If the clubs received the news less than enthusiastically, one wonders how certain insurers and insurance brokers might have reacted at the prospect of what appeared to be something of a game changer being announced - for precisely the same reasons as above. Insurers because PI is an anathema to many of them and, brokers, because accessing a market prepared to offer palatable rates in return for the required scope of cover would not be easy.
No doubt everyone breathed a huge sigh of relief then when, just 5 months later, in September, the RYA announced that Professional Indemnity Insurance would not be a requirement after all just so long as a centre's Public Liability insurance carried an extension that covered their training activities including indemnity for bodily injury to participants.
Cue a meticulous scanning of small print in policy wordings by interested parties to ensure they met the following requirements which are to be implemented by 1 February 2016:
"The purpose of public liability insurance is to indemnify the RTC and its instructors where a third party (which could be a student, customer or a member of the public) suffers personal injury or damage to their property as a result of the RTC's or instructor's negligent acts or omissions, and the RTC and/or its instructors is/are required to defend and/or pay damages to the injured party. The RTC must therefore ensure that any instructors employed or engaged directly by the RTC are covered by the RTC's public liability insurance policy. The RTC's public liability insurance must extend to indemnify the RTC and its instructors where negligent advice or instruction given by the RTC or its instructors causes personal injury or other damage or loss and the RTC and/or its instructors is/are required to defend the claim and/or pay damages" (RYA Training Notice TN 07-15 dated 7 September 2015).
Helpfully, the statement tells everybody precisely what the purpose of the PL cover is. How then, do we square this with the exclusions regarding training and advice? Well, insurers have addressed this in various ways. One, for example, maintains that as long as they state "Training" within in the business description on their schedule of cover then the explicit exclusion in their policy wording would not apply to the club or centre concerned. Another applies what I consider to be a "safer" option for the club by providing a specific endorsement that confirms tuition is covered.
So, everything's okay: the centre is indemnified in the event of injury to third parties caused by negligent acts or omissions on the part of their instructors in respect of the advice and instruction provided. Yes? Well, actually, not necessarily.
I was looking every where for help to pass the PDI test but was not fining any valuable PDI Practice Exam Questions until I coincidentally landed on Dumps4free. they made me successful in nick of time.
ReplyDelete