National Law
Committee

United States Power Squadrons®
On-the-Water Policy and Guidelines

On-the-Water Policy

The Operating Committee shall establish and amend from time to time guidelines for on-the-water boating activities undertaken by districts, squadrons and auxiliaries. Such guidelines shall be based on the insurance coverage obtained by USPS® from time to time and upon reasonable risk management principles.

On-The-Water Guidelines
(These Guidelines amended 9 March 2002.)

Our current national liability insurance policies cover regularly scheduled district, squadron and auxiliary sponsored activities. These may include on-the-water activities such as educational and instructional cruises, cooperative charting events, predicted log events, squadron and district cruises and rendezvous, boating safety demonstrations and publicity events, local harbor festivals and other civic and/or social events that further boat safety education. Since new policies of insurance are issued each year, there is no guarantee that this coverage will be continued. Every USPS member who is in charge of an on-the-water activity should verify that the activity in question will be adequately covered with appropriate insurance before proceeding with the activity. This should be done through the National Treasurer. It is important that the sponsored on-the-water activity be documented in the district, squadron or auxiliary's official records.

While insurance protection usually extends to national, district, squadron and auxiliary units, and the USPS members involved, there will always be two primary exceptions to this coverage. These are (1) the USPS insurer will not defend nor protect under any circumstances the vessel owner/operator from any liability claims arising as a result of an incident during the on-the-water event, and (2) the USPS insurer will not defend nor protect anyone, not even a squadron or the national organization, from any liability claims arising as a result of an incident occurring during the on-the-water event if any compensation is required by the owner of the vessel.

For this reason, the following shall apply to such activities:

Squadron member-owned vessel:
A district, squadron or auxiliary shall require member owners to provide proof of insurance. The member owner shall have underlying liability insurance coverage with limits of at least $300,000, but it is suggested that the coverage be $500,000. The member owner must not require any form of compensation or payment for the use of his or her boat for the activity; however, the voluntary sharing of the actual expenses of a voyage, by monetary contribution of fuel, food, beverage or other supplies has been determined to not constitute payment or consideration by the United States Congress as of October 1, 1999.

Chartered or Rented Vessels:
In the event a vessel will be chartered or rented from a commercial operator by a district, squadron or auxiliary, the district, squadron or auxiliary involved must enter into a written charter agreement in a form approved by the National Law Officer. This agreement must require that the commercial operator have in effect liability insurance with minimum coverage of $1,000,000 per occurrence and $1,000,000 per person. A standard form of a Charter Agreement is on file at National Headquarters or on the USPS Internet site.

Educational or Instructional Activities with members or non-members:
When a member is involved in a USPS, district, squadron or auxiliary sponsored educational or instructional on-the-water event, only the boat owner shall operate the vessel. If the boat owner becomes incapacitated for any reason the activity shall be terminated and the vessel returned to the nearest safe harbor. Only USPS member boats may be used for such activities, unless the vessel is a commercial vessel under an appropriate lease or charter agreement with minimum commercial general liability insurance coverage of $1,000,000 per occurrence and $1,000,000 per person provided by the commercial vessel naming USPS, its districts, squadrons and auxiliaries as additional named insureds. No beer, wine or liquor shall be provided, offered, furnished and or sold to any person on any such educational or instructional activity prior to or during such on-the-water activity. No predicted log contests, speed contests or any other contests shall be combined with or run in conjunction with an educational and or instructional cruise. The member's vessel or any commercial vessel used for an instructional and or educational on-the-water training event shall comply with all state and federal boating safety requirements and all vessel weight and capacity requirements as set forth by the vessel manufacturer shall be complied with at all times. No such event shall be undertaken outside of the waters of the United States or those of a state. The boat owner/operator and the instructor shall be different persons. That is to say the operator shall not participate in any instruction but shall keep his/her attention focused solely on boat operation.