Equipment insurance is no longer available

In the past our insurance brokers Jelfs, not only provided public liability insurance for those societies that required it (some, for one reason or another, do not), but also furnished equipment insurance on an individual basis for societies who wished to take advantage of their offer of reduced rates. However, a couple of years ago those brokers were taken over by Marsh Commercial, whose systems evidenced difficulty in distinguishing between the two distinct elements of the policies held with them by FRMS. They have now indicated that, although they will continue to furnish public liability insurance, they are no longer able to provide equipment insurance to individual societies. Obviously FRMS is not in a position to take over this latter responsibility since (1) we hold no information whatever on either the equipment held by societies or the extent of cover required, and (2) are therefore quite unable to invoice individual societies on any equitable basis for the relevant premiums.

Societies will accordingly need to decide (1) whether they wish to insure their equipment, and (2) if so to make their own arrangements for this. It may well be if equipment is stored in the houses of individual members it may be covered by their own household insurance, or not worth making individual payments for. This will be a matter for individual societies to decide, and FRMS cannot advise on particular circumstances. Societies should be able to insure specific equipment with local brokers at presumably a reasonable fee, but will need to ensure that if they wish cover to be continuous they will need to make payments with effect from 1 September 2022 when their existing policies will cease.

The existing arrangements for public liability insurance remain unchanged: FRMS will invoice all those societies who participate in the scheme in the usual manner this autumn, and issue certificates to societies accordingly.

We have been provided by Marsh Commercial with a list of societies currently making payments for equipment insurance, and we will be writing to them individually.

August 2022