Offering monoline or package coverage of classroom-type instruction risks.
A public speaking school student slipped and fell in the school’s restroom, resulting in a broken arm and sprained knee. The student filed a lawsuit against the school for pain and suffering, medical bills and rehabilitation expenses. The lawsuit was settled for $68,000 and $7,000 was paid in defense expenses.
A mother claimed that her child’s learning center failed to render professional tutoring services for the SATs; he is now unable to get into the college he wanted to attend. The parents brought a lawsuit against the school for the cost to hire a special tutor and a refund of their money paid to the learning center. The claim was for $10,000.
Abuse or Molestation:
A dance school student brought a lawsuit against the school alleging negligent hiring of an instructor who improperly touched her during a lesson. Attorneys were hired to defend the school. The case was dismissed after no negligence was found on the part of the school. Defense costs totaled $35,000.
A fire began at the insured’s computer instruction school when an employee plugged in the computers. The fire caused $80,000 in building damage along with $36,000 in damages to business personal property. While the damages were being repaired, the computer instruction school had to shut down for two months, resulting in a business income loss of $15,000 along with $10,000 in extra expenses to get the school up and running again. The entire loss came to $141,000 in damages and the claim was settled for the insured’s damages.
An on-premises power outage at a cooking school caused the freezer to shut down and the food in the freezer to spoil. An equipment breakdown claim was made for the $5,000 of spoiled food. In addition, the school had to shut down for several days resulting in an additional loss of income of $2,500. A claim was presented, and the insured was reimbursed for their loss.