Commentary: Rule 16 Payment by the Association

16.1 Member’s claim for compensation

A claim for compensation under these Rules should be made in writing. It should be supported with such documents required by the Club to establish the cover under the Rules and the extent of the compensation due for payment to the Member. This follows from Rule 2 which provides that it is ultimately the Member’s responsibility to show that a claim falls within the ambit of the Rules.

It follows from the pay-to-be-paid principle that the supporting documents should include a receipt or release in the original, signed by or on behalf of the claimant or any other proof acceptable to the Club that the final payment of the claim has been made including the date, amount and recipient of the payment. For further comments on losses to be compensated, see under 2.10.

16.2 Club’s processing of Member’s claim for compensation

A Member’s claim for compensation will be considered and processed urgently. The loss covered, less the applicable deductible, is remitted generally within one month of receipt by the Club of the supporting documents and any additional information required. No interest is paid on claims for compensation under these Rules.

16.3 Effect of payment of compensation

This Rule states that, through the payment of the compensation, the Club has fully discharged its liabilities under these Rules. No receipt or release is therefore requested from a Member.

Payment does not prevent the Member from being entitled to further compensation should additional liabilities, costs or expenses covered under these Rules arise subsequently in connection with the same incident.