‘Tis the Season for Special Events, ‘Special’ Insurance
With Spring around the corner events are being planned. Whether it’s a rubber ducky regatta, concert in the park, or youth sports tournament, from a risk management standpoint, these fall under Special Events.
With an extensive background in Entertainment and Non-profits, LBW handles many Special Events. Here are frequently asked questions:
1. Why do I need it?
2. Expect venues, municipalities, and/or rental houses to require your insurance covers THEIR interests.
3. Can’t I add the event to my current insurance?
4. In most cases, no. Event coverage is specific, meant to cover a higher risk over a short period. This is different than coverage provided by other annual policies.
5. What about weather?
6. Unexpected weather at an outdoor event could mean outlayed costs and no one attending to help you recoup expenses. This is where Weather Insurance can save the day. Coverage is designed to recoup losses in case of event cancellation due to weather related issues. It’s written on an agreed amount, you tell the company an amount, they charge premium for it, and if your event gets ruined because of weather, you don’t lose your outlayed money. Pricing varies depending on time of year and geographical location.
7. What if attendees get hurt?
8. Another factor is the possibility of attendees being injured. While Special Event General Liability coverage will kick in as long as you are found negligent for the injury, another coverage available is Accident Medical coverage. This coverage is just as it implies; it will pay for medical expenses incurred by someone injured at your event. This coverage is not triggered by negligence, it is a flat medical coverage for the event. It can also be extended to include participants. As an example, a client was hosting a wrestling clinic at which some professional wrestlers did demonstrations. The Accident Medical coverage extended to include the wrestlers as well. This coverage is very affordable, and highly recommended for every event.
9. How much will it cost?
10. The cost depends on several factors. A concert featuring high profile acts will cost considerably more than a local event with a few youth dance performances. Events can run anywhere from a few hundred dollars to thousands, and each event must be underwritten by an insurance professional with expertise in Special Events. Other factors are: estimated attendance, admission fees, type of venue, and security.
There are many factors involved in Special Event coverage. As Risk Management professionals, it’s our job to facilitate proper coverage for your particular event while maintaining a cost-effective solution for your needs.