New Zealand Inc. Insurance Covers Updated January 2019 - - PowerPoint PPT Presentation

Musical Theatre New Zealand Inc. Insurance Covers

Updated January 2019

Introduction

• Do you own your own theatre?
• Are you part of a Board of Management

running a theatre facility?

• If so, Musical Theatre New Zealand can offer

you the following…

It is recommended that all theatres should hold the following insurances:

Covering

Public Liability insurance responds to claims that a business or organisation is legally liable to pay compensation in respect of unintended and unexpected personal injury and property damage arising out of products or services. This insurance can cover both the cost of claims for compensation that the business or organisation is legally liable to pay, and also the costs of defending the claim, including the costs incurred in any investigations or negotiations

Sum Insured

$5,000,000

Public Liability

Punitive and Exemplary Damages - $1,000,000 This is a complex section of civil law but simply put, it is the amount awarded by a court to punish or make an example of any party for their negligence causing injury or loss to any party. Other Property in Care, Custody and Control - $250,000 This is your legal liability for having other peoples property in your care, custody and control, and is typically excluded from standard liability policies. Most liability insurance policies eliminates coverage for damage or destruction to other peoples property under the care, custody, and control

• f an insured person.

Public Liability - Extensions

Statutory Liability

COVERING Statutory Liability policies cover liability arising out of unintentional breach of almost all New Zealand statutes. They can indemnify organisations and individuals against

the costs associated with an investigation or prosecution for an unintentional breaches of statute. Policies typically cover:

• Judgments (fines)
• Defence costs
• Reparations (Health & Safety in Employment Act only)
• Representation costs at official inquiries or complaints tribunals

It is not uncommon for offences alleging breach of statute to operate on a 'strict liability' basis - i.e. intent does not need to be proved for a prosecution to be successful. Cover is designed to protect against the unexpected and not the results of wilful misconduct or ignorance of the law.

SUM INSURED – $1,000,000

The Musical Theatre New Zealand scheme is available to its members for a premium of $375.76 Incl. of GST for: Public Liability $5,000,000 Statutory Liability $1,000,000 Almost without exception, the premium rates for this type of cover ranges from $550.00 - $650.00 + GST.

Premium Cost

Employer’s Liability – Optional Extra

WHEREVOLUNTEERS ARETREATEDTHE SAME AS EMPLOYEES BY WORKSAFE NZ Covering -

Employers Liability insurance is to protect the organisation against claims by their employees/volunteers for damages as a result of personal injury arising

• ut of or suffered during their employment that is not covered by ACC.

Sum Insured -

$500,000

Premium Cost –

$120.00 + GST

Associations Liability – Optional Extra

Despite their not-for-profit or charitable nature, associations have faced a significant increase in liability in recent years due to heightened expectations of responsibility and accountability being applied to the management teams of

• rganisations.

The risk presented by an association is not limited to the organisation

• itself. Members of the board, trustees or the management committee are

legally liable for their conduct, potentially placing their personal assets at risk. Although the association may indemnify its office holders for claims made against them arising. This indemnity however is not always guaranteed as there may be insufficient funds or the circumstances may not permit the indemnification to operate. An Association Liability policy will address the concerns and liabilities of both the association, and the officers of the association. For more information, please contact Aon

New Insurance Offer From AON

EVENT CANCELLATION INSURANCE

Event Cancellation

• The Event Cancellation Policy provides cover for cancellation

due to a cause outside the control of the insured and the participants.

• The risk determines the premium anyway with an outdoor

event attracting a much higher premium than an indoor event due to the much greater exposure to adverse weather events.

• An option is to take cover for Non Appearance - where this is

required or to be considered information on the individuals is required such as date of birth and is a little bit like adding an illness and accident cover.

How Would It Work?

• You would insure the full value of a total loss without

allowance for any waivers or recoveries.

• You can insure for either the estimated total gross receipts

(ticket sales) in which the case the sum insured will allow for the expected profit or for the total expenses.

• You would not made deductions for expenses that you they

believe will not be incurred in the event of cancellation.

• In the event of a claim the policy will respond by meeting the

net loss after deduction of any savings made.

Premium Cost

• The risk determines the premium with an outdoor event

attracting a much higher premium than an indoor event due to the much greater exposure to adverse weather events.

• Based on “SHOW X” staged in a provincial city last year – out
• f the $159,700 in expenditure incurred, the premium would

have been $965.00 + GST

• If you are interested in looking in to Event Cancellation

insurance, please contact the MTNZ Office for further information.

Other Services Available

• AON is happy to do a full no cost review of all existing

insurance covers.

• They will benchmark your existing premium cost against what
• thers are paying throughout the country.
• This gives each individual Society the ability to personalise its

insurance to suit its own circumstances while having the benefits of a national New Zealand wide focus.

• This is particularly important when cash flow is tight and

insurers are looking to increase premiums throughout the length of the country.

AON Contact

Ashley McDonald Aon New Zealand

Phone 0800 100 441 or 06 873 0430 Cell 027 485 0975 Email ashley.mcdonald@aon.com