What is event insurance?
Event insurance is a type of coverage that protects you and your event from unexpected situations that could cause financial loss and stress. Whether you are organising a wedding, conference or any other event, it helps cover risks like cancellations, accidents or property damage.
An event insurance policy may offer coverage for third-party liability, event cancellation, postponement, property damage, personal accident and more. Therefore, with this insurance in place, you can organise events without fretting about the uncertainties.
Event insurance – inclusions
The following are the inclusions of an event insurance policy:
- Event cancellation coverage: If your event gets cancelled due to things like natural disasters, riots, strikes, curfews, national mourning or other unexpected events, the insurer will compensate you for the losses.
- Property damage coverage: If any property you have leased, owned or rented for the event gets accidentally damaged, the insurance company will cover the costs.
- Public liability coverage: If someone is injured at your event, the insurer will cover the legal costs and liabilities that you may face.
- Personal accident coverage: If there is an accidental death, or if you or someone else involved in the event suffers a temporary or permanent disability, the insurance company will provide coverage according to the terms of the policy.
- Vendor and exhibitor coverage: If a vendor fails to show up or fulfil their part, you are covered for that too.
Event insurance – exclusions
An event insurance policy may not cover the following:
- Event cancellation due to lack of government permission: The insurance company will not provide compensation if the event is cancelled because the necessary government permissions were not obtained.
- Intentional damage: The insurer will not cover any damage or destruction to property if it was caused intentionally.
- Wear and tear: Loss or damage to property due to regular wear and tear will not be covered.
- Unsupervised outdoor storage: The insurer will not cover any damage to property that was stored outside without proper supervision
- Losses from nuclear or radioactive events: Losses caused by nuclear waste, ionizing radiation or radioactive contamination are not covered.
- War and warlike situations: Losses arising from war, civil war, rebellion or other warlike situations are excluded from coverage.
- Consequential losses from event cancellation: Any indirect or consequential losses resulting from the cancellation of the insured event will not be covered.
- Failure to comply with legal requirements: The insurer will not cover losses arising from your deliberate or intentional non-compliance with statutory requirements.
Why choose event insurance?
A tailored event insurance policy can protect your event from vendor no-shows and damages by offering:
- Event cancellation coverage: A comprehensive policy with event cancellation coverage protects you against financial losses due to unforeseen cancellations, including vendor-related issues. It covers non-refundable expenses like venue rentals, vendor fees and marketing costs.
- Property damage coverage: The policy safeguards you against financial loss if physical damage occurs to the venue or rented equipment during your event. It covers incidents with audio-visual equipment, decor accidents or damage to the venue.
- Public liability coverage: Event insurance with public liability coverage protects against third-party claims for bodily injury or property damage occurring during the event. This coverage is important for covering legal fees and potential settlements.
- Vendor no-show coverage: If the contracted vendor fails to deliver services, the insurer will provide compensation to ensure minimal disruption. It can also help cover the costs of finding another vendor at the last minute or managing other necessary adjustments. The policy gives you peace of mind, knowing that you won’t face a significant financial burden due to a vendor's failure to meet their commitments.
- Personal accident coverage: In case of accidental death or disablement of individuals involved in the event, the insurer offers compensation. This ensures that their family or dependents are financially supported in the event of a tragedy. Additionally, the policy can provide financial assistance for medical expenses related to injuries sustained during the event, allowing you to manage the situation without added stress.
Conclusion
A tailored event insurance policy is your safety net when it comes to event planning. It helps protect you from things like vendors not showing up or last-minute cancellations, as well as any unexpected damages or accidents. With the right coverage, you can focus on making your event a success, knowing you are covered if things don’t go as planned. The policy provides peace of mind and ensures you are not left to deal with unexpected costs.
Disclaimer: The information provided in this blog is for educational and informational purposes only. It is advised to verify the currency and relevance of the data and information before taking any major steps. Please read the sales brochure / policy wordings carefully for detailed information about on risk factors, terms, conditions and exclusions. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.