Why Sports Insurance Coverage Should Be Part of Your Sports Organization’s Game Plan

Go, team, go!

Sports have long been an integral part of the youth experience across the United States, with over 57% of youth participating in at least one sport a year. Along with that experience, however, comes an additional one: many young athletes also experience injuries during practices or games, with over 2 million injuries occurring each year. LIO Insurance’s President and Chief Operating Officer Seth Hall talks with SVP of Products and Amateur Sports Product Lead AJ Morgan about how sports organizations can use sports insurance coverage to protect themselves and their athletes from the high costs and repercussions of accidents.

Why Adding Sports Insurance Coverage Is a Great Call for Sports Teams, Leagues, and Associations

A soccer ball sits on a goal line of a field before the game starts.
Shot of a corner kick. A black and white ball lies in the corner of the football field.

Insurance is all about protecting against the unexpected, but accidents in sports are expected. It’s accusations of liability that aren’t. These facts set this insurance niche apart from others and are why it’s important for an organization to have accident insurance in place—for the athletes for that expected accident, and the liability insurance component for the unexpected accusation of liability.

Morgan says that families “… need to be protected by that accident policy should they get injured and have medical bills that are unpaid.” And organizations could face accusations of liability and negligence for the accident, which in turn can affect their budget and potentially even affect their reputation. Sports and recreation insurance can reduce the financial risk to both families with an injured athlete and the organization for which they play in one easy plan.

What is amateur sports insurance coverage, and how does it work? 

According to Morgan, “It’s not just one thing. It’s a combination of lines and coverages within those lines … that you need for the amateur sports product.”  This comprehensive coverage, such as the offering from LIO, usually offers:

  1. General liability insurance (including participant legal liability and spectator liability) to cover accusations of negligence, abuse, or molestation and protect the team, league, association, or even the coach from the costs of a lawsuit.
  2. Accident insurance to help injured members with medical bills. These could range from out-of-pocket expenses left by primary health insurance or thousands of dollars if they don’t have primary health insurance.
  3. Equipment insurance to cover the organization’s equipment (often referred to as Inland Marine coverage).
  4. Additional Insureds for the owners of the physical locations where the teams play.
  5. Hired/Non-owned auto coverage for vehicles used while in service of the organization.

Who needs this coverage? 

Broadly speaking, Morgan says, “Any organization that runs an activity and that has members needs this protection,” in order to protect itself from liability and financial risk.

How much coverage is needed? 

Plans like the ones offered by LIO provide:

  • General liability that starts at $1 million per occurrence, with a $2 million aggregate and sub-limits or separate limits for abuse and molestation up to $1 million.
  • Accident coverage of $25,000 per accident with a $500 deductible.
  • Equipment coverage reflective of what the sports organization owns.
  • Hired/Non-owned autocoverage of $1 million.

What should your sports organization look for in a sports event insurance coverage and company?

Girls’ lacrosse players in white and black uniforms are in the midst of a play. Organizations should look for a company that has longtime sports insurance expertise and also offers a frictionless experience from start to finish.

“We built a product based on our experience. And we think that’s very comprehensive,” Morgan says. “But add to that the team of people we have here who’ve been in the business a long time, including myself.”

LIO Insurance and its sports insurance team have decades of experience understanding the unique needs of both sports organizations and athletes when accidents happen. Plus, LIO’s state-of-the-art technology portal, Morgan feels, “is going to make the transaction of buying amateur and sports insurance just so much more efficient than it’s been in the past. We think that combination is unbeatable, really.”

With LIO, you can expect:

  • Amateur sports and recreation policies tailored to the organization’s particular needs
  • Affordable rates
  • Bindable coverage issued in minutes
  • Flexible e-payments
  • Easy claims handling
  • Customer service with a satisfaction rating of 91 (the industry standard is 37)

If your sports organization is looking for sports insurance or you’re a broker with a sports association, league, camp, tournament, or other types of sports clients, LIO may be the partner for whom you’re looking. Talk to LIO today about our comprehensive insurance solution for the sports and recreation industry, and watch the video above for Seth Hall and AJ Morgan’s complete discussion.

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