Insurance Protection for CTA Chapters

Being in the role of a local leader carries with it significant responsibilities. The CTA Risk Management Department has designed this section to provide the resources to help you organize and handle all of the insurance needs of your chapter. Here you’ll find the following:

• The types of insurance coverage automatically provided by CTA to the chapter and local leaders, as well as the insurance coverage that a chapter should purchase on its own;
• A quick way to download a copy of CTA’s $1 million General Liability Certificate;
• The steps to take to report a chapter insurance claim;
• The features of the NEA Fidelity Bond program, which is automatically provided to chapters to cover fidelity losses due to a chapter officer’s or employee’s impropriety, or the theft of money or securities by a non-employee.
• Chapter Insurance Program provides a one-stop guide on the automatic coverages available to CTA members as well as the various types of insurance offered to CTA chapters.

What Type of Insurance Does Your Chapter Need?

CTA purchases several business insurance policies on behalf of its chapters; meanwhile, each chapter must determine what additional insurance it needs.

In the following sections you’ll find a brief overview of the automatic and additional insurance coverage. For more details of each coverage, please contact CTA Risk Management Department at (650) 552-5200.

Automatic Chapter Insurance

As a leader of a CTA chapter, you’ll rest easier knowing that each chapter is covered by…

• General Liability Insurance – provides indemnification for the losses and expenses resulting from defending lawsuits alleging negligence by CTA or a CTA chapter.
• Business Automobile Liability – protects CTA, the local chapter and UniServ Unit against bodily injury and property damage claims resulting from auto accidents involving local chapter employees, leaders, and CTA members while using their own vehicle for CTA business; similar coverage applies when renting a vehicle for CTA business. There is no coverage for the individual driver as liability coverage is provided by the driver's personal auto policy. Note: When renting a vehicle for CTA business, CTA chapter leaders and members should state on the rental agreement that they are renting the vehicle on CTA business in order to protect CTA and the local chapter or UniServ Unit.
• NEA Association Professional Liability – protects local chapters and their officers, chapter leaders and employees against financial loss for claims and suits arising out of their association-related activities.
• NEA Fidelity Bond Coverage – this policy covers fidelity losses due to a chapter officers’ or employees’ impropriety, or the theft of money or securities by a non-employee. Learn more...

Additional Chapter Insurance

While CTA’s risk management program provides important business insurance automatically to its chapters, depending on the activities, contractual agreements, operations and assets of your chapter, your chapter may need to purchase additional coverage.

The table summarizes the instances for which you may need additional insurance and the type of insurance that applies. For more details, please contact CTA Risk Management Department at (650) 552-5200.

If You…	You Will or May Need…	Which Provides…
Hire employees	Workers’ Compensation Insurance and   Employment Practices Liability Insurance	Coverage in the event any employee suffers a work-related illness or injury   Coverage in the event of employment-related litigation
Lease or own office equipment	Office Contents Insurance	Protection in the event of losses arising from such events as theft or fire
Own your office building	General Liability     Property Insurance     Earthquake Insurance	Coverage similar to CTA’s automatic General Liability Insurance, which does not apply to chapter-owned buildings   Protection against most risks to property, such as fire, theft and some weather damage   Coverage for buiding and business personal property in the event of an earthquake
Serve as a trustee or board member on a non-CTA board	Directors’ and Officers’ Liability Insurance	Liability coverage for individuals serving on outside boards or organizations
Operate or sponsor a health or welfare plans	Fiduciary Liability Insurance	Protection for individuals who otherwise could be held personally liable for negligence in the performance of their duties as plan fiduciaries
Maintain a database containing personal information	Network Security and Privacy Liability Insurance	Protection for losses associated with unauthorized access to theft of personal data you hold

How Does My Chapter Report a Claim?

If your chapter experiences a loss or a situation arises for which you need to file a claim under one of the CTA-provided insurance policies, you should contact:

Vicki Rodgers – Manager
CTA Member Benefits/Risk Management Department
(650) 552-5385

In addition, if it is an NEA Association Professional Liability Claim, you should also contact:

CTA Legal Department
(650) 552-5425

Lastly, if the claim relates to any of the additional coverage obtained specifically for your chapter, you must contact the applicable insurer.

NOTE: Claims must be reported as soon as practicable for Fidelity Bond claims, and a proof of loss statement (claim) must be submitted within 120 days from the date of loss.

NEA Fidelity Bond

The NEA Fidelity Bond program – provided automatically to chapters – covers fidelity losses due to a chapter officers’ or employees’ impropriety, or the theft of money or securities by a non-employee. The Fidelity Bond consists of the policies:

• Labor Organization Bond and Employee Dishonesty Policy
• Crime Insurance Policy

For more information on these policies, please contact CTA Risk Management Department at (650) 552-5200.

Note: The Fidelity Bond insurance policy covers state and local affiliate political action committees. The employee dishonesty policy and the crime insurance policy do not cover insurance trusts or pension plans, or other funds created by state or local affiliates.

How to File a Claim under the NEA Fidelity Bond

All potential claims must be reported at the earliest practical moment after discovery of any potential loss, regardless of the dollar amount involved in the potential loss. And, a proof-of-loss statement must be completed and provided to the carrier within four months of the initial discovery of the loss and must include documentation of the circumstances of loss, including copies of bank records and checks. To file a claim, contact Vicki Rodgers – Manager of the CTA Member Benefits/Risk Management Department at (650) 552-5385. Note that coverage under the NEA Fidelity Bond Program is subject to the entire wording of the Program policies. More information is available in the Chapter Insurance Program.