If you are planning an in-person or virtual bicycle event to raise funds at your affiliate, don’t forget that you are required to obtain a separate Liability/Special Event insurance coverage to cover the event.
HFHI requires that affiliates have Special Event coverage with a $2 million per occurrence limit, including coverage for participants. Additionally, the policy must name Habitat for Humanity International, Inc. as an Additional Insured.
Please be aware, however, that coverage for in-person and virtual bicycle events are not included in the General Liability insurance from the Habitat for Humanity Affiliate Insurance Program and HFHI recommends that all affiliates cease bike event fundraisers. View this flyer for more information about the Special Events covered under your policy.
The Challenge of Insuring In-Person and Virtual Bicycle Events
Insurance coverage for in-person and virtual bicycle events is becoming difficult to find. Several very large insurance claims involving bicycle events have steered most insurance companies away from writing this coverage.
There are some insurance carriers that offer coverage for spectators, but coverage for event participants is excluded. Spectator-only coverage is NOT sufficient or acceptable for Habitat affiliates.
We’ve found that the only way most insurance companies are willing to offer coverage for event participants is if the event route is completely blocked off during the event, which is not a feasible option in most cases.
Finding Special Events Coverage for In-Person and Virtual Bicycle Fundraising Events
McKay Insurance Agency (Knoxville, IA) offers a Special Event policy for bicycle events and coverage for participants is included in the policy, without the street closure requirement.
The policy through McKay offers a $1 million per occurrence limit ($2 million aggregate).
To meet HFHI’s $2 million per occurrence limit requirement, affiliates also need to purchase an additional $1 million Excess Liability policy limit from McKay.
One of the essential requirements of the policy through McKay is that a signed waiver MUST be received from all event participants. Failure to comply with this and other policy conditions will void coverage, so it’s important to read the conditions and requirements carefully.
Lockton Affinity is not affiliated with McKay Insurance Company and therefore, we do not know whether McKay’s Special Event program will continue to be a possible solution for affiliate-sponsored in-person and virtual bicycle events.
If affiliates are unable to obtain adequate bicycle event coverage, they will no longer be permitted to sponsor in-person or virtual bicycle fundraising events.
As a reminder, HFHI recommends that all affiliates cease bike event fundraisers. However, if Habitat affiliates choose to host these events, they should work with McKay Insurance Agency directly to secure a policy for in-person and virtual bicycle events. Call them at (800) 942-0283 or email Insurance@McKayInsAgency.com.