Remember when the Food Pantry which Richard Marshall headed was eliminated from the Town, We the Griffins tried to assist Marshall in securing the County’s building for the pantry as it had been used previously by the Town. In our attempt, since the Town could only provide Hamilton County with a certificate showing a liability limit of $300,000, I placed together an application which one of the direct writer agents responded to. A $1,000,000 each occurrence/$2,000,000 General Aggregate limit of liability could be provided to Hamilton County but it would only provide premises and operations and since Marshall needed a certificate of insurance evidencing such and including Hamilton County as an additional insured, we, the Griffins, paid for the first quarter of insurance.
However, the Direct Writer (Agents who write only for one company like State Farm, Allstate, Farmers Insurance Group, etc. as compared to an Independent Agency writing for several companies) could provide only Premises and Operations coverage. The quarter premium was less than $200. They could not provide Products/Completed Operations coverage and since the County realized this was a “food bank” and food was provided to the public, they did not wish to be liable for any Product which would cause bodily injury or death. As such the Pantry was denied and later the Churchs took the Pantry over.
To apprise you of the difference, if an individual and we helped Marshall with the 501 3(c) paperwork for his non-profit entity, to be provided the limits of liability required by the County, including premises/operations/ products/ completed operations/ personal and advertising injury and contractual liability, the policy would have cost around $6000 a year. Whereas Churches and Towns are non-profit entities and are inclusive of such things as food pantries.
Karin for the blog