If you own a small business, work at a non-profit, or are a member of a professional organization, then you likely host events, parties, conferences, and other special events. When you’re planning a special event, there’s a lot of details to figure out. There’s the venue, the guest list, food and drink, entertainment, photography, and so much more. The one detail that most people overlook is special event insurance.
Why Consider Getting Special Event Insurance?
Special event insurance is designed to protect you as the host of the event in case something goes wrong. Here are 5 reasons why you should consider special event insurance:
1. Personal Injury
Accidents that result in someone getting injured can happen at any time and at any place. If someone is injured during your event, that person may hold you responsible and look to you for financial compensation. They may even sue for damages. Special event insurance offers protection against that possibility.
2. Property Damage
Another scenario that special event insurance helps protect against is damage to the venue caused by your guests or anyone you bring onto the property. For example, a caterer could cause a small fire that results in thousands of dollars in damages. One or more guests could cause some structural damage. The more people you have as part of your event, the more likely it is that there will be some sort of damage, which the venue will hold you responsible for.
3. Care, Custody & Control Liability
Most insurance policies have provisions that exclude coverage for physical damage or loss to property while it is in the care, custody, or control of a third party, like an event organizer or vendor. With special event insurance, this coverage can be added. Let’s say you had an event at a private residence and one of your guests spilled red wine on an expensive carpet. The residence owner’s insurance company wouldn’t cover the loss because you had “custody and control” of the property during the time of the accident. So, the property owner would sue you to get reimbursed for the loss. With care, custody, and control liability added to your policy, you are protected.
4. Liquor Liability
If you plan on charging guests for alcohol at your event, then you want to make sure that your special event policy includes liquor liability. This provides you, as the event holder, proper protection from anyone who sues you for property damage or bodily injury caused by your guests who are intoxicated. Hopefully, everyone drinks and behaves responsibly, but you can never be too careful when alcohol is involved.
5. Cancellation Protection
Cancellation insurance is another popular type of event insurance that will protect you from a cancellation of the event due to unforeseen circumstances. The cancellation could be due to inclement weather, the venue becoming unusable, or any other reason. This will help you to be able to cover any of the costs that are related to repaying deposits that have been made. It can also protect you from last-minute cancellations by third-party vendors, like caterers or musicians, so you can get a replacement quickly.
Who Needs Special Event Insurance?
Anyone holding an event with 10 or more invited guests at an off-site location should consider this coverage. Small business owners, event planners, event sponsors, and those who hold non-profit or political fundraisers may be especially interested in this type of insurance. In fact, many banquet halls and other event spaces will require that you have special event insurance before they sign a contract with you.
What’s The Difference Between One-Time & Recurring Special Event Coverage?
If you’re hosting a single event, then you can purchase coverage just for that day. You can purchase most special event insurance anywhere from one year before the event to 24 hours before the event.
However, if you know that you will be hosting several events over the course of the year, then you can purchase a single policy that covers each event you have planned. Also known as an annual special events policy, it’s a much more efficient way of getting the coverage you need.
How Do I Purchase Special Event Insurance?
If you’re holding a special event, you try to plan for every contingency so the event goes as smoothly as possible. But there’s no way to prevent every mishap.
Speak to JMG Insurance Agency for more information about your special event insurance needs or to purchase your own policy. JMG Insurance Agency works closely with numerous insurance companies to provide clients with a wide range of options, making it easier to find a policy that will provide the right coverage for your special event. The company prides itself on providing customized, personalized insurance to clients in Connecticut, New York, New Jersey, Massachusetts, and Hawaii.