Does your club have the right car club insurance in place?
A car club needs different types of insurance to protect its members and belongings. Here are some examples:
General Liability Insurance:
This insurance helps the car club if someone gets hurt or something gets damaged during club activities or on the club’s premises. It covers the costs if someone sues the club.
Your club would wabnt to consider liability insurance even if you do not have a clubhouse or operating premises. If you organize or attend several events during the year, it will be better to by an annual liability insurance policy than to buy individual event insurance policies.
Imagine that you have a display set up at the Timonium fairgrounds for their annual car show. Your setup is pristine and is attracting many visitors to your booth. Then suddenly, someone trips over a power cord, falls down, and breaks their arm.
Who will they be looking for to pay for their medical expenses and possibly lost wages and pain and suffering?
You got it. They will be looking for your club to pay. If you do not have the right insurance, then your club could be bankrupted.
Property Insurance:
This insurance protects the club’s things like the clubhouse, meeting places, and equipment. It pays for repairs or replacements if there is damage from things like fires, theft, or accidents.
Event Liability Insurance:
Most car clubs organize events like car shows or parades. Event liability insurance covers accidents or injuries that happen during those events. It also helps if something gets damaged. Most general libility insurance policies will cover most events for the organization. But there may be some that will need their own event liability insurance policies. Check with the car club’s insurance agent to see if your events are covered.
Parades are often not covered under the standard general liability insurance policy. Terefore, if your club is organizing a parade, you most likely will need to get a separate parade event liability insurance policy to coverr the event.
Why would you want to have parade insurance?
There was a real life tragedy at a parade event in Annapolis, Maryland several years ago. During the parade, the participants were throwing candy to the spectators from their moving vehicles. A small child saw a piece of candy in the roadway and darted out to pick it up. Unfortunatley, one of the parade vehicles did not see the child in time and struck and killed the child.
Not only did the operator ove the parade vehicle get sued, but so did the organization who organized the parade. Having the right parade insurance in place can provide protection should an unfortunate incident like this happen to your organization.
Directors and Officers (D&O) Liability Insurance:
This insurance protects the directors and officers of the club from getting in trouble for mistakes they make. It pays for their legal defense if they get sued.
Did you know that as a director or officer of a non profit organization that you could be held personally liable for your decisions? It is critical that before joining a board that you verify that they have the proper directors and officers insurance plan.
Claim Example:
A club member alleges that the board of directors of the car club made negligent decisions regarding the club’s finances, resulting in significant financial losses for the club and its members. The member believes that the directors did not exercise proper due diligence and breached their fiduciary duty. The member files a lawsuit against the directors, seeking damages to compensate for the financial harm caused.
In this case, the D&O liability insurance would come into play by providing coverage for the legal defense costs of the directors named in the lawsuit. As well as potential settlements or judgments if they are found liable for the alleged negligence. The insurance helps protect the personal assets of the directors and ensures that the club’s operations can continue smoothly despite the legal challenges.
Hired and Non-Owned Auto Insurance:
If the club rents cars or uses members’ cars for activities, this insurance covers accidents and damage that happen while using those cars.
Inland Marine Insurance:
When the club transports valuable cars to events, this insurance protects against damage or theft during transportation.
Participant Accident Insurance:
If the club plans activities like races or driving experiences, this insurance helps cover medical expenses if someone gets hurt.
Types of Car Clubs we Insure:
- Jeep Clubs
- Corvette Clubs
- Exotic Car Clubs
- Muscle Car Clubs
- Classic Car Clubs
- Sports Car Clubs
- Etc.
Contact Huff Insurance for your car club
It’s important for a car club to talk to an insurance agent who knows about car clubs. We ecan help figure out the right insurance to keep the club and its members protected.
Call us today or fill out the quote form and get the coverage your car club needs.
Our team is here to help you find the right insurance for your club and its members. Get the protection you need while enjoying the freedom of being on the open road.
Let’s hit the road together!
Why Huff Insurance?
Huff Insurance is a local, family-owned and operated independent insurance agency located in Pasadena, MD. Proudly serving our community since 1960, we are dedicated to providing customized insurance protection plans for individuals, families, and businesses.
