CONTENT/TEACHING OUTLINE COMPETENCY: OBJECTIVE: 8.00 Discuss risk management from a sports and entertainment marketing perspective. 8.

03 Discuss the types of insurance necessary for the sports and entertainment industry.

A. Explain liability insurances. 1. General liability insurance provides broad coverage against claims of negligence or inappropriate action resulting in bodily harm or damage to personal property. 2. Automobile liability insurance provides compensation to individuals injured by automobiles used in an event. For example, if an event organizer is driving a golf cart and hits a spectator, the organization is covered. 3. Board of Directors liability insurance protects volunteer board members from personal liability. For example, if an event goes bankrupt, the event managers or the board cannot be held personally liable or be directly sued. 4. Comprehensive general liability insurance is a package policy that includes fire, theft and injury. There are exclusions to this type of coverage. Examples of common exclusions are pyrotechnics (fireworks), aerial activities, participant activities, and other activities which might be deemed as high-risk. B. Outline miscellaneous insurances. 1. Event Cancellation Insurance provides coverage for the cancellation of an event due to circumstances beyond the event coordinators control. 2. Inclement weather insurance provides coverage for the cancellation of an event due to inclement weather or natural risks, rain, lightening, hurricane, or tornado. 3. Broadcast Transmission Interruption Insurance provides coverage due to an interruption of the radio or television broadcast of an event. 4. Non-Appearance or No-Show Insurance provides coverage if an athlete or entertainer fails to appear at an event due to accident or illness. 5. Prize Indemnity Insurance provides coverage when a participant wins a promotional contest. Contest examples are Hole-in-One Golf Tournaments and Field Goal Kicks for cash or prizes. Prize indemnity can also protect the company against loss of income due to prize fraud. 6. Accidental Death and Dismemberment Insurance provides coverage if an event participant suffers loss of life or limb. 7. Temporary Disability Insurance provides coverage for an athlete or entertainer in the event that he/she suffers an injury or illness that temporarily keeps him/her from working. 8. Permanent Disability Insurance provides coverage for an athlete or entertainer in the event that they suffer an injury or illness that permanently keeps them from working. 9. Image Protection Insurance provides coverage for a sponsor in the event that an athletes or entertainers actions result in negative publicity for the company. 10. Property Insurance Provides coverage for damage to buildings and production sets. Property insurance will also provide coverage for theft or damage to personal property and props.
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CONTENT/TEACHING OUTLINE COMPETENCY: OBJECTIVE: 8.00 Discuss risk management from a sports and entertainment marketing perspective. 8.03 Discuss the types of insurance necessary for the sports and entertainment industry.

11. Producers Errors and Omissions Liability Insurance provides coverage for copyright infringement, libel, and plagiarism. 12. Animal Mortality Insurance provides coverage in the event that an animal dies while being used on a production set. 13. Workmans Compensation Insurance provides reimbursement of medical expenses for workers injured on the job.

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CONTENT/TEACHING OUTLINE COMPETENCY: OBJECTIVE: 8.00 Discuss risk management from a sports and entertainment marketing perspective. 8.03 Discuss the types of insurance necessary for the sports and entertainment industry.

Resources Printed References: Marketing Essentials, 3rd ed., Section 2.1 The Marketing Concept. Sports and Entertainment Marketing, pp. 272-277. Marketing, 510-515, 522-523. Suggested Activities: Invite a local insurance agent to speak to the class on the different types of insurances used in the sports and entertainment industry. (Send a copy of the 8.03 objective to the speaker to help identify the specific insurances you want them to discuss). Using the Internet, research one form of insurance used in the sports or entertainment industry. Write a half page describing this form of insurance. Search the Internet for web sites of companies selling liability or miscellaneous insurance to professional athletes, entertainers or venues. Compile a list of the companies and their specific web address. There is a 8.00 project at the end of this competency. Websites:

Teacher Notes

Other Resources: 8.03 PowerPoint Project

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