Insurance Questions and Responses
Questions and Responses Received from the u3a Insurance Broker
Why there is no crime cover?
We’re presently not able to find an insurer who will provide this cover because of the U3A claims history nationwide. We are continuing the search and will report back to Sam with any developments.
Why has the excess gone up so much; many u3as have equipment that is worth less than the excess; the smaller u3as don’t have that much money in reserve anyway
All excesses are increasing and this includes my own personal Home insurance excess. The U3A policies are all commercial contracts and in terms of commercial insurance the excesses are below the market average.
What is meant by “cyber” and why is the excess £1000; what exactly does it cover and how would an average u3a be able to manage such a high excess?
Please see the main heading below. Not an easy question to answer briefly but hope the following does at least fill in some blanks. Again the excess is below the market standard.
Cover
| Cyber Data Loss | |
| Data Security Breach | Limit £250,000 |
| Virus, Hacking and Denial of Service Attack | Limit £250,000 |
| Extortion | Limit £250,000 |
| Business Interruption | Limit £250,000 |
| Maximum Indemnity Period | 12 months |
| Excess Period | 8 hours |
| Cyber Crime | Cover Deleted with effect from 2022 Renewal |
| Telecommunications Services | Limit £25,000 |
| External Cyber Crime | Limit £25,000 |
| Cyber Liability | |
| Network Security Liability | Limit £250,000 |
| Data Privacy and Confidentiality Liability | Limit £250,000 |
| Payment Card Industry Liability | Limit £250,000 |
| Multimedia Liability | Limit £250,000 |
OVERALL POLICY LIMIT OF £250,000 IN THE AGGREGATE DURING ANY ONE PERIOD OF INSURANCE.
Why can’t they see a policy document rather than just the certificate?
All policies are available to the National Office and can be referred to. In our experience issuing all of the policies to the U3A’s cause more problems than it solves, one of the Aviva policies runs into excess of 100 pages.
Walking Trip 1:
Our u3a organises an annual walking trip where one member books and liaises with the hotel, another member books and liaises with the coach company, another member coordinates the daily walks. Several members lead the daily walks. Only u3a members are allowed (maybe from another u3a) and no one gets a free or subsidised trip - everyone pays the same. The package is offered to our u3a members on a non-profit making basis.
Are there any insurance implications?
None especially. Your current Public Liability cover will operate in the normal way for walking as an activity (and the u3a members making the activity happen) – ie, is triggered only when there is injury or damage. The Tour Operators will also operate without amendment but does of course only come into play if the u3a is deemed to be a Tour Operator. The rules & regulations about when you are a Tour Operator are complex but the backstop is that the cover is in place if you are deemed to be one. The existing covers will not help with any loss of money in the event say the coach operator or hotel goes bust etc or of course the individual members with a travel insurance type claim, eg the loss of luggage etc.
Walking Trip 2
Same as above but:
We ask a coach company/Travel Agent to organise the hotel and coach part of the above but u3a members still organise and lead the daily walks.
Would there be any insurance implications (eg public liability particularly for organising the walks?) (a) If all participants were u3a members? (b) If some participants were non u3a members?
By using an ABTA / ATOL travel agent / tour operator I believe you do get much more protection for the cost of the holiday and against the insolvency etc of the various companies providing the services and this is why I believe the u3a advice nationally is to always go down this route where possible. The u3a Public Liability applies to the activity leaders etc as before. Non-members do cause a problem. Insurers underwrite the u3a as a whole on the basis it is a membership organisation and that members abide by the rules & regulations etc and of course members do contribute towards the cost via their membership fee. My advice in the past to avoid any problems involving non-members has quite simply been for such individuals to join! If they want the benefit of taking part in a u3a activity it’s the right thing to do.