Boat/Ship Charters

Chartering of boats and ships for either inland waterway or ocean travel is an activity that often is excluded under the typical General Liability insurance policy. Since Penn State, like most other businesses or universities, has restrictions under its Liability insurance, the following steps must be followed when chartering such vessels (excluding small watercraft such as canoes, rowboats, or the equivalent):

1. Advise the prospective charterer that a Certificate of Insurance evidencing the charterer's Marine Liability Insurance and showing The Pennsylvania State University as an Additional Insured must be submitted along with any Agreement (contract). The address of the Certificate Holder and Additional Insured is to be as follows:

The Pennsylvania State University
c/o Risk Management Office
103 Rider Building II
227 West Beaver Avenue
State College, PA 16801

2. Risk Management will verify the coverage is acceptable either with the submitting department or, if a Purchase Order is involved, the University's Department of Purchasing Services. If the coverage is not acceptable, either Risk Management or Purchasing Services will get back to you about the particular insurance deficiencies.
3. You will notice that no particular amount of insurance is listed as a requirement. Each charter is individually reviewed according to the number of participants, the location and time of the cruise, the size of the boat or ship, whether or not alcohol is involved, and other pertinent factors. In other words, a ship of 100 persons on the ocean is going to have higher insurance requirements than a boat of 20 persons on a short trip around a shallow lake.

Please note that these requirements only pertain to the chartering of a vessel in the name of the University. They do not apply when individuals buy tickets to go on a regularly scheduled cruise that is open to the public.

Please contact Risk Management, (814) 865-6307, if you have any questions. Thank you for your cooperation in these matters.