Insurance Risks for Yacht Clubs
18th February 2016
From small dinghy sailing clubs to the largest yacht clubs – the size and structure of the thousands of boat clubs operating throughout Britain varies enormously.
We take a closer look at some of the key risks to running a yacht club.
Regardless of the size of their organisation, there are 3 fundamental challenges for club managers, owners, directors and trustees:
1. Protecting their club’s physical assets
2. Minimising underinsurance
3. Managing the risks and liabilities they face as individuals
Importance of risk assessments
The first, and most important thing that clubs should do is conduct a risk assessment to determine what their most valuable assets are and how vulnerable they are.
1. Physical Risks
Theft is an important risk for yacht club owners to consider. Outboard motors are particularly attractive to thieves for a number of reasons. They are easy to transport and sell, difficult to trace and, depending on the type of motor, can be sold for several thousand pounds.
Many valuable items may also be found inside a clubhouse, ranging from trophies to fine art.
It may not be feasible for the smallest clubs to invest in state-of-the-art security measures, but some relatively simple steps can make it more difficult for thieves, including ensuring there is good quality perimeter fencing and security lighting, and that doors are secured with good quality padlocks.
2. Minimising Underinsurance
For many yacht clubs, the clubhouse may be both the principal asset and the main source of generating revenue, for example if it is used to host meetings or events, or to sell food and drink.
Underinsurance can occur if buildings and contents are incorrectly valued, but also if the full costs of business interruption have not been taken into account.
3. Management Liabilities for Yacht Clubs
The potential liabilities faced by directors and officers will vary greatly depending on the size of the club, the number of employees, and the nature of the activities or services provided. Management risks could include:
• Breaches of health and safety legislation – including food hygiene laws if food and drink is prepared on the club’s premises
• Claims by employees – for example sexual harassment, racial discrimination or disability discrimination
• Professional liability claims
To obtain an insurance quotation please contact Horner Blakey Insurance Brokers on 020 7929 0108.