Mechanical Bull and Multi Ride Insurance. The Facts
Lloyd’s, together with Galaxy, is creating a standard that everyone can adhere to, which would result in affordable insurance premiums.
As most of you will be aware there has been a lot of changes with P/L insurance over the last year. This has led to a lot of conjecture, rumors and bullshit. Galaxy America has led the way for 20 years in sourcing affordable mechanical bull and multi rides insurance for the products we manufacture as we know that there is no other way for you to legally operate. Last year, for a lot of reasons, premiums rocketed sky high and understandably many of you have been extremely concerned and upset.
In June of 2014 we were contacted by Lloyd’s of London. They were & are the A+ rated provider of an insurance program for the mechanical bulls & multi rides. They explained that they recognized our products combined with our operator training program as the safest in the industry and wanted to set a standard that everyone can adhere to, which would result in affordable insurance premiums. The goal is to have a bull program that is profitable and successful, and we are proud to say that they looked at Galaxy operators as a desirable group; folks who would be a most welcome part of the program.
Working with their US underwriter David Wash who governs the program here in the US, a bull program continues to evolve that is fair & affordable. You can find David’s full contact details here and you can visit their website www.buckinginsurance.com.
In order to achieve the very best possible deal for your company you must fulfill a set criteria of mechanical safety devices on your machine and a documented training program (please feel free to contact Galaxy or David Wash for those details).
Please bear in mind, discounted insurance requires the training program for all of your operators, much like an auto insurer rewards driver training. The Lloyd’s program clearly permits the use of alcoholic beverages around the bull –for this reason the insurer is genuinely focused on operator training-, so it is important that you take the time with ALL operators to implement the training. If you have a Galaxy machine, you have access to the training (check this link). Just use it.
The goal is to have a bull program that is profitable and successful, and we are proud to say that they looked at Galaxy operators as a desirable group.
Misunderstandings, Bullshit & Lies
Many of you are concerned over the “Sun Set” clause in a policy. The “Sun Set” clause reflects the lawful Statute of Limitations in your particular State. The basic policy form sold is set at 2 years, as that is the norm. E.G. if the statute of limitations on an accident claim in your state is say 3 years then the “Sun Set” clause can be adjusted. This link gives you the complete list of statute of limitations in every state.
Cost of Insurance
Covering a Galaxy ride in the Lloyd’s program costs less than any other brand, and while there are discounts for Galaxy customers built into the program, each individual applicant is reviewed and rated individually.
Your experience, your history, your operators and how the machine is used will come into play (as well as how many machines are being covered). In general, the cost will be made up of three components:
- The main policy that covers you essentially for lawsuits.
- An accident policy is sold to backstop participant’s health coverage and help see that minor injuries don’t become lawsuits.
- Lastly, you pay an appropriate state policy tax and a flat $25 cost for filing the policy tax (an arduous process).
Broker Fees and Associations
You should NEVER agree to pay any added document fees, association fees or any other fee that is not the direct cost of the policy. David Wash would be delighted to explain this in more detail.
All insurance brokers receive a commission from the underwriter when they sell a policy, it is against the law in most states for them to add more fees to the actual policy, unless you sign a specific agreement that explains the fee and tells you it is a cost in addition to broker commissions. In every state a brokerage fee or service fee CANNOT be simply added to your bill –that violates most state laws.
Your experience, your history, your operators and how the machine is used will determine the cost of your insurance.
More Than One Policy
If any broker tells you that you cannot have say a policy for a mechanical ride and another for say inflatables, that is bullshit.
Sometimes you will have to go to different programs to insure different components of your business operations –that is in fact VERY NORMAL. Ultimately, you should be looking after #1 to get the best deal for your business. If that means having two or more policies for different equipment, then do it!