Even with the new requirements USMS's premium still went up; and because USMS has elected to pass on part of that cost increase rather than spreading it among all membership, some races now can't afford to sanction. If a way to resume insuring and sanctioning "Category 2" swims exists, the cost of that insurance and how to share that cost also will be important points for debate and decision.
I have read this thread with no little interest. Mostly, I have seen how misplaced anger and lack (or ignorance?) of accurate information turns into a free-for-all with no new or useful information generated. Since no one higher up has offered to enlighten any of you, I guess I will try.
The board knew in late October that because of recent claims history, our former insurance carrier had raised our premium about 700%.***{the timing is inaccurate and was recited from my failing memory. Please see post #122}*** With a lot of scrambling, phone calls and negotiating, our ED was able to find one insurer that could write a policy for USMS that included open water events. And did not cost all of our reserves for a one year premium. It did have a bunch of strings attached, such as propeller guards.
The OW sanctioning task force had little time and was under considerable pressure to pull together guidelines that were essentially dictated to USMS by the insurer. Passing on part of the insurance premium that is exclusively OW dedicated is just a business decision. Remember, OW does not pay any extra to hold OW practices or clinics, those are covered under another part of the insurance policy. Only sanctioned events have the $1800 special premium, of which USMS eats $800 and passes on $1000 to the sanctioning LMSCs.
None of you posting to this thread can appreciate just how close USMS came to being a virtual organization at the beginning of 2013, with no insurance to cover any of our operations, sanctions or members. It would have been very easy to cut OW loose and save USMS $135,000. But USMS has had a very keen interest in building OW for the last 4 years, and did not ever consider shutting down that branch of the business. The gratitude shown for this hard work and dedication are an exodus of sanctioned events.
Even with the new requirements USMS's premium still went up; and because USMS has elected to pass on part of that cost increase rather than spreading it among all membership, some races now can't afford to sanction. If a way to resume insuring and sanctioning "Category 2" swims exists, the cost of that insurance and how to share that cost also will be important points for debate and decision.
I have read this thread with no little interest. Mostly, I have seen how misplaced anger and lack (or ignorance?) of accurate information turns into a free-for-all with no new or useful information generated. Since no one higher up has offered to enlighten any of you, I guess I will try.
The board knew in late October that because of recent claims history, our former insurance carrier had raised our premium about 700%.***{the timing is inaccurate and was recited from my failing memory. Please see post #122}*** With a lot of scrambling, phone calls and negotiating, our ED was able to find one insurer that could write a policy for USMS that included open water events. And did not cost all of our reserves for a one year premium. It did have a bunch of strings attached, such as propeller guards.
The OW sanctioning task force had little time and was under considerable pressure to pull together guidelines that were essentially dictated to USMS by the insurer. Passing on part of the insurance premium that is exclusively OW dedicated is just a business decision. Remember, OW does not pay any extra to hold OW practices or clinics, those are covered under another part of the insurance policy. Only sanctioned events have the $1800 special premium, of which USMS eats $800 and passes on $1000 to the sanctioning LMSCs.
None of you posting to this thread can appreciate just how close USMS came to being a virtual organization at the beginning of 2013, with no insurance to cover any of our operations, sanctions or members. It would have been very easy to cut OW loose and save USMS $135,000. But USMS has had a very keen interest in building OW for the last 4 years, and did not ever consider shutting down that branch of the business. The gratitude shown for this hard work and dedication are an exodus of sanctioned events.
