FAQ’s – Do I Really Need Special Event Insurance? The short answer is yes—the long answer is absolutely.
When you’re planning a special event for a loved one, co-worker, or friend – or if you’re arranging an event to secure a lucrative business opportunity – it’s essential that everything goes off without a hitch. And with beautiful fall weather starting in much of the country, there’s plenty to look forward to in the way of anniversaries, weddings, sporting events, and trade shows.
There are a few things you should be prepared for when planning your special event – and some precautions that can save you thousands of dollars. Questions regarding the price of special event insurance, liability lawsuits, and your potential to suffer property damage, among other things, have surely crossed your mind.
Keep reading to find out more about the ins and outs of the policies you need to stay protected.
At Bar Divas of Austin, we offer our client and event partners peace of mind of the most robust and comprehensive insurance policies on the market today. We have always had an active and secure 2 million general liability and 1 million liquor liability. However, we have continued to evaluate our carriers to ensure the maximum protection for the unexpected and unfortunate occurrence that we hope should never happen. In our experience, the vast majority of special event insurance covers the duration of your special event, however, the most devastating and impacting claims you can find in the news are that of occurrence happen after the special event. Primarily a vehicular related incident connected to impaired driving. As a leader in Austin special event bartending we are proud to not have any incident either through litigation or TABC to any degree. To aid this we have very hard lined and defined rules/ policies set forth at our events such as no shots and extreme discretion for neat drinks. Our goal is to help facilitate a safe alcohol consuming to legally verified of age adults at our memorable special events.
Do I Really Need Special Event Insurance?
The short answer is yes—the long answer is absolutely. Most venues require that you carry Special Event Insurance so they know they’re not going to have to hassle you for restitution should things go awry. Beyond that, though, it’s crucial financial protection against elements you just can’t control.
We’ve all been there. Spending a copious amount of money for a rental vehicle or a new flat screen when the salesperson asks, “Would you like to add insurance to that?” or, “How about purchasing a warranty?” For a brief moment, we consider the option, weigh the pros and cons, but often decide to take the risk and forego the extra cost.
When it comes to planning a big day for yourself or a loved one, though, you don’t want to leave anything to chance. It may be an additional cost to tack on to your bottom line, but take our word for it—if you fall victim to property damage or a liability lawsuit, you’ll wish you’d gone the extra mile.
General Liability Insurance + Liquor Liability for Special Event Planners
The amount you can expect to pay out of pocket in General Liability Insurance premiums depends on the type of event you’re planning. General Liability comes with a slew of inclusions – the most notable for special event planners being liquor liability. (Not sure how liquor liability coverage can protect you? Check out our blog post “What Kind of Liquor Liability Insurance Do I need?” for an in-depth discussion of the topic.)
Liquor Liability protects you from financial liability for lawsuits in which a participant is injured as a result of consuming alcohol or causes damage to property that doesn’t belong to you. This means that if you’re having a wedding, anniversary, trade show, or any other special event that might include the consumption of alcohol, you should include Liquor Liability as part of your special event insurance policy.
What is Special Event General Liability Insurance?
Special Event Liability Insurance (also referred to as CGL, Commercial General Liability or Spectator Liability) is an insurance policy designed to provide broad protection for situations in which an event holder or concessionaire must defend itself against lawsuits or pay damages for bodily injury or property damage to third parties. Host liquor liability is included if there is no transfer of money for alcohol. This policy also gives protection to the venue and or sponsors of the event by adding them to the policy as an additional insured. This type of policy covers Examples, such as a slip and fall or damaged floors. Exclusions do apply
My venue has asked for a certificate of insurance with them added as an Additional Insured. What does this mean and how do I add them?
You, the special event holder, will most likely be required to provide proof of liability insurance to the facility/venue where you have decided to hold your special event. In addition to providing proof (in the form of a piece of paper known as a Certificate of Insurance) to the facility/venue that you have secured a liability insurance policy, you may also be required to add the facility/venue to this required liability insurance policy as an insured. This is known as adding the facility/venue as an Additional Insured to this liability insurance policy, which the facility/venue requires you to purchase before you will be allowed to hold your special event.
The practice of a facility/venue requiring that all persons or entities renting or using the site name them as an Additional Insured on a General Liability insurance policy, is quite common. It is so common that the required Additional Insured wording or language is generally contained within the Insurance Requirement section of the Facility Rental Agreement or Facility Use Agreement.
What is an event holder?
The person, organization or company responsible for the organization and promotion of the special event and typically the signer of the rental facility use agreement.
Who is protected under a Special Event General Liability Insurance policy?
The policy protects the person or business/organization under whose name it was purchased (the “Named Insured”). Your facility can also be added as an Additional Insured.
What is Host Liquor Liability?
Host Liquor Liability Insurance is included with all of our policies and protects the event holder/concessionaire against bodily injury or property damage suits brought by parties injured as a result of an intoxicated guest who was served alcohol at an event you hosted.
What is liquor liability? Do I need it?
Liquor liability insurance provides coverage for bodily injury or property damage for which you may be held liable because of: Causing or contributing to the intoxication of any person; or Violating any statute, ordinance, or regulation relating to the sale, gift, distribution, or use of alcoholic beverages.