Med Pay for Injured Bike Rider under HO's Association's Liability Policy?
I am seeking a coverage opinion based on the following circumstances
Our insured is a homeowners association with CG0001 12/04 on the policy. One of the residents in the community was riding her bicycle. Another resident was walking his dog. As the bicycle rider approached the gentleman with his dog, the man let go of the leash. The dog ran into the path of the bicyclist causing her to fall and injure herself.
CG 00 01 12 04, Coverage C, medical payments, exclusion (e) applies to a person injured while practicing, instructing or participating in any physical exercises or games, sports or athletic contests.
Do you agree that med pay would be excluded, given the fact the claimant was riding a bicycle? Could this fall in the category of physical exercise?
Pennsylvania Subscriber
Prior to the 2004 edition of the CGL policy, the exclusion was worded such that unless an injury occurred in a true athletic event where participants were trained to compete in the event as athletes (e.g. the bike accident occurred mid- Tour de France), the exclusion would not bar coverage.
However, because of questions similar to yours over the meaning of the word “athletics,” ISO amended the exclusion to the current wording so as to more clearly express its underwriting intent. According to the National Underwriter's Co.'s CGL Coverage Guide, the ISO circular announcing this change provided an explanation that the term “athletics” was intended to apply to those participating in any kind of athletics, whether they are organized or not, because those individuals have a greater risk of being injured. And, the purpose of med pay is to assist those injured in accidents—not to substitute for a person's own health insurance.
Thus, we agree that under CG 000112/04 med pay would be excluded because the claimant was riding a bicycle—a physical exercise— when this event occurred.
This premium content is locked for FC&S Coverage Interpretation Subscribers
Enjoy unlimited access to the trusted solution for successful interpretation and analyses of complex insurance policies.
- Quality content from industry experts with over 60 years insurance experience, combined
- Customizable alerts of changes in relevant policies and trends
- Search and navigate Q&As to find answers to your specific questions
- Filter by article, discussion, analysis and more to find the exact information you’re looking for
- Continually updated to bring you the latest reports, trending topics, and coverage analysis
Already have an account? Sign In Now
For enterprise-wide or corporate access, please contact our Sales Department at 1-800-543-0874 or email [email protected]