3rd Party Hirers

You may be one of the many Council premises which lets out your rooms for private functions to generate income.

One of the lettings conditions must be that the hirer has Public Liability insurance with cover of at least £5 million.

Some hirers will not have the benefit of insurance cover but rather than the premises lose the income, the Council's insurers are able to offer a Third Party Hirer's Liability insurance policy which the hirer can 'buy' into. This will provide hirers with the required £5 million cover.

There are conditions attached to the Third Party Hirers' policy. The hire must not be for:

• political parties' meetings
• professional entertainment purposes
• martial arts activities
• commercial or business functions

There will be many organisations that will of course have their own Public Liability insurance and the conditions above will not apply to them. For these hirers, you must keep a copy of their current Public Liability insurance certificate with your Lettings Form.

What you need to do?

In order to take advantage of the Third Party Hirers' Liability insurance cover you will need to:

• provide the hirer (taking out this insurance) with a copy of the Indemnity to Hirers document detailing the cover provided
• collect the premium (12% of the room hire). To reduce administration costs this can be retained by yourselves.
• retain all associated paperwork to support the above for audit and insurance purposes
• complete the Register of Hirers, blank spreadsheet attached on this page and retain for audit and insurance purposes.

What do I charge?

The hirer can purchase the Third Party's Hirers' Liability insurance for 12% of the charge of the room (not including hire of other equipment or facilities). Please refer to the guidance notes on this page for further details on how to charge.

Who needs Third Party Hirers' Liability insurance?

Please refer to the flowchart in the guidance notes for a step by step guide to who will need this insurance.

If you have any queries regarding the insurance cover for a hirer, please contact the Insurance Team.