1. What insurance coverage is provided for Sigma Chi chapters that are members of the Risk Management Foundation?

Transcription

1 Frequently Asked Questins 1. What insurance cverage is prvided fr Sigma Chi chapters that are members f the Risk Management Fundatin? Membership in the Risk Management Fundatin includes the fllwing mandatry insurance cverage: 1. General liability 2. Excess liability 3. Directrs and fficers liability 4. Dishnestly bnd (Crime) The RMF makes the fllwing additinal cverages available as well: 1. Prperty 2. Biler and machinery All chapters and huse crpratins are reminded t cmply with their lcal state wrkers' cmpensatin laws. 2. D the Liability and Excess Liability plicies prvide cverage fr undergraduate chapters, alumni advisrs, and ther vlunteers? Each chapter must prvide prf f insurance as required under the Sigma Chi Gverning Laws (ECR 6.02-i-4). Undergraduate chapters are affrded prtectin prvided that the chapter is abiding by the RMF and Sigma Chi alchl plicies. Excess Liability insurance extends additinal cverage t all ther insureds such as alumni advisrs and ther vlunteers while they are acting n behalf f Sigma Chi Fraternity. Excess Liability insurance des nt prtect the chapters r undergraduates. 3. D the liability and Excess Liability plicies exclude, restrict, r eliminate cverage? Yes. The insurance prvided as part f membership in the RMF cntains several imprtant exclusins r cverage restrictins. Fr chapters and undergraduates, the insurance prvided thrugh the RMF is always excess f any ther insurance. This insurance des nt prvide fr r replace yur persnal insurance prtectin. Insureds are nly cvered by the RMF's insurance under the fllwing

2 cnditins: 1. Only while acting in accrdance with Sigma Chi Fraternity and RMF plicies. 2. Only while acting in their fficial capacity. 3. Only while acting withing the scpe f their duties. 4. Only fr their activities n behalf f the Fraternity insureds. The RMF insurance cverage is als specifically restricted r eliminated when ther types f cnduct are invlved. These include, but are nt limited t: 1. Hazing f any kind 2. Criminal acts/alchl cnsumptin by minrs 3. Intentinal acts/assault & battery 4. Sexual abuse r miscnduct 5. Vilatins f Fraternity r RMF plicies 4. D the RMF insurance plicies cver accidents r injuries t members sustained during Sigma Chi Fraternity athletic (i.e. intramural) events? N. This is a cmmn questin, and it is imprtant t understand that participatin in Sigma Chi athletic activities is vluntary. Members and guests assume the risk f injury and participate "at their wn risk." Claims in this area are nrmally cvered by persnal medical insurance. 5. Des the RMF's insurance cver members' medical csts fr accidental injuries? N. The RMF insurance cverage is nt an accident and health plicy. Claims in this area are nrmally cvered by persnal medical insurance. 6. Culd undergraduates r alumni vlunteers be named in a lawsuit? Yes. Chapters, chapter fficers and ther undergraduate members are ften named in lawsuits. While nt ften, huse crpratins, their members, advisrs and ther vlunteers have been individually named in legal actins. The named insured under the RMF plicy are subject t the terms, cnditins, and limitatins f the insurance. 2

3 7. As an undergraduate, hw is my persnal insurance r parents' insurance affected? Yu shuld always reprt any ptential insurance claim t yur persnal insurance agent r carrier. The insurance prvided as part f RMF membership is in excess f any ther insurance available t yu, such as yur persnal r parents' autmbile r hmewners insurance. 8. As a vlunteer, hw is my persnal insurance affected? Yu shuld always reprt any ptential insurance claim t yur persnal insurance agent r carrier. Where permitted by law, the insurance prvided fr vlunteers under the RMF plicy is primary and will stand ahead f yur persnal insurance. 9. Des the RMF insurance prvide aut liability cverage fr undergraduates, alumni fficials, r ther vlunteers if their autmbiles are being used n Fraternity business? N. Because f State "Autmbile Financial Respnsibility" Statutes, (laws that require wners r peratrs f an autmbile t maintain primary aut insurance), the peratr and wner must rely n their wn autmbile insurance. The RMF insurance prvides Hired & Nn- Owned Aut cverage t ther insureds that may ptentially be respnsible fr aut accidents. This cverage is specifically in excess f any ther aut liability insurance that may be available. 10. Des the RMF insurance cver an undergraduate's r vlunteer's persnal prperty? The RMF insurance prgram des nt cver lss r damage t persnal prperty--i.e. cmputers, bikes, bks, clthing r ther persnal items. Usually lss r damage t yur persnal prperty is easily insured under renters insurance r yur persnal r parents' hmewners plicy. 11. Des the RMF insurance cver damage t my autmbile if it is damaged n Fraternity prperty r when in use n Fraternity business? N. As with lss r damage t ther persnal prperty, yur autmbile is nt cvered by the RMF insurance prgram. 3

4 12. Hw are the ttal liability cntributins determined? Ttal liability cntributins are determined by the underwriters t the RMF insurance plicy. Sme f the mre imprtant factrs include: 1. The RMF's histry f premiums paid versus lsses paid 2. Status and develpment f pen claims 3. Deductibles and cverage limits 4. Expsures in number f chapters and members 5. Overall lss cntrl respnse and cmpliance effrts 13. Hw are chapter liability cntributins determined? Chapter membership cntributins are reviewed and determined in accrdance with the RMF membership allcatin frmula. Sme f the mre imprant factrs include: 1. Chapter size 2. Chapter claims histry 3. Chapter lss cntrl respnse and cmpliance effrts 4. Other risk management actins and prgramming 14. Hw can we decrease chapter membership csts? Reduce yur expsures by strictly fllwing the law, Sigma Chi Fraternity and RMF alchl and drug plicies, and the RMF insurance plicies. Respnd and cmply prmptly with lss cntrl requirements. Cnfirm in writing when yu make necessary life safety imprvements. Implement the Risk Management Chairman psitin and risk management cmmittee int yur chapter's executive structure. Develp nging risk management effrts t prvide cnsistent educatin and awareness t the membership. 15. Hw can we decrease chapter prperty cntributins? Reduce yur expsures by fcusing n life safety imprvements such as fire prtectin and alarm systems. Ensure these systems are always perating prperly with cnsistent mnitring and prfessinal servicing each year. Maintain effective security systems t prtect the prperty and cntents. 4

5 Participate in the Life Safety/Lss Cntrl inspectin prgram and respnd in writing t prmptly cnfirm cmpliance with any lss cntrl requirements. Develp and implement a shrt-term plan t install a cmplete sprinkler system. 16. D claims by ther fraternities and srrities affect RMF and ur chapter's rates? Yes. Althugh the mst imprtant factr is always yur wn chapter's and the fraternity's ttal lss recrd, the lss recrd f the whle fraternity wrld des have an affect as well. Because the insurance marketplace fr fraternities is limited, any significant catastrphe r precedent-setting legal claim can have a brad impact in this market. 17. What are the benefits f a "grup" plicy? Grup plicies have been prven t ffer the bradest cverage at the mst affrdable csts. They prvide cntinuity and ften include additinal services such as educatinal prgramming and lss cntrl assistance as well as chapter huse inspectins. 18. When is the RMF membership cntributin insurance billed and payable? Statements fr each new prgram year are distributed at Balfur LTW and via in early August. Payment is due in full by September 15, unless the chapter pts fr the half- r mnthly-payment plan. If membership cntributins are nt paid by the due date, membership in the RMF prgram may be suspended and insurance cverage terminated. Withut insurance, individual chapters and their members may becme persnally liable fr any claims that might arise. 19. Hw ften des the RMF review its insurance prgram? The RMF Bard f Directrs reviews varius aspects f the risk management prgram annually. Additinally, Sigma Chi Fraternity's Executive Cmmittee reviews the RMF Bard's recmmendatins annually. 20. What are the RMF Prgram limits f cverage? 5

6 The limits f cverage fr chapters and undergraduates are $1,000,000 Per Occurence. The limits f cverage fr all ther insureds under the RMF insurance prgram are $11,000,000 Per Occurence. 21. Wh d we cntact with questins? At HQ: RMF Managing Directr 1714 Hinman Ave Evanstn, IL RMF@sigmachi.rg RMF insurance brker: James Favr, Favr & Cmpany, Inc E Evans Ave Aurra, CO Phne: (800) r (303) Fax: (303)