Player Insurance Information
Irish Rugby Football Union
P R. Browne - Chief Executive
The President & Secretary of each affiliated club
Re: Season 2004/2005 IRFU Compulsory Personal Accident Scheme for Clubs (Northern Ireland - Stg£ currency)
Dear Sir/Madam,
The Irish Rugby Football Union continue to carry Group Personal accident cover for all players and certain officials who are members of affiliated clubs. The Union believe they have a responsibility to provide a minimum level of insurance cover and therefore the scheme is compulsory for all clubs.
The Union also continues to recommend that clubs and/or individuals should arrange additional voluntary top-up cover to supplement this compulsory cover.
The insurance benefits remain unchanged, i.e. the main permanent total disability benefit continues at Stg£500,OOO with a further additional benefit of Stg£250,OOO payable for a severe injury involving loss of use of both legs and arms. This means that an individual suffering a permanent disability involving loss of use of all four limbs will receive a total benefit of Stg£75Q,OOO. The other benefits for death/loss of use of limbs and loss of sight continue at Stg£4OO,OOO (please see brochure for full details).
Claims Experience: Claims continue to run at a significant level. The cost of claims over a period of time equates almost to the total premiums charged for the same period. The insurance premiums are largely driven by the cost of claims.
Summary of Cover: Full details of cover, benefits and extensions are set out in the attached brochure. This should be retained by your club and circulated to members.
Premium per team: Despite continuous increases in general insurance premiums, the cost of this insurance remains unchanged at Stg£1,524 per adult team. Given that each team usually consists of up to 25 players/officials, this is equivalent to a charge of Stg£60 per individual. This continues to be good value and cover most certainly would not be available at anything near this cost if it were left to individuals to insure themselves.
Female Rugby: Please note that the scheme continues to apply to all members of a club who are playing/participating in rugby whether male or female including teams affiliated to the Irish Women's Rugby Football Union. If your club fields or has an associated female team, this should be declared on the application form and the appropriate premium paid.
Adequacy of Cover: The benefit provided by this compulsory scheme is substantially greater than that provided by other Unions or by other sports bodies. Whilst the Union and the clubs can arrange substantial insurance benefit within their financial means, it still ultimately remains the individual player's responsibility to ensure that he/she has adequate insurance cover.
This compulsory scheme is intended to cover serious injury and the benefit whilst appearing substantial at Stg£750,OOO will not necessarily be sufficient to look after the future needs of a young severely injured person.
As soon as full membership data is available from the club, the Union intends to write to each player informing them of the benefits applicable, advising them of the potential high cost of injury and recommending that they arrange additional cover for their specific needs. Additional cover is available for both rugby only and for 24 hours a day via the Union's insurance brokers, Aon Group. The Union continues to strongly urge clubs to take out additional top-up cover. It is emphasised that the compulsory scheme does not provide payment of medical expenses or loss of earnings, nor does it cover fatal collapse unless a physical accident precedes same. These are available as options within the voluntary top-up cover referred to below.
Maximum Accumulation Limit Restricted to €2OM or Stg£ equivalent any one event: It is important to note that the cover is now restricted to a maximum payout any one event of €2OM or Stg£ equivalent regardless of how many individuals are affected by a disaster, such as a plane or bus crash. In the event of a large number of death or disability claims resulting from the one event exceeding €2OM or Stg£ equivalent in total, then the payout by insurers would be a maximum of €2OM or Stg£ equivalent divided equally between all claimants.
Recommended advice to members: Regardless of any separate player notification action being taken by the Union, we still strongly recommend that the clubs:
1. Make their members fully aware of the cover put in place on their behalf
2. Charge back the premium to playing members as a separate "insurance levy"
3. Point out to playing members that full insurance is their ultimate responsibility
4. Encourage playing members to take out additional cover for themselves.
We also ask that clubs use any opportunity they have available, such as newsletters/advice of events etc to issue copies of the IRFU leaflet and additional cover for individuals application form to their members. Copies, as required, of both the leaflet and application forms are available on request from Aon Group.
It is hoped that the action by the Union combined with the continued action by the clubs will increase awareness amongst players of the necessity to arrange additional insurance. It is very much in your club's interest and in the interest of rugby, to make players aware of the cover in operation and the availability of additional cover so that they can make appropriate additional cover arrangements.
Additional copies of the compulsory cover brochure along with IRFU leaflets and brochures/application forms for clubs top-up cover and for the individual's additional cover are available from the Union's insurance brokers, Aon Group.
Permanent Total Disability Benefit - Professional Players/Coaches: The scheme is intended to provide a reasonable benefit to seriously injured players. The death, loss of sight or loss of use of limbs benefits are payable regardless of an individuals occupation. However, the permanent total disability benefit is payable only if the player cannot continue his/her normal occupation or one for which he/she is educated or trained.
There are a number of players and coaches associated with clubs who derive a substantial part of their income from rugby. It is not the intention of the insurance to provide a full Stg£500,OOO benefit in the event of such a person being unable to participate in rugby. Consequently, inner limits continue to apply to the permanent total disability benefit. Please see the brochure for details.
Optional Top-up cover for clubs/additional cover for individuals: Both these covers continue to be available on a voluntary optional basis.
The Union continues to strongly recommend that clubs consider purchasing same and/or encourages their players to do likewise. The Union's insurance brokers, Aon Group, will be writing to each club giving details of the cost of these covers.
All enquiries relating to additional top-up cover for clubs or for individuals should be made directly to:
Aon Group
10/12 Lansdowne Road
Ballsbridge
Dublin 4
Telephone: 00353 1 605 9300
Fax: 00353 1 660 3653
Administration arrangements: The scheme is administered by the Union through the branches as follows:
Using the application form, all clubs must register with their respective branches, no later than the 1st October 2004, the number of teams, adults, youth and women, for which a recognised fixture list is made.
To facilitate the clubs, the total amount to be paid can be divided by six and cheques made payable to your branch dated 31st October, 30th November, 31st December, 31st January, 28th February and 31st March. However, all cheques must be submitted together.
Please note that unless all cheques are received in this manner by the respective branches, the total amount becomes payable immediately.
N.B: Any club which has not made payments by the 31st October next will not be permitted to play matches.
Notification of Accidents: Club Hon. Secretaries are asked to notify their branch immediately of any cases of serious injury which might necessitate the issue of claim forms, e.g. cases involving possible benefit payments such as permanent total disablement, loss of limbs or eyes etc.
Non-Affiliated/"Scratch" sides: Please note that your club may not play any match against a non-affiliated side such as a "scratch" team without the permission of the Union. Clubs visiting this country from outside the UK should carry proof of sanction of both Unions to play. A club playing a match against a non-affiliated or non-sanctioned overseas side may render the contract between the IRFU and its insurers, null and void, should an accident occur.
Urgency of Application: The urgent completion and return of the application form together with cheques cannot be over-emphasised. Should you have ceased to be the Hon. Secretary of your club, please do not fail to pass on this letter and enclosures to your successor for his urgent attention.
With thanks in anticipation for your co-operation.
Yours sincerely,
Philip Chief Executive
Enclosures:
* Compulsory Clubs Scheme Brochure and Application form
* Optional Top-up Scheme for Clubs Brochure
* IRFU Injuries and Insurance Leaflet
* Additional cover for individuals Brochure and Application |
