Why PTAs Need Premises Liability Insurance?

If you are in charge of organizing your PTA’s events, then you probably spend a lot of time speaking to local vendors about acquiring spaces to host special events. A lot of people rely on you to negotiate these agreements professionally, while still putting on fun, safe and well-managed events for all participants. You have to juggle a lot of balls while still keeping your eyes on many minute details. 

However, when you host offsite events, you have to take responsibility for keeping the host’s property safe and secure, and returning it to them undamaged. Still, you can’t guarantee that something might go wrong, and that you will be responsible for paying for property damage that is your fault. 

If you have proper liability insurance for your PTA—notably rented premises liability coverage—you will have financial assistance available if you cause damage to the location where you are hosting an event. It’s critical to integrate this plan into your overall organizational benefits portfolio; let’s take a closer look at how it works.   

What is Liability Insurance? 

Being a PTA organizer means being responsible for a lot of different things—people, property, financial goals, events—and making sure that you safeguard both the school’s own and the donors’ investments in your organization. This is a lot to take on, and you of course will need to institute proper bylaws and risk management practices to ensure that you do your due diligence in all aspects of operations. 

At the end of the day, you are expected to offer students, teachers, administrators, parents and the general public seamless access to and interactions with your PTA organization. This will mean devoting considerable resources to putting on special events. However, try as you might, you cannot ignore the fact that sometimes, things will go wrong, and it might be your responsibility for picking up the pieces of harm that you caused others. 

Under the circumstances where third party harm is your responsibility to pay for, your PTA’s insurance benefits can be of assistance, provided that you have liability coverage in place. Liability insurance is designed to cover third-party harm for which you are responsible. Given that these challenges could cost both the affected party and your organization financial challenges (from legal fees to damage settlements), liability insurance will provide the financial assistance to settle these costs. 

When it comes to third-party property damage that is your responsibility, your policy will liability insurance portfolio will be able to help. The challenge is making sure it extends to the full scope of your operations. To get coverage for property damage that occurs when you take an event on the road, make sure your policy contains rented premises liability protection. 

Coverage For Property Damage to a Rented Property 

Whenever you rent a space for a PTA event, you must recognize that you are taking responsibility for both the use of that space and your conduct within it. If something were to go wrong during your event, and the lessor of the space sustains harm because of your negligence, then it might fall on you to repay them for the losses that were your fault. This is where rented premises liability insurance can come in handy. 

Suppose, for example, that you rent a local gym to host a basketball game for charity. Amateur participants will agree to showcase their skills as part of a night for family fun. By agreeing to lease the gym for the event, you also have to agree to certain conditions which, at minimum, require you to leave the property the same way you found it. 

But, what if something goes wrong during the game? What if someone tries to dunk the ball, but winds up pulling the backboard apparatus down from the ceiling? What if someone working the concession stand accidentally causes a fire in the gym’s kitchen? Who would be responsible for these losses? 

Since your PTA was hosting the event that led to the property damage in question, then it will likely fall on your shoulders to cover the cost of the third party’s repairs. Therefore, you might be responsible for providing a significant financial settlement that your PTA might not realistically have.  

It is the benefit offered by your rented premises liability insurance policy that will provide this financial assistance when you need it. With this coverage, you can compensate the gym for the losses you caused them (even when you made a simple mistake that led to the property damage). Therefore: 

• The owners of the rented property will be able to recover from their losses without a significant financial loss to themselves. 
• Your PTA will be able to provide such restitution without a significant loss, either. Additionally, if you face legal action because of the damage caused, this coverage can also provide you with coverage for lawyers, court fees and related expenses. 

All in all, the presence of a rented premises liability insurance policy will make sure that you have the benefits available to take responsibility for actions within a space that doesn’t belong to you. Don’t hesitate to talk to your Bene-Marc insurance agent about the best way to structure your liability insurance to your satisfaction.