Dear Recreational Motorists,

We have had numerous requests for information on ARMA’s membership fees and insurance contributions over the last few weeks, we’ve decided to publish these details to everyone, so you have it readily available for your association / club member meetings.

ARMA has three membership types, Group Membership, Associate Membership and Individual. Fully incorporated associations and clubs join as “Group Members”, gain fully voting rights, member insurance (Public Liability, Professional Indemnity, and Management Liability), while “Associate Members” are normally incorporated organisations which may not require our insurances (may already have their own), or non-incorporated groups such as Downshift AUS (European and Japanese motoring group).

The total group membership cost comprises the membership fee and insurance contribution, which is calculated on a per “member basis”, and a $25 admin fee covering the full group.

Group member fees (incorporated associations / clubs) are variable based on size:

1-100 members $4.75 per member
101-500 members $4.50 per member
501-1000 members $4.25 per member
>1000 members $4.00 per member

The insurance component, which is based on this current FY, is current $3.67 per member.

For a club to join / renew membership with ARMA, based on 85 members, the calculation would be:

Member Fee 85  x  $4.75 = $403.75
Insurance Contribution 85  x  $3.67 = $311.95    (FY 20/21)
Admin Fee 1   x $25.00 = $25.00
  Total (85 Members) = $740.70    (FY 20/21)
  Per Person = $8.42

We are currently in the process of renewing our insurance coverage for FY 21/22, so the $3.67 referred above may differ once we receive all the quotations back from the insurance brokers / underwriters, formally accept the product which suits our requirements, and calculate our individual member contribution.

We have had one successful claim against our insurance policy this year from a Victorian club member, which has been paid and finalised, therefore we are confident the insurance arrangement is suitable for our needs.

Some of the details on our current insurance:

Insurance overview and limits:
Underwritten by Certain Underwriters at Lloyd’s of London

Part 1

Public Liability $20,000,000 any one occurrence
Products Liability $20,000,000 any one occurrence and in the aggregate
Excess $1,000

Part 2

Professional Indemnity $1,000,000 any one claim and in the aggregate
Excess $1,000
Retroactive date: 30/06/2020

Part 3

Management Liability limits as per those shown below any one claim and in the aggregate
Directors and Officers: $1,000,000
Offices Bearers $1,000,000
Trustee Liability: $1,000,000
Taxation Audit: $50,000
Crime/Fidelity: $20,000
Employment Practices: $250,000
Statutory Liability: $250,000
Appearance at Official Investigations: Included
Heirs and Estates: Included
Automatic Reinstatement of Indemnity Limit: Included
Discovery Period: Included
Outside Directorship Cover: Included
New and Former Subsidiary: Included
Occupational Health and Safety: Included
Public Relations Cover: $100,000
Pollution: Included for Sudden and Unexpected Continuous Cover: Included

Insurance Clarification and update:

  • The amount of cover for professional indemnity has been renegotiated with the insurer to now be $2million up from $1million
  • The participation exclusion in the liability policy has been designed to exclude only those areas where an individual member would have existing insurance cover such as TAC or comprehensive insurance. For example, if whilst driving a vehicle, that vehicle is in an accident, then the normal comprehensive insurance cover would kick-in.  If we are out driving and I’m giving direction to someone over rough terrain and they don’t follow my instructions and have an accident, then I am covered should they make a claim against me.
  • The activities we are covered for (in both policies) are reproduced below and these will appear in the insurance schedule. This is a comprehensive list and feedback from the insurer (and the broker) is that our proposal was extremely comprehensive and has given them the best opportunity to fully assess the risk.  Please note the last activity is really a catch-all. These are the activities:
    • Four-wheel driving and club related activities.
    • Activities include meetings and workshops at national, state and club levels;
    • club day trips and outings, extended trips and tours;
    • static promotional displays and swap meets;
    • fund raising activities (barbecues, social activities, car boot sales and the like);
    • volunteering activities, community assistance events and land manager volunteer working bees (Clean ups, track clearing and repairs, fence mending, signage installation, track classification work, weed removal);
    • bushwalks and walking tours;
    • 4WD vehicle operation and recovery technique demonstrations;
    • nationally-recognised training (including driving, vehicle recovery, winching, chainsaw maintenance and use, first aid, etc – delivered by paid and unpaid (volunteer) trainers);
    • camping and campfire cooking, non-timed gymkhanas and navigation trials;
    • the use of non-powered watercraft;
    • in-club training (including driving, vehicle recovery techniques, camping, using tools and equipment, etc); and
    • any other 4WD associated activities the insured may participate in from time to time.

If you have any additional questions / queries, please feel free to contact us, and we can host a Zoom conference if you would like to discuss items with our management committee.

Kind regards,

Miles Brennan

Phone:  1300 830 260