Tidy Towns groups up and down the country will no longer need to pay for insurance following the announcement that there has been an agreement between local authorities and IPB insurance, a public sector focused mutual insurance company.

This news will be welcomed by over 1,000 local authority backed Tidy Towns groups nationwide that have been paying for insurance. 

It is hoped that the move will ease the financial and administrative burden faced by Tidy Towns groups made up of volunteers as well as providing consistent and comprehensive insurance cover.

There is no doubt that insurance is a financial burden on tidy Towns groups. A typical premium faced by community groups would be in the region of €1,500 for a medium sized town, with larger towns facing a bill of approximately €7,000 annually.

The new policy will eliminate the need for groups to provide proof of insurance before receiving grants.

IPB Insurance was established by Ireland’s local authorities in 1926, as a mutually-owned general insurer. Mutual insurance involves polling risk to provide insurance cover for members.

IPB underwrites public and employers liability, property, environmental impairment liability, and motor risks for public sector bodies and agencies and for complementary markets in the semi-state and private sectors.

“As a mutual insurer, we believe in the strength of the collective and working together,” said Chair of IPB Insurance John Hogan.

“This initiative demonstrates the benefits of collaboration to address insurance challenges that make a meaningful difference for our members and their communities,”.

Welcoming the initiative, Minister of State at the Department of Finance with special responsibility for Insurance Robert Troy said, 

“This partnership between Irish Public Bodies (IPB) Insurance and local authorities will mean Tidy Towns groups will have insurance cover, at no cost to them. This will enable local authority-backed Tidy Towns groups to continue their vital work bringing benefits to the community, and indeed the country, as a whole”.

Tidy Town insurance provided by IPB insurance typically protects local authority approved voluntary groups involved in a range of activities including the operation of the committee, and activities to improve the appearance of and sustainability of public areas of the community such as clean up events, maintenance and beautification projects.

Protection under the policy would also include education and promotion of local amenities and heritage, and small promotional and fundraising events. This would allow these groups to ensure that they can focus on their community efforts without worrying about insurance costs.

The master insurance policy provided by the scheme would include a range of types of cover including property cover, employers, public, and product liability cover, professional indemnity, and directors and officers liability cover.

There are some exclusions, however, such as non-Tidy Towns activities for profit, high risk activities involving heavy machinery, hazardous chemicals, or extreme physical risk, and private property damage in some instances.

There are areas of cover that are not included in the policy which may be required by Tidy Towns groups such as:

Motor insurance may be required by Tidy Towns groups, in some cases. 

Motor insurance is required by law for a motorbike, car, van, or tractor. Use of a motor lawn mower, for example, would require separate motor insurance.

Unfortunately, theft and fraud by employees does happen, even where an organisation is largely made up of volunteers. 

Employee fidelity or theft by employee cover would protect groups against theft or fraud by an employee of the group.

As Tidy Towns groups do not operate to make a profit, this type of cover may not be relevant to all groups.

Business interruption cover typically offers protection against loss of income due to insured property loss, such as storm or fire damage to buildings or their contents.

Computer insurance offers protection where computer equipment, hardware and software, and accessories, such as cameras, are damaged, stolen, or vandalised. Cyber insurance also protects a business or organisation against loss and reputational damage in a cyber incident.

Tidy Towns groups should consider cyber insurance where there may be costs associated with recovering lost data, where they store personal information, or in the worst case scenario they may be liable or incur legal fees in a cyber incident.

Compare insurance welcomes the good news that Tidy Towns groups will no longer have to pay for insurance as this will support the invaluable work carried out by local community groups.

However, if you run a Tidy Towns committee or group in your local area and you are concerned about exclusions in the master insurance policy or you would like to discuss tailored cover for your Tidy Towns group, contact Compare Insurance today.

Fill in our online assessment and you can discuss your Tidy Towns insurance needs with a specialist insurance advisor with a free, no obligation call.