When you give your time and energy to a club, you want to make certain you’re not risking your personal or the organisation’s financial security That's why you need a Management Liability insurance policy. It provides protection for you and the organisation in the event of legal action if sued for
- Negligence, libel, slander, defamation, discrimination, etc.
- Employment related matters (unfair dismissal)
- Club Management Liability can also cover some of the costs associated with an employee stealing funds from the club.
Who is Covered?
Affiliated Associations, Clubs, members, coaches, referees, officials, voluntary workers, first aid persons and administration personnel.
Coverage Limits & Excess
$10,000,000 in the aggregate during the period of insurance
AIG Australia Limited
Extra Information about this Policy
Management Liability insurance is ONLY available to incorporated entities! If your club is not incorporated, individual committee members run the risk of exposing their home, car and financial assets.
A Management Liability policy has important exclusions that you should be aware of including but not limited to:
- Fraud – any claim in consequence of a deliberate fraudulent act
- Insolvency – financial impairment of the insured organisation
- Known dishonesty
- Losses sustained from accounts at banks where only one signatory is required for transactions
It is strongly recommended that you implement a programme to ensure that all claims are identified and notified immediately and within the policy period to avoid the possibility of a claim being denied.
Examples of Management Liability Claims
Directors and Officers
Legal action is taken against the club for defamation of a club member. This came about as a result of information printed in the monthly club newsletter.
Legal action is taken against the club for the unfair dismissal of a senior coach.
The club treasurer has been stealing money from the accounts over a period of time and the club now needs to claim the losses.