An Insurance Consideration Guide for Outdoor Activity Providers
Many of the Organised Activities undertaken in the Outdoors of Queensland, will require insurance at some level.
Firstly, it should be noted that there is no substitute for complying with good risk management in your business and following the Australian Adventure Activity Standard and utilizing the Good Practice Guides in context relevant to your activity. This will go a long way towards protecting you and your business from unexpected consequences. However, unintended events sometimes do occur and there are possible consequences of people becoming injured whether that be your participants, your staff or you as the owners of the business all face these potential risks.
After all the risk management processes have been implemented, the next step of protecting yourself and your business will include consideration of the insurance covers available to provide security for you and your business.
Depending on your activities, there may be several insurances you should consider:
- Liability Insurance – Personal Injury & Property Damage.
Most business will be required to initiate this cover to be allowed to utilise Local Government facilities, State Government owned Nature Reserves and National Parks areas. Many private land owners will also require this be in place and ordinarily for all of the above situations a Certificate of Currency will need to be provided prior to entry being granted.
If you utilise sub-contractors, there may be coverage/exclusions, premium and excess consequences to be aware of.
- Workers Compensation – Protecting your Employees
If you have staff (whether employed or regularly sub-contracted), you will have a responsibility to provide Workers Compensation for them. In Qld this is ONLY provided by WorkCover Queensland and you can access their guided application processes here: https://www.worksafe.qld.gov.au/claims-and-insurance/workcover-insurance/types-of-insurance/accident-insurance
- Income Protection – In Queensland, Directors/Beneficial Owners of a business can’t take out WorkCover for themselves. What happens to your income and your business if you are injured or ill and can’t continue to generate your income? There are several levels of cover available to consider.
- Voluntary Workers – if you have people assisting in your business that are not under any contract of employment, what happens to their income if they are injured whilst assisting your business?
- Professional Indemnity – If your business is providing advice/training or other services where people are paying for your advice, you may have an exposure to Professional Indemnity. Not all businesses will have this, and it should be discussed with Your Insurance Broker to determine if you have a risk to consider.
- Portable Equipment – if you have a reasonable amount of equipment for your business, you may need to consider the risk of that equipment being damaged or stolen from a locked premises or vehicle. Most Domestic Contents insurance policies won’t extend to cover items for which you use to generate income and ordinarily don’t provide further cover away from the premises.
This simple guide has been provided by Your Insurance Broker who are financial members of Outdoors Queensland. There may be additional specific insurance requirements for your own business, and these can be addressed when assessing your needs.
Their contact details can be found herein to provide any necessary assistance in arranging appropriate insurance covers.
Posted on 31.07.2020
Are small business insurance products are fit for purpose?
The Australian Small Business and Family Enterprise Ombudsman Kate Carnell is concerned about a growing trend of insurance companies denying small businesses insurance and pricing them out of the market, launching an inquiry into insurance affordability and availability today … Read More
There is a growing trend of insurance companies denying small businesses insurance or pricing insurance policies out of reach. In this new operating environment, small businesses that have held insurance policies for over a decade without a single claim are being refused renewal, or if offered renewal are discovering the cost has more than doubled. Many businesses with current policies have been subjected to unilateral changes that have reduced their coverage without consent, and with no refund of premiums. Read More
Posted on 18.06.2020
Brokers say such coverage is becoming “financially unviable”
Unable to access insurance, several long-running adventure tourism businesses have shut up shop and fear their sector is in jeopardy.