What it does
CG 20 02 amends Section II – Who Is An Insured to include any of the named insured's members, but only for their liability for the club's activities or activities they perform on its behalf. For an organization other than a partnership, joint venture or LLC, the base coverage form makes executive officers, directors, stockholders, employees and volunteer workers insureds, but not members generally; this endorsement fills that gap.
Who needs it
Clubs and associations (sports clubs, civic and fraternal organizations, hobby clubs, booster clubs) whose members organize events, run fundraisers or otherwise act for the organization.
Key provisions and limits
- No schedule; all members qualify, but only while acting for the club or in its activities.
- Members are not covered for their personal activities unrelated to the club.
- Coverage applies only to the extent permitted by law.
- Contract-based limits: coverage is no broader than any contract requires, the most paid for the additional insured is the lesser of the contract-required amount or the policy limits, and the endorsement does not increase limits.
Quoting and selling notes
- Underwriters will ask about the activities members conduct (events, sports, liquor at functions, youth programs).
- Pair with liquor liability (CG 00 33) or host liquor review for clubs that serve alcohol, and review abuse or molestation exclusions for youth-serving clubs.
- The 11 85 edition as the current multistate edition.
