What Is Special Event Insurance

What is special event insurance? Do you want to know what it entails? Keep following me to the end of this article. 

Constantly, people arrange special events like graduation parties and weddings but forget that things can go wrong at some point. 

Moreover, the average wedding costs around $20,000. While many of us do not envision anything going wrong in an event, in truth, numerous things might put us in financial difficulties. 

However, diverse factors can disturb an event. For instance, when you plan an event, you can pay for the venue, decorators and catering in advance but bad weather or natural disasters can postpone your event. 

Also, there is little to no chance that you will get your money back. For instance, in this and other similar scenarios, special event insurance can give significant help. 

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What Is a Special Event Insurance? 

This insurance is a set of policies that gives financial coverage when you have to cancel or postpone an event. Apart from natural disasters, it also covers costs for accidents. 

When you unintentionally damage the venue property, or if someone gets hurt at your event, you may find yourself in the middle of a lawsuit or face penalties. 

In this case, your insurance will not be of any help. You will need special event insurance, which gives two types of coverage. 

Special Event Liability Insurance 

Event liability insurance will cover you if you or your guest are held accountable for property damages or if someone gets injured during the event. 

Moreover, chances are the venue will require you to have event liability insurance. The venue can cost around $10,000 with charges, it can go up a few more thousand dollars. 

Even if adults in the events are careful, children or the band you can hire could accidentally damage the venue. 

Also, special event liability insurance covers medical expenses for people if they get injured during the event. 

For instance, the band you hire or the guests while facing can accidentally harm the staff and waiters.  

The insurance policy will pay for the medical expenses of the catering staff. However, the event liability insurance will only cover the damages and costs associated with the venue, it won’t cover the third-party equipment damage. 

Event Cancellation Coverage 

While booking the venue, catering, band, or decorators, many will charge a fee upfront or at least ask for a percentage as the security deposit.

For instance, you made a payment, which can be thousands of dollars but bad weather or natural disaster causes you or natural disaster causes you to postpone or cancel the event. 

Most people cannot afford to pay twice for the arrangements. If they have event cancellation coverage, this can cover their last-minute charges or lost deposit fees. 

If a family member has an injury or emergency, and you are forced to postpone the event. In that case, even cancellation coverage will help you to pay to reschedule your event. 

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Why Is It Important? 

Special event insurance can seem unnecessary to some people, but even the most minor inconvenience can ruin your special day. 

Here is why special insurance is more important than any other insurance: 

• Damage to Property 

Special event insurance comes with a limit for property damages. If you rent out the space and it is hundreds of people but a fire erupts and causes thousands of dollars worth of property damage to the venue, equipment and guests’ belongings, you will be accountable. 

But, special event insurance can cover various damages depending on the limit. You can ask for a high limit if you have a spacious venue with many people. 

• Accidents 

It is impossible to foresee accidents; even if you take strict measures, accidents can happen anytime and anywhere. Also, special event insurance covers all types of accidents during your special event. 

• Liquor Liability 

Some special event insurance comes with liquor liability coverage; it is different from the liquor liability insurance that bars have. If your special event has an alcoholic drink, someone can drink alcohol dirt themselves or others. 

In both cases, people can sue you for allowing access to excessive alcohol and causing damage. Special event insurance will cover liquor-related issues in your events. 

• Liability 

Your regular general liability insurance is unlikely to give coverage for damages done to property in the custody or care for others. For instance, your liability insurance will not give coverage for the crack to the dance floor under the control of an event organizer.  

If an accident happens, you can find yourself owing thousands of dollars. However, with special event insurance, you don’t have to pay from your pocket; the special event insurance will do it for you. 

READ MORE: What is Personal Injury Protection (PIP) and Do You Need It?

Conclusion 

For this dynamic landscape of event planning, special event insurance stands as an important element to ensure the success and security of any occasion. By understanding the various components and benefits of the type of insurance, organizers can navigate the complexities of hosting events with confidence to know that they are prepared for the unexpected. Whether it’s a small community gathering or a large-scale corporate event, special event insurance gives the safety net needed to turn moments into memorable experiences.