FOR MARTIAL ARTS

The industry standard is $10 million, but venues and landlords are increasingly asking for $20 million. Limits run from $1 million to $20 million. About 20% of the industry ends up with the higher limit, and it can cost around 25% more. Public liability is usually packaged with professional indemnity or civil liability of $5 million to $10 million, and the lower figure is generally enough.

Public liability is generally all a landlord asks for before handing over the keys. Some landlords are now advised by their lawyers to also ask for professional indemnity or civil liability, because a tenant is far more likely to be sued over advice and coaching direction than over a slip or trip.

Yes. Many martial arts schools include a small gym area, and some have a much bigger one. The risk of martial arts activity is different to a full or hybrid gym, so tell the broker what percentage of your space is used for each. That lets them arrange the most appropriate policy.

Price depends on your number of members, annual turnover, state stamp duty, level of cover, broker fees and the insurer's rates. As a guide, $10 million public liability with $5 million professional indemnity can cost under $600 a year for a small club.

Usually. A standard excess is between $1,000 and $5,000 on public liability. A nil excess policy can be arranged through the broker.

It can, especially if a significant amount was paid out. Weak incident reporting, no waiver or an unsuitable one, unqualified instructors, or unprofessional operation can add to the increase.

You can ask your broker to try other insurers, but you must disclose your claims for the past five years. Only a limited number of insurers cover gyms, and virtually only two include martial arts. Your broker may advise staying put for a year or two instead.

Keep a low claims ratio and strong risk management, hire and keep training highly qualified instructors, run regular risk assessments or audits, install cameras to capture incidents, ask for a multi-policy discount, and use a broker with preferred rates.

It covers coaches, senseis, trainers and your school or gym against claims for property damage, financial loss or injury arising from an act, error or omission in your duties. Most martial arts and fitness businesses combine it with public liability for more complete cover.

Larger schools with multiple branches and staff, and associations, often take it up. It helps protect the personal assets of directors and committee members, and it is now very reasonably priced to add on.

It lets an injured member claim medical costs, loss of wages and permanent disability without taking legal action against the club through its public liability policy. There are three levels of cover to fit the benefit you want to offer.

Only around 40% to 45% do, often because instructors don't know the full benefits. Gyms and fitness studios hardly take it up. Paying a strained member's physio can also head off a full liability claim and build loyalty.

You can select all or some of the parts: business interruption, glass, theft, equipment such as mats and cardio machines, money, and general property. Tenants usually don't need building cover because the owner normally has it. Glass breakage is often a lease requirement and is best bundled with other cover.

MAAIS research from January to June 2024 found prices varying by as much as 400% between insurers for the same limits, for example $1,000 to $4,000. Insurers differ in claims history, appetite and what they include at no charge, so getting several quotes matters.

Tell your broker about anything that could become a claim. Record everything: a full incident report, witnesses, video footage and all communication with the injured person. Do not admit fault, hand over your insurance details or offer a payout, as that can be treated as admitting liability. Do show concern, pause their membership and wish them a speedy recovery.

Check the member was actually at the club, that the incident was reported and filed, and whether there is footage or witnesses. Gather all communication, do not admit fault or pay anything, and send everything to your broker. These claims can take 12 to 18 months or longer to finalise.

No. The insurer can decline a claim if its criteria are not met, for example no recorded injury at the training facility, no current policy, or an unpaid premium.

Not necessarily. A standard policy may not cover kickboxing classes even without sparring, and sparring can be defined differently by different brokers. The activity has to be clearly defined in the policy, so always ask.

MAAIS covers a very wide range, including Karate, Taekwondo, Kung Fu, Wing Chun, Muay Thai, Kickboxing, MMA, BJJ, Judo, Aikido, Hapkido, Krav Maga, Sambo, Kendo and Silat, and the list is not limited to these. Always confirm each discipline you teach is named in your policy.

The preferred broker of Martial Arts Australia, and a corporate authorised representative of United Insurance Group Pty Ltd, who arrange the insurance and are not an insurer. Martial Arts Australia has moved from acting as an authorised representative back to a referrer that recommends a preferred broker.

Use the quote button on this page. The broker has more than 40 years of experience in the martial arts and fitness industries and can review your current policy against the questions above.