Winter: Benefits of Crime Insurance
Every year, there are stories that appear in the media regarding funds or equipment allegedly stolen from local Little Leagues.
An optional insurance available to local Little Leagues, underwritten by Lexington Insurance Company, provides a measure of protection. And the policy covers the league itself, so it is not limited only to the Treasurer or President.
Specifically, some of the more common losses could include:
- A concession worker who pockets $50 each night from the concession stand. This might not be noticed for several weeks or months, with the loss potentially in the thousands of dollars.
- A volunteer board member, such as the league Treasurer, might only pay a fund-raising company or sporting goods store enough to keep them at bay, while spending league funds for personal items.
- A volunteer is dropping off the day’s deposits at the bank, and is robbed.
- League funds are stored temporarily in the glove compartment of a car, and the money is stolen.
- League funds are kept in a safe at the ballpark, or at a volunteer’s house, and the safe is stolen.
The policy also covers theft of equipment. This insurance has paid claims on riding mowers, for instance, as well as equipment stolen from storage. Even if the league has equipment located in multiple facilities that might be miles apart, they are all covered up to the limits of the policy.
One very important point is that Crime Insurance does NOT cover vandalism of property or equipment, or damage to property from fires, floods, storms, earthquakes, etc. The league would need to obtain property insurance or renter’s insurance for those types of losses – coverage not available through Little League. So it must be acquired locally.
When covered by Crime Insurance, the local league needs to provide documentation when its files a claim. The documentation would include a police report (or the name and contact information of the investigating officer with the police case number), and an itemized list of what is allegedly stolen, along with other related items.
It is required by the policy that the league submit the claim and all documentation within 60 days of date of discovery.
The maximum limit is $35,000 per loss, with no aggregate limit on the total in a calendar year. There is a $1,000 deductible for theft of money or other securities, and a $250 deductible for other property.
The annual premium is only $205 per chartered local Little League. Compare this cost to the total budget of the league, and the potential loss.
In Little Leagues, a great amount of well-deserved trust is placed in volunteers. But in any situation – particularly difficult economic times – the peace of mind that Crime Insurance offers is more than worth the price.
A database of all of these Operations Tips can be found here: http://www.littleleague.org/leagueofficers/Tips_Successful_League
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