Football clubs hit by insurance gaffe
Saturday 5th September 2009, 10:50AM BST.
Dozens of football clubs in Shropshire have been overcharged thousands of pounds for insurance premiums by Shropshire FA over seven years, it emerged today.
A string of grassroots clubs have been affected and now SFA bosses are to reimburse those which have been left out of pocket after being incorrectly charged for their public liability insurance since the 2002/03 season.
Clubs should have been billed once, but instead many have been billed for each team they field, meaning they have lost hundreds or even thousands of pounds.
Some sides, especially those with 20-plus teams, are now in line for a windfall from the SFA which hopes to rectify the problem by the end of the year.
Currently, the fee most SFA clubs should pay for their public liability insurance is £32.
David Rowe, SFA chief executive, said: “In July it came to our attention that some insurance payments were being incorrectly collected from our members.
“The payments go back to 2002/03 but we will pay all the money back.
Settled
“Hopefully it will be settled by the end of the year but writing letters to all the clubs involved has been a huge job. But clubs will be quite delighted with the windfall.”
He added no clubs had folded because of the error.
Mr Rowe said he believed the error started when SFA switched to a new insurance provider seven years ago.
He refused to be drawn on claims the total overpayment by Shropshire clubs runs up to £100,000.
But he admitted up to 80 clubs were affected and the total owed to them was an “appreciable” amount and a “five figure sum”.
Club officials around the county have been reacting to the news.
Eric Eagles, chairman of Bridgnorth Town FC, which fields two teams, said: “We could be in line for a payout of as much as £2,000 which is a large amount of money to a small club like us.”
Shrewsbury Juniors secretary Sharon Murch, said the club had been fielding as many as 22 teams per season.
“It has affected us and I think it’s about a four figure sum we’re owed but I’m not sure of the exact amount,” she said. “It would have been enough money for us to buy all the teams new kit.”
Exclusive by Tom Johannsen
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