Sports leagues are responsible for many behind-the-scenes functions of the athletics industry. They schedule competitions, coordinate championships and work with league rules and regulations. Sports leagues’ operations are a crucial aspect of sports organization at every level. These duties present several areas of exposure, however. From sports injuries to property damage and other liabilities, several potential causes of loss are present.
Securing the proper insurance can provide financial protection for the league and its participants. By obtaining the appropriate insurance, sports leagues may receive safeguards against significant financial losses while giving athletes and spectators peace of mind in knowing that their interests are also protected. The professionals at Bene-Marc, Inc. can help sports leagues secure comprehensive insurance plans. Below are some of the available options. Contact us today for additional information.
General Liability Insurance
General liability insurance may provide protection for a sports league if a third party (e.g., participant, spectator) files a lawsuit alleging the organization is responsible for bodily injuries or property damage. This coverage may help compensate the third party for financial losses (e.g., medical bills), and it may help pay for the league’s associated legal expenses (e.g., attorney fees, court costs, settlements, judgments).
Sports leagues are often responsible for different types of property. Some leagues may own their own buildings, while others may be in charge of sports equipment (e.g., baseballs, softballs, bats, uniforms). Property insurance may provide coverage for buildings and their contents if they are damaged by covered events such as fire, vandalism or theft. Equipment insurance may provide coverage for owned or leased equipment if covered perils damage it. This insurance may protect different types of equipment, including sports equipment, facility-related equipment (e.g., scoreboards) or field maintenance equipment.
If a participant suffers an injury, accident insurance may help cover the associated medical expenses. Also known as medical expense insurance, this policy typically is written on an excess basis, meaning that it may help pay bills if the injured party’s personal health insurance doesn’t cover all of the expenses. If the injured party does not have health insurance, accident insurance may function as primary insurance. Because accident insurance offers these benefits to participants, it can also reduce the likelihood of lawsuits filed against the league since the injured party’s out-of-pocket medical expenses may be reduced or eliminated.
Directors and Officers (D&O) and Employment Practices Liability Insurance (EPLI)
Directors and officers insurance and employment practices liability insurance may help protect the sports league and its leadership. D&O coverage may provide coverage if another party sues the league’s directors and officers for their decisions on behalf of the sports league. It may help cover legal expenses and may help protect their personal property. Additionally, EPLI insurance may provide coverage for claims of improper employment practices, including harassment, discrimination and wrongful termination.
Sports leagues are often responsible for significant amounts of money. Even with risk management techniques and employee vetting, they are still susceptible to actions of employee dishonesty. Crime insurance may provide protection for the league and its assets in the event theft, embezzlement or fraud occurs.
Workers’ compensation may provide coverage if a sports league’s employee suffers a job-related injury or illness. It may provide medical expenses and lost wages to the injured party.
Cyber Risk Insurance
As sports leagues increasingly utilize technology to conduct business, they may be exposed to data breaches or cyberattacks. Cyber Risk insurance may help cover expenses that arise from these events, including legal costs and costs connected to notification requirements.
Business Auto Insurance
If a sports league utilizes vehicles as part of its operations, business auto insurance may provide coverage in the event of an accident. It may provide compensation for injuries or property damage. Protections may be available for owned vehicles, non-owned vehicles and hired vehicles.
Others coverages may be available to meet sports leagues’ diverse needs. Bene-Marc’s agents discuss policy details, options, exclusions and coverages while building a comprehensive insurance plan.
How Much Does Sports Insurance for Leagues Cost?
Many variables affect the cost of sports insurance for leagues. Some factors include the selected coverage limits, program size, location, and the organization’s history of claims.
At Bene-Marc Inc., we specialize in sports and special event insurance. We’re here to help organizations find the right sports insurance coverages while working with their budgets. Give us a call today at 800-247-1734 or visit our website for additional information or a quote.