Published: March 2016
Whether it's a wedding, a baby shower or your parents' 50th anniversary party, special events can take a lot of time, energy and money to arrange. And while you're sure you've thought of every last detail, sometimes you just can't predict exactly how things will go. So what happens if your event doesn't go off without a hitch?
If Uncle Ed doesn't just shake a leg but breaks one getting to the dance floor, what do you do? Or what if the DJ damages a door frame carrying equipment in and out, and the venue wants you to pay for repairs? Should you be found responsible for property damage or an injury caused during your celebration, event liability coverage may help protect you. So in the case of Uncle Ed, this coverage may help cover the costs of medical bills. Or if one of your vendors or a guest damages something at the venue, event liability coverage may help pay for the costs of repairs.
Event liability coverage is typically valid for the day of the event, but you may want to make sure you have a policy in place at least a day prior to the event. Coverage is usually available for private events, such as:
- Anniversary parties
- Baby showers
- Birthday parties
- Retirement parties
When determining whether event insurance is right for you, you'll likely want to consider a number of factors. Some venues may require you to have event liability coverage. According to the Insurance Information Institute (III), many venues have their own liability insurance. So be sure to check with your venue, as well as your vendors, to see what types of situations may and may not be covered by their insurance. This can help you determine whether your own event liability policy may help fill any gaps in coverage.
If an event will be held at your home, review your homeowners policy's liability coverage to see what is included in your coverage. The III states that you may want to purchase special event coverage beyond what your homeowners policy includes. While you may wonder what could possibly happen during a baby shower in your backyard, if your cousin trips on a broken step as she carries a plate of food across your deck, you may be on the hook for the hospital bills for her broken ankle and ensuing physical therapy if you're found legally responsible for the injuries. Accidents can happen, even at home. And if they happen at your home and you are found responsible for the resulting medical bills, event liability coverage may help cover the costs.
In addition to checking with vendors, the venue and your own homeowners policy about applicable liability coverage, the III notes that you may have some coverage through credit cards or warranties. Be sure to contact credit card companies and review any existing warranties to see if they provide liability coverage. If you have any questions about what may or may not be included in a separate event insurance policy, be sure to talk to your agent.
Hopefully your event goes exactly as planned, but event liability insurance may help protect you should something unfortunate detract from your celebration.