Education Insurance
What You Need to Know About
Insurance for Educational Institutions
Since 1956, RJ Ahmann Company has been a premier provider of insurance for educational institutions nationwide.
Which institutions should have education and college insurance?
Educational institutions have highly specialized insurance needs. It's important to partner with an expert to ensure that your students, facilities and staff are adequately protected. RJ Ahmann can help you identify your exposures and create a customized suite of coverage to meet your unique needs if you are in any phase of education, including:
- Public school districts
- Private K-12 schools
- Charter schools
- Universities and colleges
- Trade and vocational schools
- Online educators
- Continuing education/professional development providers
- Culinary schools
- Educational service providers
One out of every seven professionals will be named in an E&O claim at some point in his or her career. The average cost per settled claim is in excess of $16,121.
- Errors and Omissions Insurance Resource Center
Important education and college insurance coverage considerations:
While educational institutions share many of the same requirements as other businesses, there are also many key differences. It's important to choose an insurance partner who understands your industry and how it pertains to the following risks:
- General liability: Liability is a major issue for schools, including student exposure during recess time and student or spectator exposure during athletic events. And with many private and charter schools offering non-traditional activities, there are new risks to consider. Insurance companies have designed their policies to exclude coverage for activities that are particularly hazardous. For example, trampolines are typically excluded from GL policies due to possible severe injuries. If you manage a school with a trampoline, you may find yourself unprotected if a child is seriously injured.
- Education errors and omissions insurance: Providing educational services in public and private sectors is challenging. Your work is typically in the public eye and you are often criticized by people who don't understand why you do what you do. It becomes even more difficult when the school, its staff or even a volunteer is accused of wrongdoing. Education errors and omissions insurance helps protect schools, its employees and its volunteers in the event of a third party holding the school responsible for a mistake. A school leaders errors and omissions policy can incorporate coverage to defend a lawsuit stemming from allegations of discrimination, abuse and/or sexual molestation, and even failure to educate. This coverage can incorporate the protection that other businesses' receive from their D&O and employment practices liability insurance program.
- Property coverage: Many colleges and educational districts have older buildings that may be exempt from improvements in the building code. There have been a number of fire incidents in older dorms that have resulted in student injury and sometimes death. This can create both property and liability issues for a school, particularly from a life safety perspective. If a university has a dorm constructed in 2005 and another dorm built in1930, it's often safer for students to live in the newer dorm. It has all the advantages of modern construction, including the safety benefit of better fire breaks and more exits. But colleges need to balance modern dormitories against the financial realities of achieving its mission. By efficiently using its insurance premium dollars and employing effective risk control techniques, a college can achieve student safety and adequate property protection.
- Auto liability: Transporting students is a risky proposition. Every year students are injured and killed in school bus accidents. Many schools still use inherently unstable 15-passenger vans to transport teams. If a van rolls and kids are seriously injured, you need sufficient limits to cover the costs. While public schools can look to state tort liability immunity laws to limit their exposure, private schools can experience substantial claims. Commercial auto insurance will pay for your defense costs, as well as damages for bodily injury and property damage to others caused by your negligence. In addition, commercial auto insurance can provide physical damage coverage, which pays for damage to your vehicle.
- Loss of tuition: If you lost access to your facility due to a property loss, you would lose the ability to generate income. The loss of a semester's worth of tuition could seriously impact the financial stability of a private school or college. Loss of tuition insurance should be included as part of your property coverage; it protects private schools and colleges from this type of business income loss. For example, a private college experiences a fire that closes its largest dormitory. As a result, the school closes the campus, loses a semester of classes and refunds tuition. This would be a significant loss that your policy should be tailored to protect against.
- Employee benefits: People enter the field of education for many reasons, but rarely to make money. Benefits, however, can be a big attraction. Today, a competitive benefits package can serve as a nice recruitment tool and act as an effective tool for employee retention. But retaining teachers and keeping benefits affordable is tricky. RJ Ahmann can help you compare policy costs and coverage to make sure you're getting the best deal possible.
- Umbrella policy: Major liability and auto claims can easily go into the millions of dollars. An umbrella policy provides protection for such catastrophic liability losses, providing additional coverage beyond the limits of your existing liability coverage. It kicks in when the limits in your other policies are maxed out.
A smart solution
If you're searching for a superior insurance solution for your educational institution, RJ Ahmann can help. With years of experience in the educational industry, we've helped public and private schools and colleges obtain solid insurance protection. Our highly experienced staff has access to specialty markets, so you can rest assured that your livelihood is protected with stable, reliable coverage.
To ensure that you get the strongest insurance coverage for your educational institution at the best rates, we...
- Offer lower premiums by accessing specialty education carriers. We understand the unique exposures for educational institutions and develop customized solutions.
- Assist educational institutions in preventing claims, and work with carriers and staff to facilitate a positive outcome once a claim occurs. We understand the balance between the competing issues of privacy and union contracts and the public's right to know.
- Work with educational institutions in establishing proactive plans to protect students, faculty and property.
- Are members of MASBO (Minnesota Association of School Business Officials) and PRIMA (Public Risk and Insurance Managers Association).
Ready to Learn More? RJ Ahmann is Ready to Help with Solutions for Educational Institutions!