Produced by: Robert Kluth BA (Hons) ACII Chartered Insurance Broker Director – Leisure Division December 2012

Lorica Insurance Brokers – our background How can liability arise? What cover is available? What is an adequate level? Any Questions 2 December 2012

Insurance Broker, whose Leisure Division specialise in the provision of insurance & risk management advice to the Amusement Industry Although Lorica Leisure is a new division, key personnel are highly experienced in this sector Work closely with trade associations, including BALPPA, IAAPA and BIAZA 3 December 2012

Your actions Your omissions Your advice Assumed under contract 4 December 2012

Death Personal injury Property damage Financial loss 5 December 2012

Public Liability (PL) Professional Indemnity (PI) Directors & Officers Liability (D&O) Legal Expenses 6 December 2012

PL & PI are critical I wouldn’t be a Director or senior manager of a company that didn’t have cover for D&O 7 December 2012

PL provides cover claims arsing from your physical actions PL will exclude claims arising out of advice, design, specification, survey or direction for a fee PI provides cover for the above PI sometimes exclude claims for physical work on site or the sale of any products 8 December 2012

I am only the inspector and the claim would be against the operator If there is a fault with the ride it should be passed back to the manufacturer I only inspect small juvenile rides It is too expensive 9 December 2012

On a large loss everyone that had any involvement with the ride will be brought into the claim, either by the claimant or the defendant’s insurers Without insurance can you afford to defend your position? If your insurance cover is inadequate, your insurers could pay out the maximum limit of indemnity and walk away 10 December 2012

Should provide cover for claims arising for both your actions and your advice Needs to be able to respond to any size of claim that could arise Needs to satisfy the requirements of your customers 11 December 2012

The largest personal injury claim in the UK is £23,000,000 and that doesn’t include any costs! 12 December 2012

The level of care the injured party will require Cost of the care Life expectancy Investment returns 13 December 2012

With advances in medicine, persons with severe injuries have more chance of survival and can live a lot longer The cost of medical care increases each year Investment returns have fallen significantly The Result –personal injury awards will continue to increase 14 December 2012

No If things go wrong, who would be hurt and how extensive would their injuries be? The claim will be expensive if the injuries are permanent and will result in the injured party requiring ongoing medical care and assistance 15 December 2012

The suitability of the insurer (financial stability) Is the limit of indemnity inclusive of cost? Do any of the contracts you have impose upon you minimum requirements in respect of liability cover? Do you know what insurance cover your clients hold? 16 December 2012

It is dependent upon precisely the work you do, every business is different. However The limit of indemnity for PI should be at least equal to that you have for PL A limit of indemnity of less than £1,000,000 is likely to be inadequate 17 December 2012

Your Company may have Limited Liability, unfortunately Directors do not! 18 December 2012

19 December 2012