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Special event insurance is an excellent way to protect your corporate functions, sporting events, charity dinners, balls, galas, concerts, and weddings from disruptive risks.

Planning an event can be a hectic undertaking. You have got to operate within the budget, keep guests interested, get everything done within time, and pay attention to a million other little things. With so much in mind, it is hard to imagine that anything could go wrong and your hard work could go to waste. But the COVID-19 pandemic has shown how unexpected occurrences can disrupt existing plans. A new wave of the pandemic could compel authorities to ban in-person events. A family crisis could mean some important guests are not available, and technical issues could disturb the continuity of an event that was already going well. Even virtual events are not immune to these disruptions. Having a contingency plan in place can make all the difference.

Special event insurance is one of the best ways to protect your Hong Kong event from disruptive challenges. Whether you are hosting an audience of thousands or just a few dozen people, purchasing the right coverage can protect you from risks such as performance cancellations, damage to property, and safety issues. In this article, we highlight some of the things you should keep in mind when purchasing event insurance.

1. Understand your venue’s requirements

Different venues have varying requirements. You may be required to purchase a specified minimum level of coverage that could change depending on the type of event. Proof of insurance is typically provided by presenting a Certificate of Insurance within the specified time frame. Your event partners and sponsors may also need to be added to the policy so that they are also covered if something doesn’t work out quite right. Make sure that you understand all the requirements so that you can make the right policy choice.

2. Choose the right type of insurance

Selecting the right types of event insurance is important so you get a front-row seat as far as managing risks is concerned. Start by understanding what is special event insurance and what options are available Most insurers will allow you to customize your coverage based on factors such as venue capacity, type, and frequency of events. Some important protections that you may choose to add to your coverage include the following:

  • Event cancellation policy - this cover reimburses for irrecoverable expenses if your event is canceled for reasons that are beyond your control. A good example is when damage at the venue you had booked requires you to cancel the event, or when severe weather leads to a cancellation on the day of the event. Some event cancellation policies may also include additional costs and a producer/organizer’s profits if they are included in the coverage.

  • Public liability insurance - this insurance coverage is particularly important because it takes care of liabilities resulting from bodily injuries, damage to property, trespass, obstruction, and wrongful arrest at your event.

  • Forced loss of audience insurance - if your audience is unable to make it to a charged event due to reasons such as severe weather, riots, or loss of public transport, then they are within their right to demand a refund. This type of coverage will help take care of these refunds as well as reschedule an event.

  • Wedding dress and wedding gifts insurance - purchasing a bride’s custom wedding gown can be a massive expense during a wedding. This type of coverage reimburses the policyholder if the gown is damaged or destroyed. The policy may also extend to the wedding gifts brought to the event.

  • Non-appearance insurance - this policy provides protection if an individual who is important to the event is unable to attend due to injury, illness, illegal detention, or even death. The policy essentially offsets the financial consequences of such a non-appearance.

  • Equipment cover - most special event insurance policies will cover accidental damage, loss, and theft of any equipment that is vital to the smooth running of your event. Nonetheless, it is important to ascertain whether or not this cover is provided.

3. Get enough coverage

Getting enough coverage is just as important as getting the right policy. A few dollars can go a long way when it comes to how much coverage you secure. You may find that adding a few hundred dollars to your premium increases your aggregate level of the event coverage by millions of HK dollars. You’d rather have extensive event insurance as opposed to limited protection.

4. Go for quality

Not all special event insurance policies are the same. It is important that you read between the lines to understand what each policy offers in terms of value. Just because a plan is cheap isn’t a good enough reason to select it. Read reviews from past customers, ask policy-specific questions, understand the policy’s deductible and the company’s claims reputation. Also, check the insurer’s financial strength and rating from independent organizations such as A.M. Best. At the end of the day, you want to get a special event plan that will come in hand if ever you need it.

5. Buy coverage sooner

‘The earlier the better’ is pretty good advice when it comes to purchasing special event insurance in Hong Kong. You may be responsible for costs arising from complications if you wait till the last minute to purchase this important coverage. More so, rates and venue requirements may change regularly and you want to have insurance to avoid setbacks. A good rule of thumb is to buy your special event policy as soon as you confirm the date of your event and book the venue.

6. Understand policy exclusions and claims process

Understanding a policy’s limitations is just as important as understanding its strengths. Most insurers include an exclusion of risks that they are not going to cover. For instance, you may be excluded from alcohol-related incidents unless you add this option when buying the policy. Other exclusions may include incidents related to animals, inflatables, rides, and fireworks. Familiarizing yourself with the claims process is another important consideration. It helps to know how to efficiently get in touch with your insurance company to file a claim if things don’t go as planned.

7. Partner with a trusted insurance broker

You have the choice to either work with an independent insurance carrier or seek the services of an event insurance broker in Hong Kong. Working with an independent carrier means you only have access to a specific policy that the company offers. Unless you have done comprehensive research, this may not necessarily provide the best coverage. Partnering with a trusted broker such as Trusted Union, on the other hand, allows you to compare companies and identify the plan that is best suited to your needs and requirements.

Conclusion

Safety and security are very important when it comes to organizing and hosting a successful event. It helps a lot to consider and purchase insurance coverage during the planning stage of your Hong Kong event. The tips above should help you identify the best possible policy so your next event is safeguarded from a variety of risks.