Liquor Liability, Lost Key, Art Shows/Exhibits, Loss of Income
Provides $1,000,000 limit of liability for
the entity as well as the entity's employees or volunteers (not
outside caterers, etc.) engaged in the SELLING or SERVING of
alcoholic beverages. The acquisition of the necessary State permit
is necessary BEFORE the liquor liability insurance
coverage can be obtained. The premium is $110 per
event . Please refer to the Ohio Liquor Law and Procedures
For Obtaining Liquor Permits and Liability Insurance section
for a detailed explanation of procedures for obtaining permits
as well as liquor liability insurance.
Should the insured parish or institution be involved in more
than infrequent sales or serving of alcoholic beverages (i.e.
hall rental/catering businesses operated by and for the benefit
of the insured), please contact the Diocesan Property/Casualty
Insurance Office for annualized coverage and rates.
LOST KEY COVERAGE
If building master keys are lost or stolen, this coverage will
provide up to $2,000 for the cost of keys,
adjustments of locks to accept new keys, or (if required) new
locks including the cost of their installation. There is no deductible
applicable for this coverage. The additional premium is $100 .
ART SHOWS/ART EXHIBITS
The master policy automatically provides $50,000 legal
liability for this exposure. This coverage will expand your primary
coverage to respond, regardless of fault or legal liability.
Contact the Diocesan Property/Casualty Insurance Office for
premium pricing information.
LOSS OF INCOME/RENTS COVERAGE
Schools, colleges, and universities insured in the Diocesan Master Insurance Program
are protected against loss of tuition fee income through the
school interruption endorsement in the property section of the
policy. Locations which have hall rentals, dwelling rentals,
retreat house fees, or other means of income would suffer a substantial
loss if this particular income were interrupted due to a fire
or other peril insured against in the policy. Loss of income/rents
coverage would pay for the loss of business income sustained
due to the necessary suspension of your operations during the
period of restoration. The additional premium for this coverage
can be obtained by calling the Diocesan Property/Casualty Insurance
Special Events Liability Coverage
It is the policy of the Diocese of Cleveland that all parishes,
schools, and institutions allowing either individuals or families
to rent or use their facilities for various one-time "special
events" require liability insurance protection.
These individuals have the opportunity to purchase Special Events
Liability Insurance through the Diocesan Master Insurance Program at their expense.
Special Event insurance is NOT available for athletic events, including the
rental of facilities for athletic practice. The sponsor lessee must provide
their own coverage, specifically endorsed to cover liability for injury to the
However, for most family events in lieu of purchasing Special Event Liability thru the Diocesan Master Insurance Program, evidence that the individual or family has homeowners or renters liability with a limit of at least $500,000 will be acceptable. Evidence in the form of a Certificate or copy of the policy Declarations showing limit along with a description of the event can be faxed to the Diocesan Master Insurance Program at 216-367-1829 for approval.
All Special Event rentals require a written contract be executed between the persons renting the facility and your location. This agreement should include necessary hold harmless language to protect your entity and the Diocese. Please contact Attorney Kevin Burke in the Diocesan Legal Office for assistance with all your property/facility rental contracts.
Special Events Liability Insurance provides first line protection
for both the one-time user of the facility as well as the parish
or institution. It is intended to provide primary insurance
protection thereby limiting financial exposure to the Diocesan
Master Insurance Program. ** PLEASE NOTE: This Special
Events Liability Insurance is NOT intended to provide coverage
for any amusement ride company, independent contractor, commercial
venture, events where liquor is sold or an
admission is charged and liquor is provided,
or where any person/entity is engaged in a long-term property
or facility lease-rental agreement with your location and/or
the Catholic Diocese of Cleveland. These situations necessitate
different property/liability insurance requirements and are handled
separately through the Diocesan Finance Office
Special Events Liability Insurance is administered directly through the Diocesan Master Insurance Program. The following terms and conditions apply to the policy wording:
- Comprehensive General Liability
$1,000,000 combined single limit per occurrence
- Damage to Leased Property
$25,000 per occurrence
- Host Liquor Liability (no sale or Admission charge)
- Bodily Injury Liability
- Property Damage Liability
The premium is $135 per event for a policy period consisting of 24 hours (one calendar day). Weddings shall have a premium of $390.00.
Evidence of Personal Liability limits of at least $500,000 under Homeowners coverage can be substituted for most events.
Please print your own "SPECIAL
EVENTS LIABILITY INSURANCE COVERAGE APPLICATION FORM."
Below is a list of suggested guidelines to follow in determining
the need for Special Events Liability Insurance.
NON-SPONSORED events that REQUIRE special
- wedding receptions, bridal showers
- retirement, birthday, anniversary parties
- dances, miscellaneous private gatherings or parties
SPONSORED events where special events coverage
is NOT REQUIRED :
- parish or Diocesan meetings
- parish festivals, parish bazaars, or parish dinners
- parish plays, school open houses, etc.
- parish affiliated group activities (ushers club,
ORGANIZATIONS endorsed but NOT sponsored by
a parish or institution, may or may not require Special Events
Insurance (discretion should be used) :
- Alcoholics Anonymous, Al-Anon, etc.
- Girls and Boys Scout troops
If you are uncertain in determining whether Special Events Liability
Insurance coverage is required for a particular group/function
scheduled to be held at your location, please contact the Diocesan Master Insurance Program
or the Diocesan Property/Casualty Insurance Office for clarification.
Ohio Liquor Law and Procedures For Obtaining Liquor Permits
and Liability Insurance
OHIO LIQUOR LAW GENERALLY
Ohio Law closely regulates the manufacture, distribution, and sale of alcohol by both individuals and organizations.
Specifically with regard to nonprofit charitable organizations, Ohio law dictates the circumstances under which such
organizations may sell or serve alcohol, when a liquor permit is required to do so (see below for an overview), and
what restrictions are imposed upon such organizations when serving or selling alcohol (see below for an overview).
If you have questions or uncertainty about what is or is not permitted under Ohio law, you should contact an attorney
prior to proceeding with your event.
LIQUOR LIABILITY COVERAGE AND INSURANCE PROCEDURES
The Diocesan Master Insurance Program includes liquor liability coverage with a $1,000,000.00 limit of liability for
parishes and insured organizations as well as their volunteers (although not outside caterers) for events hosted by,
sponsored by, or taking place on the insured organization’s premises with its permission and where the Ohio
Department of Commerce Division of Liquor Control does not require any permit for the event other than a temporary
permit. For EACH event hosted or sponsored by an insured organization where a temporary liquor permit is
required (see below for an explanation of when liquor permits are required), a copy of the liquor permit must
to be sent to the Diocese five (5) days prior to the event and $110 will be charged. Please submit a copy of the
liquor permit via email to InsuranceRequest@dioceseofcleveland.org. Please do not send a check, your location will
be billed $110.00 on your following regular monthly bill for each separate event.
If third parties are renting or using an insured organization’s facilities and serving alcohol, please see the Special
Event Liability Coverage section, below, for further details. The liquor liability coverage described in this section does
not cover third parties.
This liquor liability coverage through the Diocesan Master Insurance Program is available ONLY to the parishes and
entities participating in the Diocesan Master Insurance Program for events held on their premises. Should you have
questions, please call (216) 696-6525 or 1-800-869-6525, Extension 3400, Monday through Friday, between 8:30 a.m.
and 5:00 p.m.
TEMPORARY LIQUOR PERMITS: REQUIRED EXCEPT AT PRIVATE FUNCTIONS
Ohio law requires that nonprofit charitable organizations obtain a temporary liquor permit from the Ohio Department
of Liquor Control under nearly all circumstances in which alcohol is served or sold. The only exception to the
requirement to obtain a temporary permit is when the alcohol is served at a private function. According to the Ohio
Attorney General’s office, to qualify as a private function, the event must possess all of the following characteristics:
- It is a private function where access is restricted to invited guests (i.e. the event is by invitation only or is open only to a limited and definable class of persons);
- Admission to and participation in the function is free of charge (i.e. no admission price, donation, or prepaid ticket/admission required); AND
- No alcoholic beverages are sold (i.e. alcohol is not in any way sold to or paid for by the invitees or attendees such as through a cover charge).
If a function does not have all of the above characteristics, a liquor permit and Liquor Liability Insurance must be
obtained and all legal requirements observed relative to the sale and consumption of alcohol. It is important to note
that if the organization hosting the function fails to restrict or control uninvited guests from attending, the event may
be construed as being open to the public, and therefore one which requires a permit. Therefore, if you do not have
procedures in place to ensure that uninvited guests will be excluded, you should obtain a liquor permit.
TYPES OF PERMITS
In addition to the requirements stated on the permit application form, which you should review carefully, a helpful
summary of the requirements associated with Temporary Liquor Permits from the State of Ohio can be found here:
The three main permits used by nonprofit organizations are:
- Beer only (F Permit). An F-Permit allows the holder to sell only beer, for a period of time not to exceed five
days. Organizations must apply for an F-permit at least one month in advance of the event to ensure that
the permit is received prior to the event. The fee for this permit is $40. Organizations are eligible to receive a
maximum of two (2) F-Permits per month. Organizations should be aware that the sale of anything other
than beer is illegal with this permit. In addition, all beer must be purchased only from a manufacturer
(brewer) or wholesale distributor. (Ohio Revised Code 4303.20).
- Wine only (F-6 Permit). An F-6 Permit allows the holder to sell wine-only for a period of time not to exceed
seventy-two hours at an event organized and conducted by and for the benefit of the organization and
located in an area that has been voted wet through local option for such beverages. Applications should be
sent in at least one month prior to the scheduled event. The fee for this permit is $50.00. Organizations are
eligible to receive a maximum of six F-6 permits per calendar year. While wine must ordinarily be purchased
from a wholesale distributor, the holder of an F-6 permit may also obtain wine by donation from a
manufacturer, supplier, or wholesale distributor of wine or from any person who is not the holder of a permit
issued by the division of liquor control. Organizations should be aware that the sale of anything other than
wine is illegal with this permit. (Ohio Rev. Code 4303.206).
- Beer, wine, and liquor (F-2 Permit). An F-2 Permit allows the holder to sell beer, wine, mixed drinks, and
liquor for a period of time not to exceed four consecutive days in an area that has been voted wet through
local option for such beverages. As with the other permits, parishes should apply for an F-2 permit at least
one month prior to the scheduled event. The fee for this permit is $150. Please note that organizations
are only eligible to receive a maximum of one F-2 Permit per thirty-day period. Wine or mixed beverages
must be purchased only from a wholesale distributor and spirituous liquor from a contract (state) liquor
agency (Ohio Admin. Code 4301-3-01).
When applying for a temporary permit, your organization will be required to provide evidence of its non-profit, tax
exempt, charitable status as part of the application process. In addition, both permit application forms require the
signatures of both local law enforcement authorities and the owner of the real property on which the event is to be
held (which can be the parish pastor/administrator for purposes of events held on parish property) . Such signatures
provide evidence of their respective acknowledgment and consent to the sale of alcoholic beverages on the
premises. Finally, the application must include a description, including a drawing, of the area (indoors or outdoors)
where the alcoholic beverages will be consumed and how the area will be separated (Ohio Revised Code 4303.202
and Ohio Administrative Code 4301:1-1-34).
It is important to remember that any function sponsored by a parish group or ministry is considered a parish function.
This is due to the fact that such groups are not legally distinct or separate from the parish. For example, if the parish
women’s guild obtains an F-2 permit for a function in January, neither the parish nor any parish group could obtain
another F-2 permit within 30 days of the issuance of the permit to the parish women’s guild.
OTHER MANDATES AND PROHIBITIONS
In addition to requiring permits for non-private functions, the law limits and proscribes certain actions by an
organization when serving alcohol pursuant to a permit. Among other things, parishes serving alcohol pursuant to
a temporary permit should be aware of the following:
- B.Y.O.B. events are prohibited (Ohio Revised Code §4301.62).
- The temporary permit must be displayed conspicuously on the premises where the alcohol is to be dispensed (Ohio Administrative Code 4301:1-1-21).
- “Two-for-one” specials, providing an unlimited number of servings of alcohol for a fixed price (e.g. “open bar”), or increasing volumes without proportionately increasing prices is generally prohibited (Ohio Admin. Code 4301:1-1-50). The holder of an F-6 permit only may charge an admission price that includes the consumption of wine or sale of wine by the individual drink (the entrance fee may include drinks or drinks may be sold individually). (Ohio Revised Code 4303.206).
- No alcoholic beverage shall be given away with the purchase of merchandise or anything of value. An alcoholic beverage may be packaged with a nonalcoholic item without increasing the price of the alcoholic beverage. (Ohio Admin. Code 4301:1-1-46 D).
- No alcohol may be sold or served to occupants of automobiles and “curb service” is prohibited (Ohio Admin. Code 4301:1-1-46).
HOW TO OBTAIN A TEMPORARY LIQUOR PERMIT APPLICATION
Please do not call the Diocese for permit applications! To obtain temporary liquor permit applications you may do one of the following:
- visit the Ohio Department of Commerce, Division of Liquor Control, on the web at:
https://www.com.ohio.gov/liqr/default.aspx for additional information and an application form; or
- call your local permit office or the State of Ohio - Division of Liquor Control, Permit Division, 6606 Tussing Road, Reynoldsburg, Ohio 43068, Telephone: (614) 644-2431, Fax: (614) 644-3166, to request an application be mailed to you.
ALCOHOL AND GAMBLING
Pursuant to Ohio law, tax exempt charitable organizations may conduct certain fund raising gambling activities as
allowed by Ohio Revised Code § 2915. Additionally, it is generally permissible to have charitable gambling and the
sale of alcohol at the same event. It should be noted, however, that OHIO LAW STRICTLY PROHIBITS THE
HOLDER OF A LIQUOR PERMIT FROM SELLING OR SERVING BEER OR INTOXICATING LIQUOR OR
PERMITTING BEER OR INTOXICATING LIQUOR TO BE CONSUMED OR SEEN IN THE SAME LOCATION IN
ITS PREMISES WHERE A TRADITIONAL BINGO GAME IS BEING HELD (Ohio Admin. Code 4301: 1-1-53).
Resident Trust Surety Bond
Section 3721.15 of the Ohio Revised Code requires any
nursing home or residential facility that
manages the financial affairs of its residents to purchase
a surety bond or otherwise provide assurances to the Director
of the State of Ohio Department Human Services to insure
the security of all resident funds.
A facility may purchase a surety bond in the full amount of
resident funds deposited with the facility. The issuer of this
bond must be licensed and approved to do business in the State
of Ohio. the The Diocesan Master Insurance Program can provide this surety bond for your location.
The bond premium is $10 for every $1,000 of
deposited resident funds. An application must be completed and
submitted along with your location's latest annual corporate
financial statement. Please contact the Diocesan Master Insurance Program directly
if this bond is desired.
ALTERNATIVES TO SURETY BONDING
Self-insurance and letters of credit are acceptable alternatives
to a surety bond only if they meet
the following criteria:
- are set up in a separate bank account (other than
the account wherein the resident funds are actually held) that
has sufficient funds to cover the full amount of resident funds
- the account should be identified as the "Surety
or Security for Residents' Fund Account";
- the nursing home or long-term care facility must
forward to the Ohio Department of Human Services a copy of the
account documents including the account number, along with a
letter from the bank or financial institution where the account
is held stating these funds will be used solely to pay for the
loss of residents' funds; and
- the funds should be payable to the Ohio Department
of Human Services on behalf of the resident or residents.
All alternatives to a surety bond must be submitted to and approved
by the Ohio Department of Human Services.