“Coverage can be adjusted based on what underwriting can offer and the club budget.”
from theft or embezzlement. Anyone serving as a treasurer should also be bonded and the club should insist on a Position Bond so they are able to elect a new treasurer and know the insur- ance is in place; no specific name is re- quired. Your books should, of course, be audited with each change in the treasurer’s office. Depending on the amount of money and the financial circumstances of your club, the audit may or may not be a certified audit but could be per- formed by an outside source offering this service. Limits on a Fidelity (or Crime coverage) policy are deter- mined by the company underwriting the policy and the number of Board and kennel club members. Most im- portant in this determination is the amount of money in your treasury. Some companies will include your rescue funds (most do not) and some will include your funds for your Ca- nine Health Foundation accounts. Be certain to cover as much as the company will offer as the premiums for this type of insurance are very reasonable. If your assets were wiped out, could you put on a show? Back to the Commercial General Li- ability policy. Today it seems every- one is subject to allegations of liability that are a result of your dog show, pos- sibly your conformation classes and even Meet The Breed events hosted by your kennel club. For the CGL to cover any accident or injury, your club must be legally liable and negligence must be proven. The cost of defense even when you are found not liable is high and should your club be liable
for whatever reason, claims can be extremely high. The frightening part of this—and do check your club pol- icy and your homeowner policy—is each director and officer can be held personally accountable. An attorney hired to sue the club will include the venue, your officers and directors and anyone additional involved. I’m per- sonally aware a lawsuit that included the city the show was held in! Final insurance your all breed or specialty club should consider is Di- rectors and Officers Liability. As a general rule, this is the most costly of the types of insurance discussed, but personally, I would not serve as an officer or director of a club that did not carry it. This type of insur- ance provides coverage or protection from claims as a result of club activi- ties to include misleading statements, breach of duty, neglect, error or acts of omission. The company underwriting will have specific verbiage to clarify all coverage. Discuss all your needs with the agent or agency you decide to purchase your insurance from. You can request a quote so your board or members can vote on the amount of insurance your club needs to carry as well as discuss the various types of coverage. Coverage can be adjusted based on what underwriting can offer and the club budget. My reason for including this brief insurance lesson is simple. Unfortu- nately, several years ago, I was Show Chair of a fairly large and active all breed club that was accused of negli- gence in preventing injury to an ex- hibitor. The kennel club was sued, the
city, the large civic center and all of- ficers and directors of the board were personally sued. The person who claimed negligence stated that she stepped into the building and slipped on a wet floor falling and breaking several bones. She said there were no cones indicating a wet floor and no warning signs were posted—probably some dog relieving himself there was her comment. In reality, and there were several wit- nesses, she stepped out of her motor home in the parking lot and stepped onto a dolly she planned to load wire crates on to pull dogs into the build- ing. Her foot became entangled she went down. She then got up, loaded and pulled the dolly with dogs on it (in wire crates) and entered the building. Upon entering, she stated she slipped on the wet floor and was ultimately taken to the hospital as a result of the fall inside the building. Exhibitors saw her fall in the parking lot and others saw her enter the build- ing where she supposedly slipped and fell and stated she did not fall inside at all. Fortunately, this club had the ap- propriate insurance and no liability was assigned to the club or any of the members. She received no money and the claim was denied. It was a learn- ing experience for all concerned and one I discuss with every club I’m in- volved with. The person discussed later passed away in an auto accident. Protect your club, your members and your money—learn about insurance, club and personal liability and make sure you’re covered!
T op N otch T oys , J anuary 2019 • 53
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