2. Property claims annually
on college campuses
100,000
MJSORORITY.COM
The Independent Insurance Agents of
America estimate that 100,000 property
claims occur on college campuses
annually. In addition, today’s students are
bringing more and more expensive items
to school with them than ever before. For
that reason, we believe that it is our
responsibility to communicate to the
chapter members and their parents the
specifics of the sorority's insurance
coverage.
3. What does the
insurance cover?
Property
Liability
Automobile
THE INSURANCE PROGRAM IS BROKEN DOWN INTO SEVERAL TYPES OF
COVERAGE. THE FOLLOWING ARE MOST CONSEQUENTIAL FOR MEMBERS AND
THEIR PARENTS
4. Property
Beds, desks
Living and sitting room furniture
Kitchen equipment
THE INSURANCE PROGRAM COVERS THE PROPERTY
THAT THE SORORITY OWNS AT THE CHAPTER HOUSE.
5. Your daughter's
property
It is the responsibility of the resident member to make sure
that her personal property is protected while living in the
chapter house. Many chapter members’ property would still
be covered under their parent’s homeowners policy;
however, we recommend that chapter members and their
families verify their homeowners policy extend to cover a
student’s personal property while away at college.
HOW SHOULD YOU PROTECT YOUR AND YOUR
DAUGHTER'S PROPERTY WHILE THEY ARE AWAY AT
COLLEGE?
6. A student in school full time, as defined by the school, who
was a resident of your household before moving out to
attend school, provided the student is under the age of:
(1) 24 and your relative; or
(2) 21 and in the care of a person described above (there have
been a number of states that have enacted legislation that
extends the age limit beyond 21 years, so be sure to verify the
age limit in your insurance policy language)
THE INDUSTRY STANDARD LANGUAGE FOR
HOMEOWNERS' POLICIES DEFINES COVERAGE FOR
STUDENTS AS FOLLOWS:
*It is important to review your own personal policy.
7. College students are typically covered for ten percent of the
contents limit under their parent’s homeowners policy.
Under the standard homeowners policy, the contents coverage
only provides named perils coverage, which means that losses
would be covered only if they arise from causes of loss listed in
the policy. We recommend that you verify with your insurance
agent that the policy provides all-risk coverage.
If a student chooses to declare independent status, perhaps for
loan purposes, they would likely not be covered under their
parent’s homeowners policy.
OTHER ISSUES TO CONSIDER REGARDING
HOMEOWNERS POLICIES:
*It is important to review your own personal policy.
8. Alternative
Options
If you would prefer not to rely on your homeowners insurance or you do not have
access to homeowners insurance for whatever reason, we highly encourage you or
your daughter to purchase renter’s insurance, which will cover her personal property
and is very affordable. For example, National Student Services, Inc. (www.nssi.com), the
nationwide leader in college student property insurance, offers $10,000 worth of
coverage with a $50 deductible for about $250 in annual premium. If you or your
daughter purchases a renter’s policy, we recommend that you confirm that the
following perils are covered: theft, fire, flood, and wind. In addition, some of the most
common causes of loss to a laptop include drops and damage from liquids being
spilled into the laptop, so it is important to verify whether or not those types of claims
would be covered.
RENTER'S INSURANCE
9. Liability
CoverageTHE LIABILITY INSURANCE IS THIRD-PARTY
COVERAGE, MEANING THAT IT PROTECTS THE
INSUREDS (THE SORORITY, HOUSE
CORPORATION, CHAPTER, MEMBERS,
VOLUNTEERS, ETC.) SHOULD THEY BE NAMED IN
A LAWSUIT FROM A THIRD-PARTY .
Your daughter’s sorority has purchased the broadest
coverage possible to protect your daughter should she be
named in a lawsuit due to her affiliation with her sorority, so
long as she is following the guidelines of the organization. The
liability insurance is third-party coverage, meaning that it
protects the insureds should they be named in a lawsuit from
a third-party.
10. THE VENUE WHERE THE PARTY
WAS HELD, AS WELL AS THE
INJURED PARTIES, SUE YOUR
DAUGHTER, THE SORORITY, THE
CHAPTER, AND MANY OTHERS.
SO LONG AS YOUR DAUGHTER
WAS FOLLOWING THE RULES
AND POLICIES OF THE SORORITY,
SHE WOULD BE PROTECTED BY
THE ORGANIZATION’S
INSURANCE PROGRAM.
SO WHAT DOES THAT MEAN, REALLY?
AN EXAMPLE...
AT THE PARTY, A FIGHT
BREAKS OUT AND SEVERAL
PEOPLE ARE INJURED.
LET’S SAY YOUR DAUGHTER
SERVES AS THE CHAPTER
PRESIDENT AND PLANS A
PARTY FOR HER CHAPTER.
11. What if my daughter is
injured at a sorority event,
the chapter house, etc.?
If your daughter is injured at a sorority-event or at the chapter house, she will need to
rely on her own personal medical insurance to cover the costs of her injuries. It is
helpful to think of your own homeowners coverage. If you were injured falling down
the stairs of your own home, you would not expect your homeowners policy to pay
for your medical costs. Similarly, the insurance program does protect members and
other named insureds from claims arising from a third-party, but it does not pay for
medical costs arising out of a personal injury to a member.
12. Automobile
Liability
If your daughter takes her car to school, your
automobile policy will continue to cover her personal
automobile while she is away at school. If she does not
take a car with her to school, you will want to ensure
that she is still listed as a driver under your automobile
policy, if she plans to drive any automobile while away
at school. Several insurance companies offer “student
away at school” discounts for this types of coverage, so
be sure to check with your insurance agent before she
leaves for college.
DISCUSS WITH YOUR LOCAL AGENT!
13. Driving on behalf of
the sorority
If your daughter drives her personal automobile on sorority business and is
involved in an accident, she will not be covered by the sorority's automobile
liability policy. The sorority's automobile liability policy exists to protect the
organization if it is named in a lawsuit involving an automobile, not individuals.
14. An exciting
timeFOR MANY CHAPTER MEMBERS,
COLLEGE IS THE FIRST OPPORTUNITY
FOR THEM TO LIVE ON THEIR OWN
AWAY FROM HOME. IT IS IMPORTANT
THAT CHAPTER MEMBERS AND THEIR
FAMILIES TAKE THE NECESSARY
STEPS TO ENSURE THAT THEIR
PERSONAL PROPERTY, WHICH CAN
OFTEN BE VERY EXPENSIVE, IS
FINANCIALLY PROTECTED VIA
INSURANCE.
15. Further study
If you are interested in studying the organization’s insurance program further,
we recommend you review the expansive Insurance Summary on our
website: www.mjsorority.com. We realize that this can be a confusing issue,
so please do not hesitate to contact us with any questions or concerns.
KNOW WHERE TO GO
