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Insurance |
Insurance—FAQsThe dance industry has special insurance needsIn partnership with Aon, Ausdance National has created an insurance package to meet them. These days the many types of insurance on offer can be confusing and troubling, if you don’t know what you need—yet it is now essential for those involved in dance in Australia (whether you’re an independent artist, a company on tour, or running a dance school, studio or company), to have adequate insurance cover for the full range of risks associated with the dance profession. Recognising this, Ausdance—in conjunction with Aon—established the Ausdance Insurance Scheme, comprehensive insurance cover for all forms of dance and dance activity. Here are answers for some frequently asked questions about the Ausdance Insurance Scheme and insurance for the dance industry. What is the Ausdance Insurance Scheme?In 1987 Ausdance, in conjunction with Aon Risk Services Australia
Limited (Aon), established the Ausdance Insurance Scheme, a comprehensive
insurance covering all forms of dance and dance activity. Whether
you’re an independent artist, a company on tour, or running a
dance school, studio or company, this is an insurance package
tailored for your industry. Who is Aon?Aon is a leading provider of risk management services, insurance and reinsurance broking, financial planning and employee benefit and risk solutions. Aon is one the largest insurance brokers in Australia for all forms of dance and dance-related activities, and has been in partnership with Ausdance for almost 20 years. For more information on the insurance scheme, call one of Aon’s dedicated Ausdance insurance team members on 1800 805 191 or email them at ausdance@aon.com.au. For more information on what else Aon offers, visit www.aon.com.au. What does the Ausdance Insurance Scheme cover?The Ausdance Insurance Scheme provides a full range of insurances
for teachers, administrators, independent artists and companies,
including public liability and professional indemnity insurance.
How do I get the insurance?Aon, as an Ausdance partner, is able to provide advice and insurance cover for all of your insurance requirements. Give a member of their dedicated Ausdance insurance team a call on 1800 805 191, or email them at ausdance@aon.com.au, to talk about your individual requirements. However, Ausdance staff members are unable to provide any insurance advice to you, as they are not correctly licensed to do so. Why the Ausdance Insurance Scheme and not another insurance?All insurance policies are not necessarily the same. When comparing insurance policies it’s important to look at what is provided and then consider if it is suitable for you. Consider the level of cover provided (i.e. the sum insured), the amount of excess and most importantly the insurer security behind the policy. Is the insurer a fully authorised Australian insurer? The Ausdance policy has been tailored by Aon and Ausdance, over a 20 year association, to ensure that it meets the ongoing and ever-changing demands of the dance industry. It is backed by a dedicated service team within Aon, as well a fully authorised Australian insurer, ACE Insurance. What should I look for in an insurer and in my policy?Insurance offered by some companies often appears to be attractive because it’s cheap. But it’s important to look beyond the price and to also consider:
What is an unauthorised foreign insurer?An 'unauthorised foreign insurer' has its insurance business outside
Australia. These insurers can offer insurance in Australia, but
they are not regulated by the Australian Prudential Regulation
Authority (APRA) and don't need to meet APRA's capital or other
requirements. Insurance regulation, similar to Australia’s, does exist in many countries. However, some countries have little or no prudential regulation and there is little or no attempt by the governments to ensure the strength and claims paying ability of insurance companies. Unscrupulous
and opportunistic insurance companies often set up business in
such countries to avoid prudential regulation, because they do
not have sufficient financial strength. What kind of insurance do I need?Most teachers and performers will require a combination of insurance cover depending on their circumstances. In particular, you will usually need insurance to cover:
What is public liability insurance?Public liability insurance covers you, (e.g. as an independent artist, studio or dance company) for accidental bodily injury or property damage suffered by your students, dancers, clients or members of the public, at your premises or anywhere you work; for example, one of your students falling and injuring themselves at your school because of a slippery floor. The injury or damage must be caused by your negligence and does not cover medical expenses for students or dancers who simply fall and hurt themselves. What is professional indemnity cover?Professional indemnity covers you for financial loss, where someone claims professional wrongdoing by you in the course of your services. For example, delivering inappropriate teaching methods causing injury, providing negligent advice or guidance, defamation or breach of confidentiality. What is workers’ compensation insurance and how do I obtain cover?All employers are required by law to have a workers’ compensation insurance program in place and be in a position to provide support to injured workers when returning to work. Workers’ compensation is maintained and administered via the various state governments throughout Australia. The premiums are calculated using a number of factors and are based on a declaration of estimated wages and total actual wages paid. Is it important for an incorporated association to have insurance?An incorporated association has all the powers of an individual and is legally able to do things in its own name (e.g. own land, sign a lease or appear in court). An incorporated association also has some obligations, such as paying application fees, having annual audits and having to lodge annual financial returns. Any assets, rights and liabilities, prior to becoming an incorporated
association, become the assets, rights and liabilities of the incorporated
association. Any legal proceedings or actions taken by or against
the association before becoming incorporated, may be continued
and finalised by or against the incorporated association. Further, under the Associations Incorporation Act, an incorporated association must have adequate public liability insurance. Can I be covered as a director or officer?Increased regulation and greater exposure to litigation, means as a director or officer, you are exposed to a greater level of risk and therefore an increased need for protection. You are exposed to litigation from a variety of different sources, such as:
No director or officer would want to risk exposing their own personal assets. Aon’s directors’ and officers’ liability insurance policy covers directors and officers for personal liability in situations where they cannot recover the amount from the company. What if I’m subcontracting?If you are working under the auspices of another company (XYZ Pty Ltd) then the company’s policy should cover you unless contractually agreed otherwise. If, however, you are doing work that is not related to that company, then their insurance will not protect you. For example, assume you are conducting classes as a contractor or an employee of XYZ Pty Ltd and it is agreed that their insurance will protect you. If you, as an individual or company, decide to do some work to supplement your income, totally unrelated to XYZ Pty Ltd, then you must have your own insurance in place. What if I’m using someone else’s space?If you are borrowing or renting another person’s or company’s space as an independent performer or a company, irrespective of whether or not money changes hands, then you are required to have insurance in place. What if I lend/lease my space to a friend?If you run a business and allow a friend to rehearse in your space
over the weekend, then that friend needs to have their own public
liability insurance in place. If something were to occur, caused
by the negligence of your friend, it is possible that your insurance
cover would not cover any loss or damage. Are some types of dance or the use of props more difficult to insure?Aon does not ask what type of dance is being performed and therefore they can insure break-dancing or other forms of dancing. Aon does, however, need to know about the use of knives, acrobatics, fire and other props, which are considered to be a higher risk. If props are used, your insurance will need to be referred to the insurer for acceptance. What level of public liability insurance cover is required for community spaces?Under the current Ausdance program, the lowest public liability limit available is $2,000,000. However, before taking out any insurance, it is recommended that you ask the space provider if they require a minimum level of cover. Some shopping centres, councils and government bodies require you to have a minimum of $10,000,000 cover. If I am invited to deliver a class in an inappropriate space, what is my responsibility?As the teacher you need to make a judgement call and advise the community group that the space is inappropriate and provide the reasons why. You should not deliver the class if they are not prepared to change the space. Who is responsible if I am asked to perform at a festival and I injure someone?If you are the performer, insurance is your responsibility. Often both the festival organiser and the performer would be brought into any legal action taken by an injured party. It’s essential to ensure that you, as an individual, have adequate insurance in place. Remember, that not having any money or the correct insurance in place does not stop you from being sued. Independent artists collectives—is group insurance available?Each individual artist who signs an artist collective pro forma, while working within the collective, can be insured for all the projects to be done throughout the year. It will not, however, extend to cover individuals doing work outside the collective. Does a risk-management plan reduce my premium?Not in the short term. Premiums are set around the types of activities you engage in, not necessarily how risk is controlled. Having said that, obviously the more that risk is controlled the less chance there is of claims occurring, which will ultimately reduce premiums overall. |
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Copyright 2007 Australian Dance Council—Ausdance Inc. Acknowledgements |