Simmlands Insurance Brokers - Power Cart Liability and FAQs

Important Message Regarding Management Duties of Golf Professionals

The master liability program provided by the association was renewed on January 1, 2006. As many of you know the National board has been working towards ensuring that the premiums remain competitive and coverage appropriate to the needs of a majority members. Consequently the decision was made to exclude coverage for ownership of power carts by members that resulted in significant premium reductions.

Also effective with this year’s renewal the liability program has been clarified to limit coverage for management activities to only incidental management duties performed on behalf of the club. Every professional will engage in some form of management on behalf of the club from supervising starters and marshals employed by the club to sitting on various committees and organizing events such as tournaments and signing up new members. Your exposure therefore is incidental (the technical insurance term is Vicarious Liability) since the club would be primarily responsible. In these cases the CPGA liability program would protect you. In the event however that your liability becomes primary and you do not have the club’s insurer to protect you for your management activities performed on behalf of the club you will need to obtain additional insurance since the CPGA program no longer covers those activities. There are a number of situations where you may need to consider this extra coverage. If either of the following applies you should consult our brokers for additional information on coverage options.

1) Operating a golf facility under contract.

If you are an independent contractor and have a contract for services you will probably need additional coverage. This would most likely occur if you are at a facility owned by a municipality, provincial or federal authority. Typically a government entity will hold their contractors wholly responsible for any accident or injury that occurs at the facility and will not name you on their insurance policy.

2) Ownership of the food and beverage operation.

The master policy protects you for incidental food and beverage operations up to $25,000 in annual revenue. If the revenue from your food and beverage operation exceeds that amount you will need to obtain additional coverage.
With the increasing trend towards golf professionals becoming employees of the club the need for additional liability coverage is reduced since the club (the employer) is automatically responsible for the acts of its employees. There is still confusion among many members on what actually constitutes “independent contractor” status.

If you are uncertain about any of these issues we strongly urge you to contact Simmlands Insurance Brokers who administer our program. They can help you determine if you need additional coverage and provide a quotation if necessary.

Simmlands Insurance Brokers
(416) 865-1881 Toll free (800) 218-9331 Jim Hylands
Steve Simmonds
John Simmonds
In Quebec contact Suzanne Forgues at (450) 359-6620

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Important Message Regarding Management Duties of Golf Professionals The master liability program provided by the association was renewed on January 1, 2006. As many of you know the National board has been working towards ensuring that the premiums remain competitive and coverage appropriate to the needs of a majority members. Consequently the decision was made to exclude coverage for ownership of power carts by members that resulted in significant premium reductions. Also effective with this year’s renewal the liability program has been clarified to limit coverage for management activities to only incidental management duties performed on behalf of the club. Every professional will engage in some form of management on behalf of the club from supervising starters and marshals employed by the club to sitting on various committees and organizing events such as tournaments and signing up new members. Your exposure therefore is incidental (the technical insurance term is Vicarious Liability) since the club would be primarily responsible. In these cases the CPGA liability program would protect you. In the event however that your liability becomes primary and you do not have the club’s insurer to protect you for your management activities performed on behalf of the club you will need to obtain additional insurance since the CPGA program no longer covers those activities. There are a number of situations where you may need to consider this extra coverage. If either of the following applies you should consult our brokers for additional information on coverage options. 1) Operating a golf facility under contract. If you are an independent contractor and have a contract for services you will probably need additional coverage. This would most likely occur if you are at a facility owned by a municipality, provincial or federal authority. Typically a government entity will hold their contractors wholly responsible for any accident or injury that occurs at the facility and will not name you on their insurance policy. 2) Ownership of the food and beverage operation. The master policy protects you for incidental food and beverage operations up to $25,000 in annual revenue. If the revenue from your food and beverage operation exceeds that amount you will need to obtain additional coverage. With the increasing trend towards golf professionals becoming employees of the club the need for additional liability coverage is reduced since the club (the employer) is automatically responsible for the acts of its employees. There is still confusion among many members on what actually constitutes “independent contractor” status. If you are uncertain about any of these issues we strongly urge you to contact Simmlands Insurance Brokers who administer our program. They can help you determine if you need additional coverage and provide a quotation if necessary. Simmlands Insurance Brokers (416) 865-1881 Toll free (800) 218-9331 Jim Hylands Steve Simmonds John Simmonds In Quebec contact Suzanne Forgues at (450) 359-6620