Most of the time, special events go pretty smoothly ( minus a few hiccups here and there). But when something unexpected goes wrong, it can be frightening how quickly costs can add up. Who is responsible when something goes wrong? What are the costs? Below we discuss what liability insurance is and if it is required.
What is a certificate of insurance?
A majority of venues/event locations require vendors and/or event holders to obtain a certificate of liability insurance (also known as one day insurance or event insurance). This Certificate of Insurance is a document that will list the type of insurance coverage you have on that event date and the coverage limits. Sometimes venues may request to be listed on the insurance as an additional insured.
How do I know if I will need insurance on the venue?
Venues often require proof of insurance from renters to confirm that they have coverage in place. Typically, when you are signing the contract to use a venue space, it will say that vendors (i.e. photographers, caterers, videographers, etc.) will need to provide proof of liability insurance. Some venues may want to be listed as an additional insured on the certificate of insurance. If you are uncertain or it is not clear, always be sure to check with the venue.
Why is a certificate of insurance necessary?
When contracting with a vendor for your event, the good(s) provided create an inherent liability risk to the venue. Typically the vendor is providing a service to the host, therefore the venue is not typically involved other than guidelines for setup and proof of insurance. By obtaining a certificate of insurance, you are protecting you, your guests, and your venue from any accidents and unexpected damages that may occur. There are many different types of insurance you can get for your event, depending on your needs and what the venue may want.
What do I need it for?
Most venues require that you have event or wedding insurance in case certain risks happen during your event in the form of $2M in general aggregate + $1 M per occurrence coverage. Those risks could be property damage or bodily injury and your insurance will cover the cost of property repairs, medical expenses and lawsuits. Host liquor liability is also widely available and is a good consideration to protect the host from being liable in the event of liquor related incidents that would occur from alcohol consumption at your wedding/event.
If you wanted to purchase total comprehensive wedding coverage you can cover aspects of your wedding such as the rehearsal dinner, the the ceremony, and reception set-up, event cancellation/postponement due to weather, wedding gifts, special attire, and jewelry. You can even insure a vendor no show/cancellation and any counseling services that may be needed in the event of a cancelled wedding.
What does wedding/event insurance cost?
The total cost varies depending on aspects like guest count, liability coverage amounts, wedding date, the state of wedding/event, whether you’re serving alcohol or not, and how many other aspects of your wedding you want covered.
On average, most wedding insurance costs between $100-$500.00 or more.
When should I purchase event insurance?
Most special event insurance companies recommend you purchase your policy as early as possible, however, many can be purchased as early as two years prior to your date OR as late as one day prior to your event.
Stay tuned for how to get wedding insurance and which wedding insurance companies we recommend.
By Elisse SooHoo