Definitions

Incident - An event or minor accident ...

• Which involves a third party (e.g., a Member property guest, not an employee) that may or may not cause accidental injury or loss,
• Where a claim is not anticipated or asserted,
• Where there is no apparent indication of liability or fault, or
• Where occasionally incidental payment may be made to the individuals involved as compensation for a minor property loss, or to cover the cost of emergency medical services.      Examples of an Incident are as follows:
  
• Person trips, is unhurt, but breaks eyeglasses. No claim filed, but Member property pays to repair eyeglasses.   
  Guest falls - No injury or payment.
  • Guest slips and falls, perhaps minor scrapes and bruises, emergency medical treatment not requested, but Member property chooses to pay for first aid. No claim for other medicals or damages.
  • Small items of property are reported missing. Payment may or may not be made to guest at the discretion of the Member property.

    Note: In instances where REM is not involved in the settlement of a claim (e.g., small property damage claim), it is the Member property's responsibility to ensure that all settlement amounts and all other partial payments are accurately recorded.

  Claim - An more serious incident which has resulted in…

• Bodily injury to a third party where compensation for the injury or damage is anticipated, or has been requested,
• Damage to property belonging to a third party that could result in a substantial payment if liability is recognized, or
• A loss for which your estimated amount of loss is 50% or more of the Member property's Self-Insured Retention (SIR).
  

  Deductible vs. Self-Insured Retention

  RHA's liability program with Zurich uses "Self-Insured Retentions" for claims under the General Liability policy and "Deductibles" for claims insured under the Auto Liability policy. What's the difference?

  Deductible

  States require that the insurance company issuing auto liability policies guarantee them. Zurich, therefore would technically be responsible for the first dollar paid to the third party (e.g., Member property guest). Often the Member property will pay the guest up to the amount of its deductible. If Zurich pays the entire claim, Zurich will look to the Member property to be reimbursed up to the amount of the Deductible agreed to in RHA's auto policies.

  Self-Insured Retention (SIR)

  By participating in the RHA General Liability program, the Resorts agree to be directly responsible for claims that occur up to the limits of their SIR. Members have authority to settle claims which fall within their SIR. In effect, Zurich serves as an excess carrier to the Member property's primary layer, its SIR.