or comments after you  could send
> them to me.  If I am able to provide an answer before Gerry and  I leave
for
> Portland on May 20, I will.  I am sure there will be many  comments that
will
> come
> up at the meeting but I felt this would provide everyone  with an
opportunity
> to think over the situation and perhaps even offer a  suggestion or two.
>
> Michelle Snyder
>
>
>
>
> AIS INSURANCE
> SPRING, 2006 REPORT
> MICHELLE SNYDER - CHAIR  PERSON
> Earlier in the year many people voiced their opinions  concerning the high
> cost of insurance for the AIS, particularly the cost of the  liability
> insurance
> coverage.  Questions were asked such as how many affiliates avail
themselves
> of the  policy each year; would just covering the AIS at its national
> convention be the  way to go and letting the affiliates fend for
themselves;
> could
> coverage only be  afforded to those clubs that contribute something to the
> premium; could we just  cancel the coverage and broll the diceb.
> In my fall 2005 report, I provided the board with  information gleaned
from
> the survey I did of the approximately 183  affiliates.  Of the 147
responses I
> received, approximately 35% said they were required to show proof of
> insurance.  Seven clubs said they  carried outside coverage; however, it
is
> now my
> understanding that most, if not  all of these clubs, have dropped their
> coverage
> and now rely solely on the AIS  insurance policy.  I asked if the  clubs
> would be willing to make a contribution toward the insurance policy and I
> received a definite yes from only 60 of the clubs.  At the time of my
survey,
> 51 of
> the club  presidents hadn't discussed the matter with their board and
could
> not
> give me a  response.  Another 8 clubs answered  maybe and I got a no from
15
> clubs because either the club was too small or they  felt they didn't need
to
> contribute since they did not use the AIS  policy.
> I believe that a club thinking they do not need the  policy (having to get
> certificates of insurance) is the greatest misconception  held by our
> affiliates.  Even though  a club may not be required to show proof of
> insurance when
> holding their  sale/show or meeting, they are STILL PROTECTEDAND SO ARE
WE.
> If a
> person not affiliated with the club  is injured or sustains property
damage,
> I can guarantee that they will seek  remedy from both the club and AIS, as
the
> parent organization.  bClaimants always go for the deep  pocketsb.
> I spoke to our broker and there is no way they would  cover only a certain
> number of clubs.  Since each affiliate is technically a member of AIS we,
as
> the
> parent  organization, would be held vicariously libel for any injury or
> property damage  that occurred at an AIS sanctioned event.  Any venue
where
> the
> club holds it  meeting, sale or show, regardless of size, would have a
waiver
> of
> subrogation in  place that basically states their insurance would be
secondary
> in the case of  something happening and our insurance would be primary.
> I do not believe there is an easy solution to this  problem.  However,
here a
> few  possibilities for the board to consider:
> Each of the 24 regions contributes $500 annually.  How they raise the
> money would be up the regions.  That would bring in  $12,000.
> Each club contributes $100.  If we only have 183  affiliates,
> that would mean $18,300.
> Each club  contribute a percentage accordingly to its number of members,
> such  as:
> 1 b 25 members                                               $25.00
> 25 b 50 members                                             $50.00
> 50 b 75 members                                             $100.00
> 75 members and above                                   $125.00
> Since I don't know how many members are in each club I  cannot give a
> definite amount as to how much this would bring in.
> I am highly opposed to canceling the liability insurance  policy and
> brolling
> the diceb.  Even  though no claim has ever been presented against the
AIS,
> it
> would only take one  to seriously impact our ability to continue
operations.
>
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