I talked to my agent (PemCo) about our situation. PemCo doesn't write this kind of policy anymore, but he gave me a good contact of someone that can get the information for us and give us a quote. I did, however, have a long talk with my agent about what we should look for. There are two kinds of insurance policies that might both be appropriate at some point. The one (liability insurance for the board) is what we have been kicking around since Kathy suggested it about two years ago now. The other is called "general liability" insurance. >From what I gather... 1) Board Liability Insurance - would cover each one of us from inappropriate actions/directives as the governing body of the corporation. I don't know if it's a good example or not, but say we were to decide not to allow minorities to become members and someone sued us as a result. We could be held personally liable to pay any damages awarded. We would never do this, of course, but there are probably better examples of things we might innocently do that someone out there might take advantage of. My agent explained to me that we probably each have general liability coverage as part of our home insurance. I was surprised to hear that, but thankfully, I've never needed it. This would be like breaking someone's car window at the golf course - nothing to do with my home, but I'm still covered - in my case up to $500,000 (nobody get any ideas! :) Individually, that probably wouldn't be enough as he agreed with Bob's agent that we probably need a million, but given that my liability would be one-fifth (as one of the five board members) it might be okay. I would suggest that each of the other board members look into what coverage you might already have for this kind of liability. 2) General Liability - would cover a situation where someone was attending our meeting and they fell down the stairs. IF "our landlord" has it written into our rental agreement that they and their insurance company are NOT LIABLE for accidents and injuries related to our use of their facility, then we would have to have insurance to cover the medical bills and potential pain-and-suffering, loss-of-income, and other general abuses of our legal system that might come out of the situation. My agent suggests that we begin with a written document from our landlord that should state exactly what kind of coverage we would need to provide while making use of their facility. Bob, did the agents you spoke with say which kind of insurance they are suggesting? I hope this is helpful; it cleared up some confusion on my part. I'll let you know what kind of a quote I get from my referral. Rick -----Original Message----- From: owner-gsas-board@thekrib.com [mailto:owner-gsas-board@thekrib.com] On Behalf Of Bob and Judy Holmes Sent: Tuesday, March 23, 2004 8:07 PM To: gsas-board@thekrib.com Subject: Insurance update Thanks for the input Rick. I talked to my insurance agent (Allstate) today, and also another local agent (State Farm). Here's what I have found out so far: We can get a $1 million liability policy from state farm for $300 a year from State Farm (forgot to ask about the deductible, I'll find out tomorrow). We can get approximately the same coverage from Allstate for $217 ($250 deductible) I told both agents I would get back to them after the board discussed their proposed policies. I have an appointment with the State Farm guy on Friday. Allstate I can talk to any time. Both agents recommended the $1 million amount. Bob ------------------ To unsubscribe from this list, e-mail majordomo@thekrib.com with "unsubscribe gsas-board" in the body of the message. Old messages are available at http://lists.thekrib.com/gsas-board When asked, log in as username is "gsas-board", and password "baba oreilly".
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