MUNICIPALITY OF THAMES CENTRE RECREATION. Facility User Group Liability Insurance Program

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1 MUNICIPALITY OF THAMES CENTRE COMMUNITY SERVICES & DEVELOPMENT RECREATION REPORT NO. PR TO: Mayor and Members of Council FROM: Liz Murray DATE: December 15, 2014 SUBJECT: Facility User Group Liability Insurance Program RECOMMENDATION: It is recommended that: That Report PR is received and that Council approve the implementation of a Facility User Group Liability Insurance Program, requiring groups and/ or individuals renting our municipal facilities, that do not have adequate coverage, to purchase insurance. PURPOSE: To provide Council with a report outlining a proposed Facility User Group Liability Insurance Program, and to seek Councils approval to adopt the Insurance program, and make it mandatory for all rental groups/ individuals that do not have adequate coverage to purchase insurance. BACKGROUND: One of the main functions of the recreation department is to rent out municipal facilities such as arenas, community centers, parks, pavilions and playfields to residents, associations and sports groups for a variety of functions and/ or activities. Currently when a facility is booked, the user assumes all liabilities resulting from their activity as outlined in their Facility Rental Contract. In the event of a claim, the user is not covered by the Municipality' s insurance ( unless they can prove the Municipality was negligent). Unless the user has specific insurance coverage for the event, the organizer will be at financial risk. As you know society has become litigious and therefore civil actions are on the rise along with the financial award of these civil lawsuits. That being said it is important that those renting our facilities are protected accordingly from liability. The Facility Rental User Liability Insurance Program provides individuals/groups renting any municipal facility an affordable and convenient way to obtain liability insurance in order to mitigate financial exposure associated with claims made from their rental. If the user does not carry the required insurance, the user must purchase insurance through this program at the time of booking. The program protects both the user group and the Municipality against liability claims. Two Insurance brokers were contacted, Programmed Insurance Brokers and McFarlan Rowlands; both brokers represent Frank Cowan Insurance. The two brokers quoted similar programs; therefore, if Council approves the user insurance program, I recommend we utilize McFarlan Rowlands. Thames Centre has an account set up with McFarlan Rowlands and they are familiar with our operations.

2 Report No. PR Date: December 15, 2014 Page 2 COMMENTS: Attached for Councils' review is an outline of the program including rates. The rates vary and depend on the type of activity ( low to medium risk), the number of users, the length of the rental. whether alcohol or no alcohol will be provided. These rates appear to be very reasonable for the coverage provided. Should Council wish to implement this program, staff will develop a policy & procedure for Council approval. The program will be communicated to existing user groups and new clients at the time of booking. The information will be included on the Municipal website. Full implementation to take place upon approval of the User Insurance Program Policy. Existing contracts will have the new fee added to any future bookings. Dale Hunter from McFarlan Rowlands Brokers will be providing a brief presentation outlining the program and its benefits. CONSULTATION: Stewart Findlater Dale Hunter and Marc Sequin, McFarlan Rowlands Insurance Brokers Program Insurance Brokers ( PIB) Scott Mairs, Director of Community Services Middlesex Centre Mary Ellen Weatherhead FINANCIAL IMPLICATIONS: There are no financial implications to administer this program, the user pays for the insurance and the recreation department submits the money to McFarlan Rowlands. REFERENCES/ ATTACHMENTS: Facility Rental User Liability Insurance Program description and rates. Prepare. by: Review: by: Liz Murr.: y, Man. - r of Recreation Stewart Findlater, Director of Community Services Review-. by: It Greg Brduas, CAO

3 Who is eligible? Facility User Group Program For The Corporation of the Municipality of Thames Centre Policy # tba ($ 2M / $ 5M) Any person or organization using The Corporation of the Municipality of Thames Centre facilities that does not have their own insurance. Depending on the type of activity, sport or event, facility users will have the opportunity to purchase insurance coverage through the Facility User Group Insurance Program based on the pre- determined activities and rates subject to the limitation and exclusion outlined in the policy wording. Sport and recreation groups at local levels who do not belong to a Provincial / National Association would also be eligible for coverage. Note: Coverage only applies to the activity and dates disclosed on the permit application. The Insurance Company must approve activities. Some restrictions apply. LIABILITY INSURANCE Why Liability Insurance? Because of your operations or actions you are open for possible suit from Third Parties. You may not be liable but you will need to be defended in court. A liability policy pays for this defence as well as any costs found against you. Legal fees can be very expensive and this can be an affordable way to have them covered. This Policy covers your legal liability for bodily injury to or damage to property of others such as spectators, passers- by, property owners and others resulting from your activity. In addition, you legal liability to participants is covered in most cases. Note: The Liability Policy DOES NOT provide Benefits for Medical Expenses incurred as a result of an injury sustained by an insured member while participating in a sanctioned insured activity. The Liability Policy PROTECTS YOU IN THE EVENT OF A LAWSUIT against claims of bodily injury or property damage. The typical types of claims filed against you include spectator slip/ trip/ fall injuries and injuries to sports participants. Who is Covered? All members collectively including you, your spouse, your members, your partners, their spouses, an organization, your executive officers and directors, your stockholders, your employees, your volunteers, any member participating in a sporting activity including participants, executives, managers, coaches, trainers, officials and volunteers while acting within the scope of their duties on your behalf. COMMERCIAL GENERAL LIABILITY This policy covers your legal liability for bodily injury to or damage to property of others such as spectators, passers- by, property owners and others resulting from your activity. In addition, your legal liability for injury to participants is covered. ( A few disciplines may not be eligible see exclusions.) User Groups are only covered while using The Corporation of the Municipality of Thames Centre facilities. 2,000,000 / $ 5,000,000 occurrence All Claims Subject to a $ 500 deductible ADDITIONAL INSURED The Corporation of the Municipality of Thames Centre is added as an additional insured but solely with respect to the liability which arises out of the activities of the named insured.

4 Facility User Group Program For The Corporation of the Municipality of Thames Centre Policy # tba ($ 2M / $ 5M) YOUR POLICY INCLUDES THE FOLLOWING COVERAGE Premises Property and Operations Provides coverage for the insured who is responsible in the scope of their operations for premises and property to which they have control over. It also includes coverage for their own operations ( activities). Blanket Tenants Legal Liability $1, 000,000 Provides coverage for your legal responsibility for damage to premises that you rent in the course of your activities up to $ 1, 000, 000. Occurrence Basis Property Damage This is just a broader type of coverage. Occurrence happens over a period of time whereas an accident wording is sudden and accidental. Liability for injury to participants In many standard liability insurance policies participants are excluded but in the broad form coverage with ALL SPORT, this coverage is included if the injury is caused by the negligence of the insured. Voluntary Medical Payments Reimburses others ( non- participant third party) for their medical expenses if they are injured as a result of your activities up to $ 10, 000. Personal Injury Coverage against Libel, Slander. Cross Liability Clause This clause allows for additional insureds to sue, if necessary within their policy. The description of coverage contained herein is not complete and reference must be made to the actual terms and conditions of the applicable policy forms. Underwritten by Certain Lloyd' s Underwriters through Allsport Insurance Marketing Ltd. EXCLUSIONS Data Exclusion Terrorism Exclusion Asbestos Exclusion Fungi Exclusion Abuse or Molestation Exclusion Excluded Activities Endorsement * Listed below EXCLUDED ACTIVITIES ENDORSEMENT Minor Hockey ( 18 & under) Contact Hockey Alpine Skiing Snowboarding Boxing Kick- boxing Rugby Skateboarding/ Skateboard Parks Tackle Football Horse- related activities Fireworks ( unless under the direction of a Fireworks Supervisor Cycling Contact Lacrosse Gymnastics Climbing Walls Contact Martial Arts

5 Insurance Protection for You User Group Policy The Corporation of the Municipality of Thames Centre No one likes to think of accidents happening at sporting events but unfortunately they do occur. McFarlan Rowlands Insurance Brokers Inc. in conjunction with All Sport Insurance Marketing Ltd. has an insurance product designed to meet the needs of local sporting organizations and user groups. The Corporation of the Municipality of Thames Centre is pleased to offer this liability insurance to community organizations or individuals who rent The Corporation of the Municipality of Thames Centre facilities to host recreational events and programs, meetings and cultural events. Through McFarlan Rowlands Insurance Brokers Inc., a recognized insurance broker, insurance is affordable, accessible and provides$ 2 million liability coverage. Below is a list of frequently asked questions about the User Group Policy. Why does my group need User Group/ Sports Liability Insurance? No matter how careful you are, accidents happen. Your group could be sued by anyone who claims injury or damages resulting from activities of your organization. Even if you are eventually found to be blameless, litigation expenses could severely strain your resources. Liability insurance will defend you and pay for damages that may be awarded against you. Insurance protection will provide you with peace of mind knowing that liability and any resulting legal issues will be handled for you. Who is covered? All members of your organization including Executives, Managers, Coaches, Trainers, Officials, Employees and Volunteers while acting within the scope of their duties on your behalf only while using the facilities of The Corporation of the Municipality of Thames Centre for which you have obtained a permit. What is covered? The policy covers your legal liability for bodily injury to or damage to property of others such as spectators, passers- by, property owners and others resulting from your activity. In addition, your legal liability for injury to participants is covered. We are part of a provincial/ national sporting organization; do we need the User Group coverage too? Check with your association before purchasing the User Group coverage. The association' s insurance may or may not extend to your event or activity. If the association sanctions your event, a certificate of insurance should be provided to The Corporation of the Municipality of Thames Centre. What activities are covered? Sanctioned or authorized events within your sport discipline included related training authorized by you only occurring at The Corporation of the Municipality of Thames Centre facilities. The insurance company must approve these activities. How do we apply for coverage? Contact The Corporation of the Municipality of Thames Centre. Coverage can be obtained at the time of renting the facility. Do we need to advise when people join or leave our group? Yes, advise The Corporation of the Municipality of Thames Centre so they can maintain accurate records. Isn't insurance on sports activities expensive? It can be. However All Sport has evaluated the risk associated with different types of sports. Premiums are charged according to your specific sport, number of members and types of activities to ensure you the best possible rate. What do we do in the event of a claim? As the policy is providing liability coverage, in the event of a serious injury or a legal action, please contact The Corporation of the Municipality of Thames Centre immediately. They will contact the representative from CMR. Who do we call if we have questions about the policy? Contact The Corporation of the Municipality of Thames Centre. If they are unsure of the answer they will make inquiries on your behalf. Note: Some activities may not be eligible for coverage due to the nature of the activity.

6 FACILITY USER GROUP PROGRAM SPORT ACTIVITIES Low Risk Activities: Badminton, Bowling, Curling, Dance Lessons, Horseshoes, Shuffle Board, Table Tennis, Tennis, Tai Chi, Public Skating Medium Risk Activities: Baseball, Basketball, Broomball, Cricket, Dodge ball, Field Hockey, Ball/ Roller/ Floor Hockey, Handball, Racquetball, Soccer, Softball, Slo- pitch, Squash, Swimming with Lifeguard, T-ball, Non- contact Touch/ Flag Football, Synchronized Swimming, Fitness Classes, Track & Field, Ultimate Frisbee, Volleyball, Yoga, Figure Skating, Non- Contact Martial Arts, Non- Contact Pick- up Lacrosse, Non- Contact Minor Pick- up Hockey, Ringette Excluded Activities: Alpine Skiing, Boxing, Climbing Walls, Contact Minor Hockey, Contact Adult Hockey, Cycling, Fireworks, Gymnastics, Horse Related, Kickboxing, Rugby, Skateboarding/ Skateboard Parks, Snowboarding, Tackle Football, Contact Martial Arts, Contact Lacrosse MEETINGS / WORKSHOPS NON- ALCOHOL) Arts, crafts, bridge, religious services, speakers, workshops/ classroom instruction i. e. Computers and language ( refer other types) EVENTS Anniversaries, art shows and exhibits, auctions, banquet, bazaars, adult birthday parties, dance parties, dinners, exhibits, family celebrations to include; christenings, showers, stags, weddings, etc., fashion shows, festival/ concert, garage sale for local neighbourhood ONLY at municipal facility, graduation, photo shoots, picnics, theatre performances, music and dance recitals/ performances, retirement, dance and talent shows, reunions Refer to McFarlan Rowlands Insurance Brokers Inc. for all other sports or activities.

7 USER GROUP RATING SCHEDULE Municipalities, Universities, Colleges, School Boards, Sports Facilities 2, 000, 000 / $ 5, 000, 000 Commercial General Liability All non- Canadian User Groups must be referred to McFarlan Rowlands Insurance Brokers ALL PREMIUMS ARE SUBJECT TO 8% Tax Type of Event of 2, 000, 000 Liability 5, 000,000 Liability Participants Low Medium High Low Medium High Hourly Rate for Sports Less than 1 day $ Refer $ $ Refer $ Refer $ $ 4.20 Refer $ Refer $ $ Refer One Day Sporting Events/ Tournaments Refer $ Refer Refer $ 50 $ 105 Refer $ 100 Refer $ 75 $ 150 Refer Two or Three day Sporting Events/ Tournaments Refer $ 75 $ 110 Refer $ 100 Refer $ 105 $ 150 Refer $ 125 Refer $ 130 $ 190 Refer Events/ Tournaments+ 250 or more than 3 days Refer to McFarlan Rowlands Insurance Brokers Inc. All Season Sporting Activities $ 100 Refer $ 110 $ 150 Refer $ 125 Refer $ 150 $ 190 Refer Maximum Coverage up to one year Flat Rate $ 150 Refer $ 190 $ 225 Refer Over 250 Refer Refer Refer Refer Refer Refer Occasional Pool Use Only Hourly Rate if applicable) Recreational Pool Activities 5. 00/ hour 7. 50/ hour Non- Contact Hockeyy Seasonal Use Maximum Coverage- up to one year) Pickup Hockey Per Team 5. 00/ hour 7. 50/ hour Pickup Hockey $ Max. 30 players 125 p er group perp session 190 per group per session Adult League Hockey 225 perp team perp session 340 per team per session Up to 8 teams$ 250 Up to 8 teams$ 375 Adult 9-16 teams$ teams$ 565 Tournaments Refer larger tournaments Refer larger tournaments BEER GARDENS Beer Gardens Separate Coverage for Host Liquor Liability Rate is in addition to Sport Tournament Rate / day 150/ day / day 225/ day / day 300/ day Over 500 Refer Refer

8 USER GROUP RATING SCHEDULE Municipalities, Universities, Colleges, School Boards, Sports Facilities 2, 000, 000 / $ 5, 000, 000 Commercial General Liability pg 2 All non- Canadian User Groups must be referred to McFarlan Rowlands Insurance Brokers ALL PREMIUMS ARE SUBJECT TO 8% Tax Type of Event of Partici. ants 2, 000, 000 Liability 5, 000, 000 Liability Meetings Flat rate per meeting max 1 day $ per meeting max 1 day $ per meeting max 1 day $ per meeting max 1 day No Alcohol With Alcohol No Alcohol With Alcohol Inc. Beer garden Inc. Beer garden Events Flat rate Refer 375 Refer Over 1000 Refer _ Refer Refer Refer 2-3 Day Meetings/ Events Twice Daily Rate 4-5 Day Meetings/ Events Triple Daily Rate Annual Monthly Meetings Children' s Birthday Parties 1. Birthday Party/ Meeting Room UNLIMITED Five Times Meeting Rate 2/ hour 3/ hour 2. Birthday Party/ Meeting Room/ Sports 4/ hour 6/ hour includes gym/ pool/ arena use) Special Rate for the following events only No Alcohol With Alcohol Family celebrations such as: showers, Refer Refer christenings, family dinners, picnics and No Alcohol With Alcohol retirement parties Camp Programs Including Multi- Sport Coverage applicable Per Camp Session Up to flat rate 150 flat rate Maximum 2 weeks) Does not indude Hockey. Over per artici ant p p 3 per participant