By Huntington T. Block Insurance Agency, Inc.
Understanding Sexual Abuse & Molestation Liability Coverage: Why Museums May Want to Consider Adding This Important Coverage to Their Policy
It is paramount for museums to understand the unique risks they may face in the fine arts space and secure customized insurance solutions to help meet their needs. Many museums offer interactive experiences involving minors, such as classes, workshops, field trips, summer camps, overnight stays, and more. Even with rigorous oversight and precautions, these activities have inherent risk exposures relating to Sexual Abuse and Molestation (SAM), and it is important to plan accordingly and understand what insurance options are available to help safeguard your museum, staff, members, and patrons. Therefore, museums may want to consider adding SAM liability coverage to their current insurance policy.
At Huntington T. Block Insurance Agency (HTB), we understand the unique exposures that museums face, and we’re here to help provide insurance solutions tailored to their needs. In partnership with Arch Insurance Company (Arch), HTB offers SAM coverage, in addition to a suite of other products designed to help protect museums, cultural institutions, art galleries, art collectors and art conservators.
SAM Coverage Details:
- SAM coverage is typically excluded from a standard General Liability insurance policy.
- It can be added, subject to underwriting review, at various limits ranging from $250K to $1M. Additionally, Arch offers up to $10M of umbrella liability which can go over the SAM coverage.
- Each risk is underwritten individually to appropriately customize coverage.
- Given the rise of ‘lookback window’ laws, which allow for a period of time for individuals to bring forward abuse claims which may typically be time-barred, SAM coverage is becoming more important. It is critical to note that the coverage may exclude prior acts. You may, however, want to obtain this coverage to potentially cover you for incidents that may give rise to a claim in the future, subject to the issued policy’s terms and conditions.
Securing A Coverage Portfolio for Comprehensive Protection
When it comes to securing specialized insurance coverage for your museum, the best risk management strategy is a holistic one in which your potential risk exposures are properly addressed.
While other carriers may shy away from offering abuse-related specialty coverage, Arch is at the forefront for our insured museums. We recognize the importance of broad coverage to help safeguard your museum, staff, members, and patrons, and that is precisely why we offer a complete suite of products, including:
- Property & Casualty (General Liability, Auto, Crime, Excess, etc.), including Historic Replacement Cost for historic buildings and SAM Coverage
- Directors & Officers Liability
- Employment Practices Liability
- Professional Errors & Omissions Liability
- Cyber Risk Insurance
- Event Cancellation Insurance
- Collections Coverage
- and more.
Combining all these products provides museums comprehensive coverage to help safeguard their organization from a wide range of claims.
Underwriting the Tough Stuff to Help Ensure No Gaps in Coverage
While SAM coverage may be complex to contemplate given the sensitive nature of potential claims, it is important for museums to consider this as part of their liability insurance policy.
At HTB, we know this space, we recognize the unique exposures facing museums and other cultural institutions, and we’re here to help provide customized coverage designed to fit your needs.
Reach out to us to learn more about this important coverage and receive a quote.
This article is provided for general informational purposes only and is not intended to provide individualized advice. All descriptions, summaries or highlights of coverage are for general informational purposes only and do not amend, alter or modify the actual terms or conditions of any insurance policy. Coverage is governed only by the terms and conditions of the relevant policy.
Huntington T. Block Insurance Agency, Inc. is a licensed insurance producer in all states; Texas License #17489; operating in CA under license # 0825502.
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