LIONS CLUBS INTERNATIONAL LIABILITY INSURANCE PROGRAM

GENERAL NAMED INSURED The International Association of Lions Clubs has a program of Commercial General Liability The International Association of Lions Clubs, all Insurance that covers Lions on a worldwide Districts (Single, Sub - and Multiple) of said basis. The policy is issued by ACE American Association, all individual Lions Clubs Insurance. All Clubs and Districts are organized or chartered by said Association, Leo automatically insured. No action on your part Clubs, Lioness Clubs and any other Lions is necessary. organization owned, controlled or operated by a Named Insured or by individual Lion members The purpose of this booklet is to describe the while acting on behalf of a Named Insured. plan in a manner that will enable Lions to understand its application to their activities. The If an entity falls within this definition, it is a Provisions of the policy apply to most normal named insured under the policy. Note, however, liability exposures of Lions Clubs and Districts, that the Constitution and By-Laws of the including their functions and activities. Claims International Association of Lions Clubs provide arising out of liability for the operation, use, or that no individual or entity other than Lions maintenance of aircraft, automobiles owned by Clubs and Districts may use the Lions name or Lions organizations and certain water- craft are emblem without a specific license granted by the not covered (See “Exclusions”). These pages are International Board of Directors. (See question explanatory only and cannot cover all possible number 20.) We cannot issue a certificate of situations. Nothing in this booklet can be insurance showing such an entity as the insured construed to extend, alter, vary or waive any of unless approval has been granted. the provisions of the policy. If unusual situations arise which require further explanation, inquiry ADDITIONAL INSUREDS should be directed to: (GENERAL LIABILITY ONLY)

WILLIS HRH • Lion, Leo and Lioness Directors, 333 E. BUTTERFIELD ROAD, Fifth floor Officers, Employees and Members are LOMBARD, ILLINOIS 60148 included as additional insureds for Phone (630) 324-2778 or (800) 316-6705 liability incurred while acting in such Fax (630) 324-2501 capacities. E-mail [email protected] • Individual volunteer workers are included as additional insureds for Bear in mind that this is a legal liability policy liability incurred while working in only, and does not provide “accident” insurance Lions projects. that will pay for injuries regardless of fault. • Persons or organizations, public or Limited “Medical Payments” coverage is private, granting use of premises for provided, but it does not apply to a person Lions activities are included as injured while taking part in athletics. additional insureds for their liability arising out of the use of such premises INSURER by Lions, except when liability is due to ACE American Insurance Company sole negligence of the person or organization granting such use. NOTE: The contents of this booklet can be Premises are defined as real property viewed at www.lionsclubs.org including structures thereon.

Revised May 2009 1 LA-3 • Also included, as additional insureds, Automobile Liability are states or political subdivisions that issue permits to a Named Insured for Liability for the use of automobiles owned by a liability arising out of the Named Named Insured is NOT covered. The liability of Insured’s activities under said permit. a Lions organization (Named Insured) for the use of hired or non-owned automobiles (including LIMITS OF INSURANCE members’ automobiles) is covered, but only as excess over the owner’s insurance. If a Lions General Aggregate Limit organization owns an automobile, it must be $2,000,000. separately insured. Coverage is not provided for Products-Completed Operations Aggregate the liability of the owner or operator of any $2,000,000. automobile, or for physical damage to any Personal & Advertising Injury Limit automobile used in connection with Lions $1,000,000. activities. The term “automobile” includes Each Occurrence Limit busses, trucks and trailers. $1,000,000. Damage To Premises Rented To You Automobiles your club might rent or borrow are $1,000,000. a particular concern. The policy does not provide Premises Medical Expense Limit automobile physical damage insurance. If you (Any one person) rent an automobile, be sure to purchase insurance $ 1,000. from the rental company to cover damage to the vehicle. The Limit of Liability applicable to each occurrence is $1,000,000 for Bodily Injury and The same limitations apply to other property you Property Damage combined. If the activities of might rent, borrow or use. See questions 4 and 5 your Club or Lions Organization are such for further comments. that you desire a larger limit of liability, it is recommended that you arrange locally for an Exception Umbrella or Excess Liability policy. In certain countries there are compulsory motor COVERAGE vehicle laws fixing responsibility on the owner for accidents arising out of the use of an General Liability automobile. In other countries there are laws regulating automobile insurance that could The policy pays sums that the insured, including render the coverage provided by this program Lions Clubs and Districts and individual invalid. In such countries, the Hired, Rented and members and volunteer workers, becomes Non-Owned Automobile Liability coverage legally obligated to pay as damages to third would not apply. parties because of Bodily Injury or Property Damage caused by an occurrence arising out of Contractual Liability or in the course of Lions functions and activities. If your club enters into a written contract, it is The following liability coverages are provided: likely that it will contain a “Hold Harmless • Premises, Operations and Activities Agreement” which requires you to protect the • Products and Completed Operations other party from injury or damages arising out of • Owners and Contractors Protective your activities. Many agreements that used to be • Contractual Liability made on a handshake now require a written • Personal Injury & Advertising Injury contract to define each party’s rights and obligations. The policy does provide Contractual • Damage To Premises Rented To You Liability insurance, but the contract might • Incidental Malpractice contain unfair or ambiguous wording that would Medical Payments • not be covered. Legal advice is necessary when

entering into contracts. Specific legal advice Please review this booklet for additional details concerning leases and other agreements should regarding this coverage. be provided by local legal counsel. See question

21 for further comments.

Revised May 2009 2 LA-3 EXCLUSIONS Persons or organizations granting use of premises used by Lions are included as The policy is the 2001 ISO Commercial General additional insureds under your policy with Liability form on an occurrence basis and respect to their liability for your use of their contains the exclusions usual to such insurance, premises. Where necessary, Certificates of including: Insurance can be issued in their favor upon • Liability arising out of employment request. related perils is NOT covered. • Liability arising out of the operation, SAFETY OFFICER maintenance or use of automobiles owned by a Named Insured is NOT Each Lions Club or other organization should covered. designate a Safety Officer with duties as follows: • Liability arising out of the operation, use or maintenance of aircraft is NOT 1. Review this booklet and pages 4, 5 and 6 in covered. particular as they apply to activities being • Liability arising out of the operation, planned. maintenance or use of watercraft owned by a Named Insured is NOT covered. 2. Review each Club activity from a safety • Pollution and Asbestos exclusions standpoint and identify potential hazards. apply. • The Liquor Liability exclusion applies. 3. Complete the self-inspection checklist for each Liability arising out of the sale or activity (available on the Association’s website) serving of alcoholic beverages is NOT and keep a copy on file. covered. When Clubs or Districts sell or serve alcoholic beverages or distribute 4. Ensure that there is adequate supervision of alcoholic beverages at a fund raising the event for the protection of Lion members, activity or event, separate Liquor spectators, participants and the public. Liability insurance should be arranged locally if available in your jurisdiction. 5. Obtain Certificates of Insurance from circuses, The Association’s experience in liquor carnivals, concessionaires, or other operators liability situations is such that it cannot who conduct or participate in Lions events, and recommend, and in fact discourages, have them name your Lions Club as additional clubs from participating in events insured. involving the sale or serving of alcoholic beverages. 6. Gather all significant information on any incident that might result in a liability claim and The policy is excess over any other valid and report it promptly to the insurance company as collectible insurance. instructed in this booklet.

SPECIAL ACTIVITIES PREMIUM PAYMENT

In general, the policy applies to most operations The costs of this insurance program are paid by and activities of Clubs and Districts with the the International Association of Lions Clubs. exception of the operation, use or maintenance of aircraft, automobiles owned by the Club or CLAIM COSTS District and certain watercraft. However, we emphasize that proper Certificates of Insurance The cost of the insurance program is directly should be obtained from any party who conducts related to the cost of claims. The cost of each an activity sponsored by Lions. Concessionaires claim adds to the amount paid by the or any parties conducting functions for Lions International Association of Lions Clubs and should carry their own liability insurance and Lion members through payment of their their policy should name the Lions Club or International dues. Since it is Lions’ money that District as and additional insured. pays the claims, it is important that Lions Clubs and other insureds make safety a priority in the conduct of their activities.

Revised May 2009 3 LA-3 HAZARDOUS ACTIVITIES CLAIM REPORTING

Experience over the years has shown that certain All claims, or occurrences which might lead to activities are quite hazardous. Some of these are: claims, should be reported promptly to ACE • DUNK TANKS Insurance. In the U. S. call (888) 217-8074 or • CARNIVALS, CIRCUSES AND outside the U.S. call (866) 809-0396. Contact RODEOS this number with full details of the occurrence. A • EVENTS WHERE ALCOHOL IS listing of international claim offices is included SERVED herein. • AMUSEMENT RIDES • SNOWMOBILE, GO-KART, When a claim situation arises, DO NOT admit SKATEBOARD AND OTHER RACES liability or suggest that compensation will be AND CONTESTS offered. If correspondence or other • ROCK CONCERTS communication is received indicating that a claimant feels a Lions member, Club or District • FIREWORKS DISPLAYS & SALES is responsible for damage or injury, an • PARKS, PLAYGROUNDS, immediate report should be made. SWIMMING POOLS

CONSTRUCTION & DEMOLITION • Satisfactory claim settlements can best be made PROJECTS by those properly trained for this function. No • TRACTOR PULLS INCLUDING Lion or Lions representative should enter into TRUCK OR PICKUP PULLS negotiations with a claimant unless requested to do so by the insurance company or the General Your Club should seriously consider the risk Counsel of Lions Clubs International. involved in conducting these or similar types of activities. If they are held, the Safety Officer TYPICAL QUESTIONS AND ANSWERS should develop and monitor a safety plan for the activity. If events are sponsored by Lions but I. DOES THE POLICY APPLY TO? conducted by others, be sure to obtain Certificates of Insurance indicating that the 1. Injury to a Lion or volunteer worker operator conducting the activity has adequate working on a Lions project? liability insurance naming the Lions Club as Only if there is legal liability resulting from additional insured. If you undertake a joint negligence of an insured. The Medical Expense project with another organization, the cosponsor Limit of $1,000 would apply regardless of is NOT protected by our policy and should have liability. adequate insurance of its own. 2. Food poisoning? EVIDENCE OF COVERAGE Yes.

Coverage afforded by the program is automatic. 3. Legal liability for damage to buildings If you are required to provide evidence of and their contents rented or used by Lions? coverage, a certificate of insurance may be The policy covers Lions for their liability for fire immediately printed online 24 hours a day 365 damage to buildings while rented or temporarily days a year at: www.lionsclubs.org in the occupied by Lions with the permission of the Resources section. You can also request a owner. Coverage also applies to Lions liability Certificate of Insurance by calling (800) 316- for damage to buildings and their contents from 6705, faxing your request to (630) 324-2779 or causes other than fire, while rented to Lions for sending an e-mail to [email protected]. seven or fewer consecutive days.

WILLIS HRH will make every effort to issue 4. Liability for operation of automobiles certificates within 2 business days, but please (including busses, trucks and trailers) hired allow up to 7 business days for receipt of all by, rented by or loaned to Lions certificates. organizations? Yes. The owner’s insurance is primary, but this policy provides excess and contingent liability coverage for the Named Insured. We cover the

Revised May 2009 4 LA-3 legal liability of the Club or District only. We do 11. Our Club operates a Glaucoma Clinic. not cover the owner or operator of the vehicle or Are we covered for malpractice on the part of damage to the vehicle or its contents. a doctor we employ? Is a doctor who donates his services covered? 5. Damage to property owned or used by The definition of “Bodily Injury” in the policy Lions or in their care, custody or control? has been amended to include injury arising out of No. the rendering of or failure to render professional services by a physician, dentist or nurse while 6. Lions liability for injury to a employed by, or donating his services to the participant in a sporting event or other Named Insured. Your Club would be protected similar activity conducted by Lions? for its contingent liability for the doctor’s acts. Only if there is legal liability resulting from The doctor’s own malpractice insurance would negligence of an insured. The Medical Payments be primary. We provide “Incidental Malpractice” coverage does not apply to a person injured coverage for the Club only and do not cover the while taking part in athletics. doctor for his direct professional liability. Trained professional technicians are treated the 7. Zone, District and other Lions same as doctors when performing services within conventions? their profession. Yes. 12. Is all coverage excluded for events at 8. Does a Leo, Lioness, Club Branch, which we sell or serve alcoholic beverages? New Century or Campus Club have the same No, the policy still covers the event, but the protection under the plan as a Lions Club? liquor exclusion applies to liability arising out of Yes. the sale or serving of alcoholic beverages.

II. OTHER QUESTIONS 13. Is “Medical Payments” coverage provided which will pay for medical expenses without 9. Our Club owns a building (or park or regard to legal liability? other facility) at which we conduct activities. Yes, but only to a limit of $1,000 per person. These are often open to the public and The coverage does not apply to injury to a person admission may be charged. We also rent the injured while taking part in athletics. building to others for various activities. Are these several phases of building operations 14. Our Club will conduct an aviation covered for our legal liability? activity. How does the policy apply to this? Yes. However, others who rent or use the The policy would apply to activities, building or facility should carry their own concessions, etc., at the event, but would not liability insurance and include your club as an cover accidents arising from the ownership, additional insured. Our policy does not protect maintenance or use of any aircraft. The show the renter or user for their liability. If alcoholic operator or aircraft owners must carry adequate beverages are served or sold, you or the user liability insurance. To be protected you must should arrange liquor liability insurance to have your Club named as additional insured protect both parties if required under the laws of under the operator’s or owner’s insurance or your jurisdiction. arrange separate coverage protecting your Club for the event. 10. Are any Worker’s Compensation benefits provided? 15. A Lion is driving his car on Lions No. If your club hires any employees you should business and strikes a tree, damaging his car arrange separate Workers Compensation and injuring himself. Is there any coverage insurance. If your club engages a contractor, under this policy? carnival operator or other service provider, you No. We do not provide physical damage should obtain a certificate of insurance which insurance on cars used on Lions business and includes Workers Compensation coverage from there would be no legal liability or medical them. payments coverage for the injury to the Lion member.

Revised May 2009 5 LA-3 16. Our Club owns a refreshment trailer 19. What other coverage should our Club from which we sell food and beverages at consider purchasing? fairs, carnivals, picnics or other functions. Do As previously mentioned, in situations where we need separate liability insurance? alcohol is sold or served, you should arrange for No. The current policy provisions state that a liquor liability insurance. If your club owns or vehicle maintained primarily for purposes other rents buildings or personal property, you should than transportation of persons or cargo is not an purchase coverage for damage to this property. “automobile” as defined in the policy, and Liability and Physical Damage coverage for coverage would apply. However, our policy owned vehicles including trailers, as well as would be excess over the insurance on the physical damage coverage for rented or leased vehicle towing the trailer in jurisdictions where vehicles, should be considered. If your club has such insurance extends to the trailer. employees, it is important that you arrange for workers compensation coverage where required 17. Our Club sponsors a soccer league (or in your jurisdiction. Please consult with a local Little League or other similar activity) which insurance agent to consider additional coverage is separately controlled by the league your club may need. organization. Is the soccer league an insured under our policy? 20. If our Lions Club allows the use of the No. The league should have its own Liability emblem and /or the name “Lions” by another coverage and should name your Lions Club as an entity, are they insured under our policy? additional insured. Sponsored athletic The Constitution and By-Laws of the organizations should also carry Sports Accident International Association of Lions Clubs provide insurance to cover medical expenses for that no individual or entity other than Lions participants who might be injured in the Clubs and Districts may use the Lions name or activities. The Medical Payments coverage under emblem without a specific license granted by the our policy does not apply to participants in International Board of Directors. Application for athletic events. such license may be obtained on the Association website under Club Resource Center/ 18. Does our club need to purchase Director’s Publications/ Legal/Registered Agent, & Officers Liability Insurance? Incorporation & Foundation Resources. Lion Clubs, Districts and other Lion organizations should consider purchasing If the entity has a current license granted by the Director’s & Officers liability insurance to International Association of Lions Clubs, the protect the organization and its individual provisions of the policy would apply. directors for alleged “wrongful acts”. Such policies include coverage for damages, 21. Our Club is leasing a hall for a settlements and costs, as well as charges and fundraising event. The lease has a “Hold expenses incurred in the defense of actions, suits Harmless Agreement” and other insurance or proceedings. The term “wrongful act” is requirements. If we sign the agreement, will typically defined to include any error, the association’s insurance policy provide the misstatement, misleading statement, act, coverage required? omission, neglect or breach of duty committed Specific legal advice concerning leases and other by an insured person. Clubs may also elect to agreements should be obtained from local legal purchase crime coverage including “Employee counsel. Dishonesty” insurance. Also referred to as a “fidelity bond”, this protection insures against Hold Harmless Agreements generally require loss of money, securities and other owned assumption of responsibility for “any and all” property as a result of dishonest acts committed liabilities. The association’s policy has various by an employee, officer or director whether or limitations and exclusions and does not therefore not they can be identified, or if they are acting in cover “any and all” liability. Other contractual collusion with other persons. provisions may not be consistent with the policy coverage. For these reasons, a club should be sure it has the insurance coverage required before it enters into leases or other contractual agreements.

Revised May 2009 6 LA-3 Should you have further inquiries regarding BERMUDA this policy, please contact WILLIS HRH or ACE Insurance Company the Lions Clubs International Legal Division: Plaza Scotiabank Bldg., 11th Floor 273 Ponce de Leon Avenue WILLIS HRH P. O. Box 191249 333 E. BUTTERFIELD ROAD, Fifth floor San Juan, Puerto Rico LOMBARD, ILLINOIS 60148 00919-1249 Phone (630) 324-2779 or (800) 316-6705 (787) 274-4700 Fax (630) 324-2501 E-mail [email protected] BRAZIL ACE Seguradora S. A. Legal Division Avenida Paulista, Lions Clubs International 1294 17o e 18o Andar Cequeira Cesar 300 W. 22nd Street Sao Paulo - SP, CEP 01310-915 Oak Brook, IL 60523 Brazil Phone: 630-571-5466, Ext. 360 (55-11) 4504-4315 Fax: 630-571-0953 Email: [email protected] CANADA ACE INA Insurance The Exchange Tower ALL CLAIMS SHOULD BE REPORTED 2 First Canadian Place, 12th Floor BY PHONE - U.S. (888) 217-8074 OR Toronto, Ontario OUTSIDE THE U.S. (866) 809-0396 M5X 1A6, Canada (416) 594-3067 ACE AMERICAN INSURANCE CLAIM SERVICE OFFICES CHILE ACE Seguros S.A. PO Box 493 Correo Central ESIS Chicago Casualty Claim Office Miraflores No. 222, Piso 17 525 West Monroe, 4th Floor Santiago, Chile Chicago, IL 60661 (562) 549-8361 PO Box 4864 Chicago 60680-4864 (312) 775-7800 or (800) 250-1649 COLOMBIA Ace Seguros De Colombia S.A. AUSTRALIA Calle 72 No. 10-51 ACE Insurance Asia Pacific Limited Pisos 7 and 8 ACE Building CP 29782 Santa Fe De Bogota Cundinanarca, 28-34 O’Connell Street Colombia Sydney N.S.W. 2000 Australia (57-1) 319-0400 (61-2) 9335-3382 DENMARK BAHAMAS ACE Insurance S.A.-N.V. ACE Insurance Company Kent House Plaza Scotiabank Bldg., 11th Floor Romney Place 273 Ponce de Leon Avenue Maidstone, Kent ME 15 6LT, P. O. Box 191249 San Juan, Puerto Rico 44.1622.403000 00919-1249 (787) 274-4700 GERMANY ACE European Group, Ltd. Lurgiallee 10 ACE European Group, Ltd. D 60439 Frankfurt/Main, Germany Franklin Rooseveltplaats R Bus 4 (49-69) 75613-118 2060 , Belgium (32-2) 231-8728

Revised May 2009 7 LA-3 IRELAND SOUTH AFRICA ACE European Group, Ltd. ACE Insurance Co. Ltd. 5 Georges Dock IFSC C/O Holland Insurance Dublin 1 Ireland PO Box 62229 (353 1) 440-1750 Marshalltown, South Africa 2107

JAPAN SPAIN ACE Insurance ACE European Group, Ltd. Tokyo Park Side Building Francisco Gervas 13 6th Floor Madrid 28020, Spain 8-40 Kiba 5 Chome (34-91) 837-4977 Kohto-ku, Tokyo 135-8540 (81-3) 5620-8733 SWEDEN ACE European Group, Ltd. MEXICO Kent House ACE Seguros Romney Place Bosques de Alisos #47 A Maidstone, Kent ME15 6LT, 1er.piso United Kingdom Colonia Bosques de Las Lomas 44.1622.403113 Mexico, D.F. 05120 (52-55) 5258-5845 UNITED KINGDOM ACE European Group, Ltd. NETHERLANDS Kent House ACE Ins0urance S.A.-N.V. Romney Place Marten Meesweg 8-10 Maidstone, Kent ME15 6LT, 3068 A. V. Rotterdam United Kingdom P. O. Box 8664 44.1622.403004 3009 AR Rotterdam, Netherlands (31-10) 289-3580 VENEZUELA Seguros Catatumbo, Avendia 4 NEW ZEALAND No. 77-55, Edificio Seguros ACE Insurance Limited Catatumbo, Apto Level 1G, Postal 1083, Maracaibo The ACE Building 345 Queen Street (Location) Venezuela, 58-261-700-5543 Auckland 1, New Zealand (64-9) 374-1711 In Countries not listed, claims should be reported to: PHILIPPINES American ACE Insurance Company of North WILLIS HRH America 333 E. BUTTERFIELD ROAD, Fifth floor 14th Floor, UrbanBank Plaza, Chino Roces LOMBARD, ILLINOIS 60148 Avenue Cor. Phone (630) 324-2779 or (800) 316-6705 Sen. Gil J. Puyat Avenue, Fax (630) 324-2501 CPO 1624, Makati City E-mail [email protected] Philippines, D-1200 (63-2) 886-1640 x209

PUERTO RICO ACE Insurance Company Plaza Scotiabank Building, 11th Floor 273 Ponce de Leon Avenue San Juan, Puerto Rico 00919-1249 (787) 274-4700

Revised May 2009 8 LA-3