Swimming Pool Insurance and Risk Management Guide

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Summer is just around the corner. Weather permitted and people are rushing to swimming pools for fun, workout, recreation. If your facility manages swimming pool (including HOAs), take a moment to review this guide as using swimming pools and spas involves a certain amount of risk. You do not want an accident to spoil the good times patrons have come to expect. Fortunately, most accidents can be prevented, but it takes a great deal of responsibility and diligence on your part.
Managing a swimming facility is complex, so this guide is not intended to provide all the answers regarding swimming pool operation. Instead, we hope it gives you a broad overview of the key issues involved in keeping your pool facility safe for all patrons. In spite of the hazards associated with a recreational pool, you can maintain a safe operation by following these guidelines:

• Teach staff to recognize hazards during regular safety checks throughout the day
• Empower employees to enforce pool rules and regulations
• Purchase necessary emergency equipment and properly train staff to use it
• Maintain the facility in top condition
• Follow all applicable state and local regulations

Injury profile

In 2005 the National Safety Council (NSC) estimated that 165,725 injuries occurred while swimming. The most common poolside injuries are fractures, cuts, and bruises resulting falls from on pool decks. Quadriplegic and paraplegic injuries also occur each year, mostly due to diving into shallow water. Drain entrapment injuries and fatalities are also common. Based on 2003 data analyzed by the NSC, 515 people drowned in swimming pools that year. Alcohol, horseplay and misbehavior are the cause of many serious accidents occurring in pools and spas, along with inadequate supervision of children.
Key factors in swimming-related claims include:

• Lack of depth markings
• Lack of trained employees
• Lack of enforcement of pool rules and regulations
• Indistinct bottom
• Obstructions (such as objects on the pool dec)
• electrical equipment

Swimming pools, spas and hot tubs also provide a medium for the transmission of recreational water illnesses.
Germs such as Guardia, Cryptosporidium, Shebelle and E. coli from swimmers can contaminate the water and spread to other swimmers when water is accidentally swallowed. Learning more about such illnesses should help decrease the chance of germ transmission at your facility.
Other causes of injury or illness may include:

• Overexposure, dehydration and shock from jumping into the pool after sitting in the sauna
• Burns from sauna heater or exposed metal
• Defective pool equipment or furniture
• Electrocution from defective electrical equipment
• Pool chemicals

Employees may also be victims of injury in and around the pool compound. They are exposed to the same hazards facing your swimming pool users. In addition, employees may be injured when working with caustic pool chemicals.

Operations

A safe pool and spa operation does not just happen. It takes effective management, as well as a number of other factors, including:

• Properly designed facility and equipment
• Well-established and enforced rules and regulations
• Effective signage
• Employee training
• Regular safety checks
• Controlled access
• Accurate records
• Facility and equipment maintenance

Facility design and equipment

Only qualified swimming pool designers and contractors should be used when developing a new facility or altering existing pools and spas. This will ensure all government and industry standards are followed. They are also aware of best practices related to non-regulated areas such as proper deck surface materials to reduce falls, etc. Pool safety design standards and best practices have changed over the years so it is recommended that a qualified pool designer evaluate existing facilities periodically to ensure older pools meet current safety requirements and best practices. This particularly applies to diving boards, slides and drain entrapment hazards.

Diving and slides: The accidental injuries suffered as a result of diving or plunging head first into shallow water are very serious. Diving from the pool deck should be prohibited unless a specific area of the pool was designed for this purpose and lifeguards are on duty. Under no circumstances should diving, of any type, be allowed in an unsupervised facility. All facilities should periodically assess the benefits of their diving board or slide in relation to the significant liability they present to the organization.

The complex mix of pool shapes, depth variations and equipment design make it difficult to determine the safe envelope of water needed to serve a diving board or waterslide. Injuries occur frequently in pools with diving boards and slides, which were installed using standards that at the time were felt to be adequate. These design standards have become more conservative over the years, so pool operators need to periodically ensure their facility meets current best practices. Operators of older pools should consult with a qualified pool designer and the manufacturer of their diving board or slide to determine if it meets current standards.

Drain entrapment hazard: Swimmers, particularly young children, can become entrapped on pool or spa drains due to the suction of the circulating pumps. This entrapment can result in severe injuries and death. This accident happens more frequently in wading pools because the drains are more accessible, but it can occur in deeper pools, as well. In the fall of 2007 Congress passed the Virginia Graeme Baker Pool and Spa Safety Act. This law requires all public pools and spas to be equipped with anti-entrapment devices or systems. Pools and spas with a single main drain, other than an unblockable drain, at a minimum must be equipped with one or more of the following devices or systems designed to prevent entrapment: safety vacuum release system (SVRS), suction limiting vent system, gravity drainage system, automatic pump shutoff, drain disablement or other effective systems designed to prevent entrapment.

A SVRS senses an increase in pump suction and responds by removing power to the pump(s) and/or relieving the potentially entrapping suction. All pools and spas should be evaluated to determine if this hazard is properly controlled .

The Virginia Graeme Baker Pool and Spa Safety Act generally defines “public pool and spa” to include all pools and spas except those of single-family residences. The requirements of the law go into effect one year from enactment. Pool and spa operators should evaluate their facilities to ensure they meet the requirements of this new law.

Insurance: Your business liability insurance can also include coverage for damages to your business owned properties (BPP), such as slides and diving equipment, drains, motors and pumps, pool chairs and so on. Usually, the policyholder is required to purchase the coverage for the minimum of 80% (sometimes 90%) of the BPP.

Rules and regulations

Greater employee and public awareness is helpful in reducing accidents. Increase awareness of inherent dangers by posting rules and regulations and by teaching employees how to effectively intervene when necessary. Hazard awareness training for employees is an important way to reduce employee injuries.
Develop rules and regulations for staff, facility users and special groups, and make the facility manager responsible for updating and enforcing them. Staff members should have the full backing of the property’s management in enforcing these rules and regulations. Signs located in visible and appropriate locations around the pool facility communicate important information to swimming pool and spa users regarding rules, hazards and ways to avoid injury. Use pictorial instructions and warnings whenever possible. If the property is in an area where foreign swimming pool users are frequent, print rules in various languages on cards and give them to your facility users. Post signs conveying general rules at the entrance to the swimming pool and spa and conspicuous areas throughout.
Specific rules for diving boards, slides and spas should be posted near this equipment. Mark the pool depths in meters and feet. The markings must appear both on the vertical pool wall just above the water line and horizontally on the pool deck or coping, close to the water’s edge.
Rules of conduct and procedures within the locker room should be posted in the locker room or bathhouse. Cell phone use should be prohibited in these areas due to privacy concerns related to camera phones.
Emergency and first-aid equipment
Ensure emergency equipment is readily accessible and in good condition and that the following safety equipment is present in the pool area:

• Rope and float line dividing the shallow end and the deep end
• Rescue tube
• Ring buoy with throw line
• Shepherd’s crook
• Resuscitation equipment
• Floating back board
• Spine or back board

Contact your local public health and/or safety officials for suggestions regarding the type and quantity of first-aid equipment and supplies. Have at least one telephone in the pool area for emergency use. Post the 911 emergency number, as well as facility emergency numbers, in a conspicuous place and next to phones.

Lifeguards

Providing a safe swimming pool environment is enhanced greatly by the use of lifeguards to supervise the pool. However, considerable management is needed to ensure they are qualified, provided in adequate numbers and supervised so they’re effective. The management of the swimming pool environment requires more than a strong swimmer; lifeguards must be well trained and rotated so they will be alert at all times. Specifics regarding lifeguard training, duties and responsibilities are beyond the scope of this document.

Insurance: usually, sexual abuse and molestation are excluded from from liability coverage, however, the coverage may be available with an additional endorsement.

Employee training

The success of your pool operation depends on the ability and performance of your staff, so they should be qualified to maintain and manage the operation of the pool. Operation and maintenance staff may include a pool engineer, locker room or bath house attendants, lifeguards, custodians, groundskeepers and other support personnel. Never assume these people are completely qualified to perform their jobs. Take the time to supervise, counsel and train them. Certify at least one staff member as a pool operator or hire an outside contractor. The National Swimming Pool Foundation’s Certified Pool/Spa Operator (CPO) program is a great training resource.
Job orientation, hazard communication training and regular in-service training, such as first aid or CPR, are necessary. Remember to include drills for handling emergencies. Provide written job descriptions for all employees and distribute copies of the pool operations manual. Encourage employees to attend training opportunities such as the CPO program, lectures, courses or clinics that are frequently offered by the Red Cross, YMCA or other agencies. Use regular performance reviews to discuss issues related to your employees’ work and training.
Site-specific training includes hazard recognition, rules and regulations, enforcement of policies and procedures, surveillance procedures, emergency operations, use of safety and rescue equipment, standard operating procedures and safety and emergency communications. Lifeguards should have first aid, CPR and lifeguard training with copies of their certificates on file. Train staff to handle emergency situations. Post emergency procedures for handling accidents in conspicuous locations. If an accident happens, take care of injured swimming pool user(s) promptly and courteously.

Insurance: state law requires business owners to obtain workers compensation insurance for employees. The coverage limits vary by the state.

Chemical safety

Inform your employees of the hazards associated with the tasks and teach them to safely handle these hazards. Make sure instructions and precautions are visible on all cleaning material containers and that chemicals are marked and labeled for hazards and precautions.
Provide employees with personal protective equipment (respirator, gloves, face shield, etc.) and make sure it is in good condition. Train staff in the proper fitting and use of the equipment.
Adhere to all applicable Occupational Safety and Health Administration standards for employee safety, including:
The Hazard Communication Standard (29 CFR 1910.1200): This standard requires you to ensure containers are properly labeled, material safety data sheets are available, and employees are trained in the use of any chemicals they may come into contact with at your pool facility.
The Respiratory Protection Standard (29 CFR 1910.134): This standard requires you to provide appropriate respiratory equipment, including instructions for use and limitations, to anyone who must enter an area where this equipment is necessary. Personnel must be medically qualified to wear the respirator prior to entering the site.
The Personal Protective Equipment Standard (29 CFR1910.132): This standard requires you to provide and maintain personal protective equipment in a sanitary and reliable condition wherever it is necessary by reason of environmental or chemical hazards or mechanical irritants.

Insurance: usually there is an absolute pollution exclusion from liability coverage, in another words, should there be a contamination of the water or area, either on your premises or beyond the borders of your pool and surrounding area, the pollution is excluded. However, you can add pollution coverage to your policy by an endorsement, or acquire a standalone pollution policy. This coverage is inexpensive.

Physical safety checks

Daily inspection of the pool facility is essential, so conduct safety checks at least three times each day. If an unsafe condition is found, correct it before the pool opens, if possible. If the problem is serious, close the pool until it is corrected or use signs and barricades.
Check these six main areas when conducting a safety check:

• Deck
• Pool and spa
• Sauna
• Recreational equipment
• Chemical storage areas
• Showers, locker rooms and restrooms

Opening safety checklist: Do the first safety check before the pool opens in the morning. Check the deck, pool, spa and locker rooms for hazardous conditions. Note the condition of the water. Ensure all safety equipment is in place and in working order. Check that the first-aid station is well stocked and the telephones are working.

Deck: Watch for hazards on the deck, including loose or broken flooring material, standing water or slippery areas. Remove equipment, personal belongings and any other objects that may cause swimming pool users to fall or be injured. Especially watch areas where flooring materials change, such as where the pool deck meets a tile floor. Keep chairs, tables and umbrellas in good condition and out of the travel path.

Pool and spa: The pool and spa present several hazards, so it is important to follow these guidelines:

• Ensure anti-vortex drain covers are present in the bottom, are in good condition, have a proper strain hole size and are securely in place. Check the suction forces by placing a cloth over the drain; you should be able to remove it easily
• Use depth markers to alert swimming pool users of water depths. Place a buoyed lifeline to mark the separation between shallow water and deep water. Securely attach ladders and steps
• You must be able to see the bottom, especially at the deep end, from anywhere on the pool deck. If water is cloudy or an unusual color, the chemical balance may be off or the filtration system might not be working properly
• Check the water temperature in the pool and the spa. Pool water should be between 82 and 86 degrees Fahrenheit, and spa water should not exceed 104 degrees Fahrenheit
• Use fences and self-closing/self-latching gates or doors and walls to control access to the pool area. Ensure the gates close and latch securely and that the fence is in good condition
• Post pool rules in several strategic locations and ensure they are still readable. Make “No Diving” signs visible from the pool deck and from the water
• Ensure all electrical outlets near the pool and in the filter room have ground fault circuit interrupter (GFCI ) protection in working order, and that all rooms and boxes containing electrical equipment are locked

Sauna: Ensure the guard for the sauna heater is in place. The door latch from inside the sauna must be operational. During hours of operation, check the sauna every half hour.

Recreational equipment: Check the diving board if you have one. The joints on the water slide should not have gaps, cracks or sharp edges, and the surface of the slide should always be wet to avoid rub burns.

Chemical storage areas: Check the filtration and chlorination systems and areas that are used to store chemicals and maintenance equipment. Store swimming pool sanitizers away from combustibles, oxidizing materials and other incompatible substances, such as ammonia, gasoline, paints and detergents. Lock doors and observe the area from the outside. Do not enter chemical storage areas unless you have the special training required. Report suspicious odors immediately.

Showers, locker rooms and restrooms: Clean and disinfect shower, locker room and restroom floors and maintain their non-slip condition. Inspect lockers and furniture for sharp edges, stability and splinters. Lights need protective globes.

Midday safety check: Your midday safety check may involve some of the same items you checked before you opened the pool. Don’t forget to keep an eye on the weather throughout the day. If a storm is threatening, you may need to close the pool to protect the safety of your swimming pool users.

Closing safety checklist: At the end of the day, inspect the pool facility before closing. Be sure all pool toys are put away. Children find them irresistible and may figure out a way to get into the pool after hours to play. After the closing inspection, write an entry in the daily log that the water area is clear; you have made the safety check and taken any necessary steps to eliminate problems. Ensure pool areas are lit after hours or equipped with motion-sensitive lights to indicate if someone is in the pool area.

Security: Control access to the pool area using fences, gates, doors and walls. Make sure they are in good condition and that locks are present and in working order.
It is a good practice to police the pool area periodically, assuming someone will try to use the pool, even when it is closed. Leave the underwater lights on in the pool so you have a better chance of noticing if someone is in the water after hours. If appropriate, use an alarm system, such as water sensors, pool deck sensors, motion detectors or motion-sensitive lights to detect after-hours use.

Record keeping: is an important part of managing a pool facility. Accurate records can play a vital role in the event of a lawsuit. Retain the following records:

• Daily attendance
• Inventories – equipment, supplies and chemicals
• Personnel – duty log, certification or other qualifications, training and evaluation records
• Daily maintenance – chlorine residual, pH, water temperature, weather conditions
• Program – record of daily events and special activities
• Accident reports
• Water and air temperatures and weather conditions
• Pool’s condition and inspection reports
• Annual report – include recommendations for improvements

ADA—Americans with Disabilities Act

The Americans with Disabilities Act prohibits discrimination against people with disabilities. Your pool and spa may be significantly affected by this law. You may need to change pool policies and procedures, eliminate architectural barriers or add services and equipment. Modifications might include handrails, ramps, chair lifts, wider doorways, improved lighting and assistants to help people with disabilities.

Insurance: most of the insurance policies are excluding coverage for your liability as a result of violation of the ADA. So if there is any issues with accessing your premises, you should take care of it on your own and don’t rely on insurance.

Maintenance

Follow maintenance procedures as suggested by the Association of Pool & Spa Professionals (formally the National Swimming Pool Institute) or your pool contractor. A daily maintenance routine is essential to both the efficiency of the pool operation and the health and safety of the swimming pool users.

Pool and spa: Close the pool when it is undergoing maintenance, and inform users that it is closed by using signs. If you drain the pool for repair, take proper measures to ensure that swimming pool users do not get injured by falling, diving or jumping into the empty pool.
Perform the following daily maintenance tasks:

• Clear the drains on the deck and in the equipment room
• Brush the pool walls and vacuum the bottom
• Maintain anti-vortex drain covers in the pool and spa in good condition. They should be difficult to remove and have proper strain hole size
• Check the filtration system and backwash if the pressure indicates a problem
• Check electrical service annually by a certified electrician

Water quality and testing: Frequent testing of water quality is necessary to ensure that the filtration and chemical treatment are doing the job. If the water is cloudy or has an unusual color, the chemical balance may be off or the filtration system might not be working properly. Even though water clarity is not always related to its sanitary condition, it is a factor in providing a safe swimming environment.
The following controls should help prevent sanitation-related hazards:

• Sanitize locker rooms, restrooms and seating
• Skim the pool water continuously as it enters the overflow
• Maintain proper pH levels. American National Standard Institutes Standard for Public Swimming Pools recommends levels between and 7.8 pH. Proper pH levels provide better chlorine efficiency
• Maintain proper sanitation residuals – no less than 1.0 ppm free chlorine for pools and 1.5 ppm for spas. During high-use periods or when temperatures are above 84 degrees Fahrenheit, increase free chlorine to 1.5 ppm in pools
• Maintain water clarity such that a black disc six inches in diameter is readily visible when placed on a white field at the deepest point in the pool
• Take water samples for chemical analysis (chlorine residual and pH) at least daily
• Conduct bacteria sampling periodically and document the results. Send samples to a qualified laboratory for analysis
• Implement a preventive maintenance system for water filtration and sanitation systems

Sauna: Ensure temperature controls and timers are in good condition and working correctly. The thermostat and controls should be inspected annually by a qualified electrician. The guard for the sauna heater should be in place.

Locker room: Clean and disinfect locker rooms and restrooms, including flooring and seating, frequently during pool operating hours. Keep floor drains clear and floors as dry as possible. Inspect lockers and furniture for sharp edges, stability and splinters. Maintain shower water temperature at less than 120 degrees Fahrenheit. Protect all circuits with GFCIs. Locate electric hair dryers in a dry area of the room.

General maintenance: Maintain chairs, tables, umbrellas and handrails in good condition. Provide a non-skid surface on the pool deck, ladders, steps and diving board. Inspect floor tile, pool decking and edging for chipped or broken masonry and repair as necessary. Maintain adequate drainage on the pool deck and keep it clean and uncluttered. Constantly be on the lookout for oil deposits from suntan lotions. All electrical outlets near the pool and in the filter room should have GFCI protection and be inspected semi-annually by an electrician. When making repairs, do not allow the use of extension cords for any reason when the pool is open. Use only qualified electricians to perform electrical work.

The information provided in this document is intended for use as a guideline and is not intended as, nor does it constitute, legal or professional advice. Paperless Insurance Services, Inc does not  warrant that adherence to, or compliance with, any recommendations, best practices, checklists, or guidelines will result in a particular outcome. In no event will Paperless Insurance Services, Inc or   any of its subsidiaries or affiliates be liable in tort or in contract to anyone who has access to or uses this information. Travelers does not warrant that the information in this  document constitutes a complete and finite list of each and every item or procedure related to the topics or issues referenced herein. Furthermore, federal, state or local  laws, regulations, standards or codes may change from time to time and the reader should always refer to the most current requirements. This material does not amend, or otherwise affect, the provisions or coverage of any insurance policy or bond issued by Travelers, nor is it a representation that coverage does or does not exist for any  particular claim or loss under any such policy or bond. Coverage depends on the facts and circumstances involved in the claim or loss, all applicable policy or bond provisions, and any applicable law.