Insurance Coverages Explained: Special Event Insurance

Insurance Coverages Explained: Special Event Insurance

A hospitality business that holds true to its values should not overlook the need to have a liability coverage for even a single-day event.

Here is Insurance Coverages Explained.

 General and liquor liability policies are available for those one-day events that may include:

  • Cocktails and birthday parties
  • Weddings
  • Picnics, and
  • Any 1 or 2-day event that involves the use of liquor

While you may have planned the event to perfection, not everything operates like clockwork. This is why it is important to have a special event insurance policy in case things do not go as planned. For example, the event could be canceled, disrupted, or postponed to a later date or a different place.

What to look out for in a special event liquor liability insurance coverage

  • Battery or assault coverage – It is no guarantee that all the guests attending the planned event will be well behaved. As such, you cannot be sure that fight will not break out due to intoxication. In such a case, you may end up getting sued for providing the liquor, therefore, the need to be covered.
  • Property and equipment coverage – Brawls or fights could result in borrowed, hired or owned property being extensively damaged.  Such damages also occur during the loading, off-loading or when transporting the property or equipment. It is vital that you ascertain your special event cover includes damages to the property and equipment that will be used during the event.
  • Continuing hire costs for equipment or property hired – It is not uncommon for events to go on past the intended time. In some instances, you may end up incurring more costs for the extra time. An ideal special event cover should be able to fully take care of such unforeseen charges.
  • Non-physical injuries – While most people sue the liquor supplier for physical damages, you may have claims of non-physical injuries such as stress, psychological injuries or mental anguish caused by what you supplied.
  • Defense costs – The costs associated with defending a liquor liability could be quite substantial. You special event policy should be able to cover defense costs even when they go beyond the policy limit. If not, the legal and your attorney’s fees could exhaust or significantly reduce the policy limit leaving little or no money to cater for the damages.

How much will the special event cover cost?

The cost of this type of coverage will be influenced by the event’s duration, the type of equipment you intend to use for the event, among other factors. A skilled Tabak Insurance Agency member of staff will sit with you and work out a solution for your specific event.

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