This forum is dedicated to discussions on how to grow the sport of hang gliding. We will take a methodical approach to collect data and come up with implementable ideas on how to increase our numbers. This includes effective marketing, lead generation, site access issues, improving regulations, lack of instructors, lack of sites, etc

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#321513
Fwd from the OzReport at: http://ozreport.com/17.91#5

John Twomey, Operations manager, HGFA, writes:

The HGFA membership fee for 31/8/13 to 1/9/14 is $314.00 plus payment of your State/Regional Levy. An increase of $44.00

The HGFA withdraws its previous offer to accept early payment of next years fees at this years prices.

The HGFA Fee increase for the year 31/8/13 to 1/9/14 is solely attributed to an increase in the level of HGFA Insurance necessary to satisfy the requirements of our operational environment.

HGFA records show the 2002-03 Aviation policy was for a $10 M coverage; I think it was $10 M two years earlier. It has been $10 M for at least 11 years.

A $20,000,000 insurance coverage requirement is being demanded across all levels of Government in the country.

The Committee of Management has no choice but to provide it or otherwise our members would have commenced to lose their sites on public lands, which are most of our sites.

The Schools would also lose access to most of their training sites.

This increase from $10,000,000.00 to $20,000,000.00 in coverage has resulted in an increase in our Aviation Insurance policy of 62%.which equates to $44.00 per HGFA member which is the amount that the HGFA Fee has had to be increased to meet the unavoidable increase in Insurance costs.

The Victorian State Government now require it for all the VHPA sites in Victoria that are in National Parks and in State Forest (many 10's of sites) and Local Government is requiring it also.

Most of Victoria's sites are leased from the State Government and the leases on these sites have lapsed and they need to be renewed which requires $20 M Aviation and General Insurance coverage.

Queensland government at all levels have required it since late last year and they were placated in the interim and permitted existing leases and permits to continue until this latest insurance renewal on the promise the renewal would be for $20 M coverage.

Permits and leases that had lapsed in the last insurance period had to be renewed with an additional $10 M of cover in each individual situation.

NSW government at all levels is now demanding $20 M coverage as is WA and SA. The only state not heard from to date is Tas.

Most home insurance policies include $20 M coverage and Car policies include $30 M coverage.

This financial year we are making a large operating loss of which most was incurred because throughout 2012 we were forced (had no option) to legally defend against a frivolous law suit which ended when the other party agreed to walk away but by that time it had cost HGFA approximately $122,000.00 in legal costs.

The other party sold their house to meet their legal costs and the HGFA had no likelihood of recovering its costs.
User avatar
By tom emery
#321518
So...it's not just here in the good ol' U S of A. Can anyone explain why we end up getting REAMED at this time? Why twenty million? What's going on? The insurance companies are ruining our lives on so many levels.
User avatar
By Fred Wilson
#321521
tom emery wrote:Can anyone explain why we end up getting REAMED at this time?
Not enough focus on Risk Management. See: http://volunteeralberta.ab.ca/risk-management
Policies Practices and Procedures to minimize our sports exposure to potential across-the-board liabilities.
Not just preventing accidents. But also in National Standard Operating Procedures.

There are entire companies that specialize in doing a top to bottom Risk Management Assessment and Overhaul of every aspect of a companies business.

Examples:

AON USA: http://www.aon.com/risk-services/

The Insurance Bureau of Canada: http://www.ibc.ca/en/Business_insurance ... anagement/

University and Technical Schools offer General Insurance and Risk Management Courses, often even by Distance Education.

Two recognized "World Class" good Examples are:
BCIT in Burnaby BC Canada: http://www.bcit.ca/study/programs/5880diplt

Birmingham City University UK: http://www.bcu.ac.uk/courses/risk-management

+ Deakin Graduate School of Business Melbourne Australia: http://www.deakin.edu.au/buslaw/gsb/cou ... iskmgt.php
User avatar
By SeeHoweToFly
#362263
As long as juries keep handing down multi zillion dollars awards to morons who sue every time they break a fingernail picking up a hang glider and insurance companies (who are not non profit corporations) get stuck footing the bill rates will increase. Actually very simple to fix, quit giving away money to those who don't deserve it and the rates will go down 👍
User avatar
By kukailimoku
#362344
Sadly it's a process that's broken. Going to court is expensive and ridiculous enough that the strategy is to sue and then settle, regardless of who's right. There's also the "slimy leech" factor when the attorney tries to figure out who else to sue for a few more $$.

I remember way back when getting a notice of a lawsuit when we sold a piece of tubing (less than 3 feet of it I think) to a guy who sold it to a guy who let another guy "taxi" an ultralight who then took off and made a big hole in the ground. Sad story, but so many layers removed from us that nothing came of it. The really aggravating part was the lawsuit named a dozen or so parties and then "50 John Does" so there was room to stick anybody else in there that they thought of.

(I remember standing around a campfire in Big Sur with pack o' pilots and it was painfully simple to come up anything that was irritating or ridiculous and trace it back to a lawyer or an insurance carrier or both. And you didn't have to trace it very far.)

If you're an attorney, I consider the process broken, not you. If you're a leech, well...chances are you aren't in here.