Canada 150 Risk Management considerations for hosting an event free event
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1 PLANNING FOR CANADA 150 FEBRUARY 2017 JLTCANADA.COM Planning for Canada 150 Risk Management considerations for hosting an event free event It is critical that you also identify how the Canada 150 celebrations will affect your overall Special Events portfolio. Words by SHANNON DEVANE During 2017, communities across Canada will be participating in Canada s 150 th birthday by hosting exciting and unique events. While these events are thrilling for all those involved, your municipality should be aware of the exposures associated with planning and executing special events, regardless of whether they are being sponsored by you or a third party. Special events often require the use of multiple municipal resources including staff time and expertise, property and equipment. These events may draw upon municipal resources like Emergency Personnel (Fire, Police and/or Paramedics/Ambulatory). Additionally, with many travel sites leveraging Canada 150 events to position the country as a top travel destination, the number of attendees at these celebratory events may be greater than anticipated. That is why during a marquee year like this one, it s
2 Once you have reviewed and updated your insurance or purchased a Special Events Policy and mapped out your events, it is recommended that you create a risk management plan for the events. especially important to review and update your existing insurance policy to ensure its limits are sufficient. As a first step, take some time early in the year to map out the special events being planned and executed both by your municipality and by third parties. Define who is responsible for executing the event in order to assign clear responsibilities. Ask yourself: is it my municipality, a committee or a council hosting the event? Is it an organization that is loosely tied to my municipality in some capacity? Or is it an organization that operates independently of my municipality? If your municipality does not have clear and unchallenged authority over the event, then you should not be insuring the event. The entity that has complete control over the event is responsible for insuring the event. However, if your municipality is using internal resources to plan and execute an event, you are then responsible for insuring the event. If you choose to insure the event under your existing liability policy, you need to consider the effect that a claim would have on your overall program and your deductible, and the risks that these special events pose. They include, but are not limited to: financial loss, reputational risk, bodily injury to attendees due to slips, trips and falls, food poisoning, or injury from a third-party vendor. After reviewing the event and the risks it presents, you may choose to transfer the risk by purchasing a Special Event Policy. These policies typically have lower deductibles and will respond first in the event of a claim, thereby protecting the municipal program. A third-party event coordinator can also purchase this type of policy for the event. It is critical that you also identify how the Canada 150 celebrations will affect your overall Special Events portfolio. For example, consider whether your municipality entered into any contractual special event relationships leading up to If so, review them to ensure that your municipality is protected through indemnification and insurance requirements verbiage. Mutual indemnification is recommended along with a minimum of $2,000,000 CAD in Commercial General Liability policy which adds the municipality as an additional insured. It is also important that the contract clearly outlines the responsibilities of each party. After reading the contract, you should be able to answer the question: who is responsible for what? Risk Management Considerations Once you have reviewed and updated your insurance or purchased a Special Events Policy and mapped out your events, it is recommended that you create a risk management plan for the events. Planning early and often are key components of any successful risk management program. These plans should include details on how to deal with potentially dangerous conditions and emergency planning. They should also identify a health and safety coordinator for the event. As a best practice, you should connect with the event coordinator/committee during the pre-planning stages to develop the risk management plan, but remember that it s never too late to get involved and lend your expertise. It is also important that you involve key municipal partners, such as the Fire and Police departments, building and planning, parks and recreation and roads/works. For both indoor and outdoor events, it is also recommended that you inspect the premises in the days leading up to the event and after the event as part of your risk management plan. These inspections should be well-documented and if there are issues identified, there should be clear documentation showing how these deficiencies were corrected and when they were corrected. In these inspections, make sure to include the land around the venue, any walkways, the parking lot and any bathroom Conclusion Canada is globally known as one of the best countries in which to live, play and work. The celebrations for Canada s 150 th birthday represent an opportunity to showcase our amazing country and to give thanks and appreciate all that we are blessed with. The hard work that goes into these events does not go unrecognized. Amidst the celebrations, however, you must remember that each event can have a wide range of exposures. Any potential risk should be addressed, facilities that will be used the day of the event. The backbone of any good risk management program is solid documentation. Any and all documentation related to the special event should be clear, concise and archived properly. Additional risk management best practices include the following: Vendor management Certificate of from all vendors and service providers should be collected and reviewed to ensure that the insurance listed is adequate and that the municipality/event organizer is listed as an additional insured. Volunteer management Ensure your volunteers have been trained properly, are clear on their roles and responsibilities and are clearly identifiable to event participants. Create a reliable communication system for the event Special arrangements Have a system in place to manage lost children, lost property, noise control and parking. Ensure you have enough parking spots or an easily executable management plan if you do not. Events on roadways Roadway events require specific permits that must be secured in advance. Ensure the local emergency services are aware of the road closure. Work with them leading up to the event and on the event day to make sure the road closure has been properly signed and advertised. whether it could occur during set-up, teardown or during the event, as it could lead to a potential loss of revenue and financial damage from costly litigation. By working closely with a risk manager prior to your event, you can gain a clear understanding of what risks you may face and find the right solutions. JLT Canada is here to support you in all municipal operations. If you require any assistance in the planning and risk review of your 150 th celebrations, please don t hesitate to contact us.
3 Thinking ahead for your Canada 150 risk considerations Outdoor Events It is recommended that you create a weather safety plan which includes an emergency alert system Events that take place outdoors require additional risk management techniques as they are vulnerable to the effects of weather. Rain, hail, thunder, lightning and wind gusts can wreak havoc on your event and cause significant injuries and property damage. Because it is impossible to accurately forecast the weather a few months, weeks or even days in advance, and as storms can develop quickly, it is recommended that you create a weather safety plan which includes an emergency alert system. Key points to consider: How will you advise event attendees that inclement weather is approaching? Where should they go? How long should they stay indoors? How will you decide if the event is going to be cancelled? Have you set a rain date? How are you going to communicate this to all parties involved (including participants and attendees)? Outdoor activities should not resume until 30 minutes after the last rumble of thunder is heard. There are documented cases of persons being struck by lightning even after storm clouds have passed. Though the sky may be clear, lightning can travel 8-16 kms out of the back end of a storm. Bouncy Castles It is recommended you have the contract reviewed by an insurance professional I t is recommended that all bouncy castles and other inflatables - whether on land or on water - be set up, managed and torn down by the organization that is providing them. The organization managing the inflatables should provide a certificate of Insurance with a minimum of $5 million CAD of Commercial General Liability which shows the addition of your municipality as an additional insured. It is recommended you have the contract reviewed by an insurance professional. In addition to a certificate, it is good practice to ensure the organization providing the inflatable has a valid permit and checks the item regularly to ensure it is up to code. In the event that your municipality is managing the inflatable item, it is important to obtain written instructions from the manufacturer or professional operator from which you are renting the device. It is considered a best practice to still have a third party organization fully responsible for the set-up, operation and tear down of an inflatable. You may also consider renting an inflatable goal net for your special events. While these are still considered inflatables, if the floor of the inflatable is the natural ground or the floor (if it is indoors), your main concern is to ensure that it is well anchored. This type of inflatable does not present as great a risk profile as a full inflatable. The following is a list of standard best practices for inflatables: The area where the inflatable will be set up should be inspected for sharp objects and be on level ground. Children should not be allowed to use the bouncy castle in high wind or wet weather (inflatables can flip over and slippery surfaces may cause injury). Do not allow children to perform any stunts while in the inflatable (flips, wrestling, etc.). The inflatable must be adequately secured to the ground and located away from obstacles like fences or overhead power lines. Soft matting covering hard surfaces must be placed adjacent to the front or open sides. Ensure that the blower unit used to inflate the device is situated at least 1-2 metres from the inflatable - serious injuries may occur if a user strikes the blower. There should be responsible adult supervision, paying close attention to the children at play at all times during the inflatable s use. The number of children using the bouncy castle must be limited to the number recommended in the hired company s safety instructions. There must be no overcrowding. A system for different age or size groups should be operated, together with the observance of an age limit of users. All children must be made to remove footwear, hard or sharp objects such as jewellery, buckles, pens and other similar pocket contents. Eating inside the inflatable or performing acrobatics must not be allowed. Position the anchoring system and mechanical equipment so that they will not cause anyone entering or exiting the device to trip. Check for rips and tears and ensure the generator is CSAapproved. Ensure the device is fully inflated before use.
4 Alcohol Ensure that your document is up-to-date and satisfies your provincial alcohol and gaming commissions requirements If your event is going to include the sale of alcohol, it is critical that you review your municipal Alcohol Policy. Ensure that your document is up-to-date and satisfies your provincial alcohol and gaming commissions requirements. As a best practice, you should engage a third-party organization to manage this risk. Some municipalities may choose to do this through an existing licensed establishment or through a third-party organization like a not-for-profit community group. In either case, you should collect a certificate of Insurance which clearly shows alcohol liability or host liquor liability in the list of coverages the certificate should list your municipality as an additional insured. For events involving alcohol, Commercial General Liability limits should be between $5 to $10 million dollars, depending on the projected size of the event. It is critical that you work with the organization running this portion of the event to build a plan which creates a designated area where alcohol is allowed and a system for monitoring the presence of minors. Wherever possible, it is recommended to serve all alcoholic beverages in soft containers. To avoid over-consumption, it is also recommended to have different style containers for beer, spirits and wine. It is important that your organizers ensure that proper amount of trained security is located at all beer gardens and other areas in which alcohol is served. With respect to documentation, all liquor serving licences should be kept on file. A licence must be in place for any person handling alcohol (this includes stocking fridges). Other risk management recommendations for events involving alcohol include: Having options for safe transportation home for event goers who consume alcohol. This could mean working with local taxi companies and other transportation providers to ensure that people have access to alternative ways home. If you operate a transit system, you could choose to offer transit fares at a reduced rate on the day of the event. Make sure that transit providers have clear and safe pick-up and drop-off areas around the event. Food options and non-alcoholic beverages should be available to slow the consumption of alcohol by event goers. Do not announce a last call. Studies show that this increases alcohol consumption rapidly at the end of the night. Fireworks Special event celebrations often include Fireworks Parades Parades and special events go hand in hand Whether you are planning on expanding your firework show or you are putting one on for the first time, the following risk management guidelines are recommended: Ensure that the people responsible for the fireworks have the proper licence. For more information, please go to The number of fireworks should be counted before and after to ensure that there are not any stray fireworks in the area. Make sure the crowd is far enough away and have a weather plan in the event of strong winds or wind gusts. As discussed, summer storms can develop quickly. It is imperative that you have a plan which addresses when and how the show will be cancelled or altered due to weather. While parades may be an annual event for your municipality, given the projected increase in tourism this year, now is a good time to review your parade policies and procedures. The following risk management guidelines are recommended: Make sure that every automobile used in the parade is insured. The same goes for any other equipment used (tractors etc.). Obtaining signed waivers from all participants is recommended. All parade participants should refrain from throwing any material (candy, giveaways etc.) from the float or from street level. It is a best practice to have parade participants hand out material directly to the people watching along the parade route. Work closely with local police for the road closure and with local firefighters and EMS. EMS should be a part of determining the best way in, out and around the parade in the event that someone is injured on the parade route. Inspect both the staging area and the end of the parade route to ensure that the participants and their vehicles or equipment can gather and disperse safely. Make sure all existing Special Event and Volunteer policies are adhered to. For more information clientfirst@jltcanada.com Shannon Devane is our Public Sector risk specialist Toronto, ON.
5 16 riskreporter F.U.E.L. FACILITY USER AND EVENT LIABILITY INSURANCE Keep your joyous occasions joyous and control your event coverage with JLT Canada s Facility User and Event Liability (F.U.E.L.) Insurance. We aim to protect you and your guests against the liabilities that may arise from third parties. Available for users of municipal and public facilities, F.U.E.L. covers weddings, parades, concerts, carnivals, fundraisers and everything in between. FOR MORE INFORMATION PLEASE CONTACT: or info@lcis.ca
6 LIKE YOU, WE RE ABOUT COMMUNITY Join the thousands of community groups we help protect so you can confidently focus on your passion. LCIS is a specialist insurance provider established to manage the insurance needs of not-for-profits, clubs, associations and community groups within Canada. LCIS is a division of JLT Canada and has worked closely with our leading insurers, to develop tailored policies that are specific and affordable to these community focused groups. The LCIS team is made up of dedicated policy advisors who pride themselves on taking the time to get to know each client. They use their expertise to tailor the most suitable insurance solution and, most importantly, ensure each client understands these policies and what they cover. FOR MORE DETAILS PLEASE VISIT LOCAL COMMUNITY INSURANCE SERVICES: Phone: Fax: info@lcis.ca
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