ASI Insurance Overview

1. ASI InsuranceOverview Paul R

2. Quick Overview of ASI Hull Insurance coverage Discuss Key Points that members should be aware of regarding our Insurance A more detailed presentation is available for members to review on the password protected portion of the website. Objective

3. General Insurance Information • Basic Coverage: • Hull coverage for all boats owned by ASI • Liability Coverage for: • Each Occurrence • Personal Injury • Medical Expenses • Protection and Indemnity for Instructors • Racing Liability • Boat Rental & Chartering Liability • Terrorism Coverage

4. Key points for Member awareness

5. Key Insurance Limitations There are several limitations/conditions and some changes in the ASI Hull Insurance Policy that ASI members must know and with which they must comply. For information and understanding, the following 10 limitations are listed • Distance Limitations: The “Navigation Warranty/Limit” is 100 miles from Homeport, not to exceed 50 miles offshore. However, ASI rules further limit the distance members may sail. • Overland Transit Limitations: Overland Transit has been increased to 300 miles from scheduled premises subject to a maximum vessel length of 20’. • PFD requirement: All persons are required to wear life jackets when onboard vessels during instruction.

6. Key Insurance Limitations (cont) • Requirements for Coverage: The following requirements are conditions of coverage under the ASI insurance policy. Violation of non-observance of any of the following conditions in any particular incident will void coverage under our ASI policy for any claims arising out of that incident. • A waiver and release of liability, provided by ASI and signed by a responsible adult, recognizing the dangers of boating must be obtained from all persons onboard prior to the timeshare. • An Instructor on duty will hold a current Sailing Certification. • No intoxicated person allowed on Board: All boat captains and crew will be given a written warning against operating the vessel while under the influence of alcoholic beverages. No one who appearsintoxicated or under the influence of a controlled or illegal substance will be allowed on board. ASI Insurance does not cover any claim, damage or expense of whatsoever nature caused by or contributing to, or arising from the serving, consumption or sale of alcoholic beverages on board the insured vessels. • Watercraft will meet all U.S. Coast Guard safety requirements including, specifically, emergency signaling devices and floatation devices. • All ASI members, employees and independent contractors will be fully informed of these requirements and must agree to enforce them.

7. Key Insurance Limitations (cont) • Schedule of Locations: A schedule of the locations is included with our ASI application. This schedule describes the dates and locations (home ports) of ASI boats during the season. ASI needs to notify our insurer of any significant changes in this schedule. • Night Time Sailing: There is no time of day limitation in the policy for sailing.   However our ASI insurer does ask on the application if there is any overnight sailing and ask for the specifics.  ASI has stated that overnight sailing on the Keel boats is allowed except when the L4 boats are in the North Channel; and that a float plan is reviewed and approved prior to use.  ASI also stated that all Captains & Crew are trained in night time sailing and navigation aids and are mentored prior to attaining qualification. 

8. Key Insurance Limitations (cont) • Live Aboards - coverage available - individually underwritten. ‘Live Aboard’ is defined as students/instructors living on the vessel for a period of time. Some schools use their vessels as a dormitory while students are enrolled in their program. ASI does not need additional “Live Aboard” coverage as long as ASI uses the boats only for overnight stays as described to the insurer in the following statement:ASI Overnight Stays DescriptionASI allows instructors and students to stay overnight on ASI keel boats during instruction and time sharing as follows: • No one lives on the boats while they are docked at ASI Jefferson Beach Marina home port. Occasionally a member will stay on board overnight if they plan is to take a boat out early the following morning. • Instructors will take students on overnight and weekend sailing trips and dock at various ports or anchor out. • Transfer Trips for the Manitou and Voyager III: During the transfer trips instructors and students stay on board for approximately a week during the trip. They will dock at various ports on the way and also anchor out from time to time. • Members may utilize any one of the keel boats, when not being used for instruction, for sailing trips of up to a week (on rare occasion two weeks), and stay on board during their sail, docking at various ports and anchoring out. Members must submit a float plan for approval prior to such sailing trips.

9. Questions to our Insurer • 1.       If there is a boating accident between an ASI boat and a non-ASI boat resulting in someone on the non-ASI boat suing ASI, • a.       Is ASI covered by our Hull Insurance policy?  The intent of the policy would be to respond to this claim • b.      Are the individual members who were involved, covered if sued individually?  Members are included as a named insured • c.       If this incident were to occur during instruction, would the instructors and students be covered by our insurance policy? Instructors and students are included as Named Insureds • d.      Are non-members on an ASI boat covered if sued? I would think they would have to be in charge of the boat to be included in a claim • e.       Do any of your answers change if both boats are ASI owned boats? - NO • 2.       What additional insurance, if any, would you recommend our members have to complement our Hull insurance policy, to protect them from exposure to individual liability while boating?  I would suggest they talk to their  broker who writes their personal insurance.  There is nothing on a commercial level that we can offer. 

10. Questions to our Insurer • 6.       If an accident wrecks a boat, does our insurance cover: • a.       The replacement cost of the boat? It is not replacement – It is agreed value per stated on policy minus deductible for a covered claim. • b.      The removal of the wrecked boat from the location of the accident, if for example, the accident leaves the boat on private property? The intent would be to respond if a covered claim.  • c.     Personal liability for the captain and crew of the boat when the accident occurred? They are included as named insureds. • 7.       If an accident occurs on our boat that injures a crew member or passenger, does our insurance cover: • a.       Medical expenses of the injured party? Under a covered claim the intent of the policy would be to respond • b.      Liability if the injured party sues ASI, the Captain, or the Instructor? All are included as a Named Insured • 8.       What liability does a club member incur when timesharing an ASI keel-boat? In a covered situation they would be responsible for anything in excess of policy limits.

11. Thank you !