Event Insurance Coverages A to Z

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Real Life Claim Scenarios

We know that coverage for events can be confusing so we’ve created a handy list of insurance coverages from A to Z and included real life claim scenarios.

Accident Medical Expense / AD&D

Accident Medical Expense Insurance
What is AD&D?

AD&D (Accidental Death and Dismemberment)/AME (Accident Medical Expense) pays the cost of an injured person’s medical expenses up to the limit, without consideration of who is at fault. It can help avoid lawsuits. AD&D/AME Insurance offers limits up to $50,000. AD&D/AME Insurance can be purchased with Event Liability Coverage.

We understand that sometimes you need more than a definition so how about a real life AD&D scenario …

Real-Life Claim Scenario:

Laurie Thompson, a festival attendee tripped on uneven ground and broke her ankle. Her medical insurance out of pocket expense added up to a whopping $4,000. Fortunately, the festival purchased AD&D/AME. The festival’s insurance covered her fall, and paid her medical bill on behalf of the festival without the consideration of who was at fault.

Because the festival had this coverage, they avoided an expensive lawsuit, and Laurie is looking forward to attending the festival again next year.

Estimated cost with Accident Medical Expense Insurance: $108
Estimated cost with NO Accident Medical Expense Insurance: $4,000

Annual Vendor Insurance

Annual Vendor Insurance

If you are a concessionaire, exhibitor, or vendor who sells, displays, demonstrates or promotes your products or services at special events, shopping centers, pop-up shops, trade shows, consumer shows or locations, and you don’t own or rent on a long term basis, then our annual vendor policy may be just what you need. Vendors can also purchase an event insurance policy from as little as 1 day up to 365 days with unlimited Certificates of Insurance.

Read about Vendor Insurance and  Annual Vendor Insurance

Care, Custody, Control Liability

Care, Custody, Control Liability
What is Care, Custody, Control Liability?

Did you know that most liability policies have provisions that exclude coverage for physical damage or loss to property while it is in the care, custody or control of the insured? Care, Custody, Control Liability (also known as Third Party Property Damage) is an optional coverage with Event Liability Insurance. There is a $2,500 deductible.

Not sure how this could apply to your event? Take a look at our real life claim scenario.

Real-Life Claim Scenario:

Megan rented an elegant ballroom for her husband’s 50th birthday party. Unfortunately, a bottle of red wine broke during the celebration and stained both the custom Persian carpet and adjacent travertine floor. Due to the nature of the stain, the entire carpet and a large section of the travertine had to be replaced! The event site sued Megan for $48,500. Fortunately, when Megan purchased her event policy, she also purchased Care, Custody, Control Liability so the loss was covered. Her $25 insurance investment paid off in a big way!

Estimated cost with Care, Custody, Control Liability: $25
Estimated cost with NO Care, Custody, Control Liability: $48,500

A Smart Solution:
RVNA Care, Custody, Control Liability coverage option

Collapse of Temporary Structure Liability

Collapse of Temporary Structure Liability
Real-Life Claim Scenario:

The Auto Show Club leased a large tent for its annual exhibition. After the tent company installed the structure, the Club mounted a marquee sign on top. That night the structure partially collapsed due to the weight of the sign. Not only were several of the vendor’s products damaged, but the structure also required extensive repair. The whole disaster added up to a total cost of $175,000. Unfortunately, the car club did not have Collapse of Temporary Structure Liability.

Estimated cost with Collapse of Temporary Structure Liability: $25
Estimated cost with NO Collapse of Temporary Structure Liability: $175,000

A Smart Solution:
RVNA Collapse of Temporary Structure Liability coverage option

Did you know that most liability policies have provisions that exclude coverage for collapse of temporary structures? Collapse of Temporary Structure Liability is an optional coverage with Event Liability Insurance.

Learn more about Event Liability Insurance

View Actual Stage Collapse – Indiana State Fair

Contractual Liability

Contractual Liability Coverage
Real-Life Claim Scenario:

Joe rented a location for a local science fair event. The facility rental contract specified that Joe, the event holder must indemnify the facility for any damages incurred for bodily injury or property damage arising from the negligence of the event holder. During the science fair, a child tripped on one of the educational displays and not only broke his arm, but also cut his hands when the table he fell on collapsed and shattered a beaker. The child’s family sued the facility owner for $280,000 for medical costs and emotional distress. The facility owner then filed a cross-complaint against Joe, the event holder. Fortunately, Joe had secured Contractual Liability coverage and his policy paid to defend the case in court and paid the final damages awarded.

Estimated cost with Contractual Liability: $25
Estimated cost with NO Contractual Liability: $280,000

A Smart Solution:
RVNA Contractual Liability coverage option

Most liability policies have provisions that exclude coverage for contractual liability. Contractual Liability is an optional coverage available when purchasing Event Liability Insurance.

Damage to Premises

Damage to Premises Coverage
Real-Life Claim Scenario:

Vanessa rented a banquet room for her son’s Bar Mitzvah party. During the event, a candle was tipped over, igniting a tablecloth. Before anyone noticed, the fire spread to the adjacent draperies and up to the ceiling. Overhead sprinklers halted further destruction, however, there was still $92,000 worth of fire, smoke and water damages. The hotel sued Vanessa for damages. Fortunately, Vanessa had increased her Damage to Premises limit to $100,000 and was fully covered.

Estimated cost with Damage to Premises: $50
Estimated cost with NO Damage to Premises: $92,000

A Smart Solution:
RVNA Damage to Premises coverage option

$50,000 of Damage to Premises coverage is included with your Event Liability Insurance policy. However, it is highly beneficial to maximize your protection by choosing a higher limit. For only $50 you can increase your limit to $100,000.

Learn more about Event Liability Insurance

Damage to Premises is one of 22 coverages for Event Insurance, it is optional.

Event Cancellation

Event Cancellation Coverage
Real-Life Claim Scenario:

Scott worked for a non-profit organization that hosted an annual charity golf tournament to benefit disadvantaged children. Every year, the event grew in size, attracting many prominent community members. This year, the event was projected to raise $86,000 in net proceeds – a 15 percent increase from the year before. Sponsorship was strong, 144 players were signed up, and every detail had been considered. Every detail except a wildfire.

As luck would have it, a fire broke out in the hills behind the golf club two days before the event. Despite their best efforts, crews were unable to contain the blaze. Because of hazy smoke, polluted air and dangerous conditions, the road to the golf club was closed, the golf club was completely inaccessible, and the event had to be cancelled. Fortunately, Scott had the foresight to purchase Event Cancellation Insurance, so his company was able to recoup the $86,000 opportunity lost.

Estimated cost with Event Cancellation Insurance: $344
Estimated cost with NO Event Cancellation Insurance: $86,000

A Smart Solution:
RVNA Event Cancellation Insurance

Event Cancellation Coverage is available for private events through Wedsure. Please visit wedsure.com

Event Liability

Event Liability Insurance
What is Event Liability Insurance?

Event Liability can protect you, the event holder if an individual gets injured while attending your event. It’s very possible you may be held liable for medical expenses, loss of income, and other damages due to your unintended negligence. The smart choice is to purchase Event Liability to protect yourself from possible huge legal expenses and judgments.

With RVNA Event Liability Insurance, Event holders, Vendors and Concessionaires can custom design an insurance policy to meet specific insurance needs.

Event Liability is one of 22 coverages and coverage options RVNA Event Insurance offers.

Hired and Non-Owned Auto Liability

What is Hired and Non-Owned Auto Liability?

Hired and Non-Owned Automobile Liability Insurance protects the insured against third-party lawsuits arising from the use of automobiles which are not owned or are rented, chartered or hired by the insured, such as a chartered bus. Hired and Non-Owned Automobile Liability coverage is an optional coverage available when purchasing Event Liability Insurance.

In case you’d like some clarification on what that means in the real world, here’s a claim scenario:

Real-Life Claim Scenario:

A baseball booster club hosted their end of season family day celebration at the local ballpark. They rented a parking lot from the neighboring church for families to park. During the event, an event attendee backed into Jamie, another attendee, with their car. Jamie fell and broke her leg. She sued the booster club, the church and the individual driving the car for loss of wages and medical expenses, a total of $250,000. The driver only had $100,000 of auto liability protection. Fortunately, the Booster Club had also purchased a policy that included Hired and Nonowned Auto Liability with limits of $1 million, which covered the remaining judgment of $150,000.

Estimated cost with Hired and Non-Owned Automobile Liability: $100
Estimated cost with NO Hired and Non-Owned Automobile Liability: $150,000

A Smart Solution:
RVNA Hired and Non-Owned Automobile Liability coverage option

Host Liquor Liability

Host Liquor Liability Coverage
Host Liquor Liability is included with all RVNA Event Liability Policies at no additional charge.

Host Liquor Liability Insurance provides protection for the event holder against bodily injury or property damage suits brought by parties whose injuries arise from actions of an intoxicated event guest. Host Liquor Liability coverage applies only if there is no transfer of money for alcohol or service/product packages that include alcohol. If there is any money changing hands and alcohol is served, Host Liquor Liability coverage does not apply, only Liquor Liability coverage will provide the proper protection.

To help better understand what Host Liquor Liability might cover, we have created a real life claim scenario for you.

Real-Life Claim Scenario:

Emily and Charlie hosted a 20th anniversary party with a buffet dinner and an open bar. The night was a huge success. The next morning, Emily and Charlie discovered that an invited guest’s plus one, Matt, hit a 20-year-old woman while she was in a crosswalk, on his way home from the party. He was intoxicated at the time. The victim required multiple surgeries and was left with a permanent disability. She sued the caterer, the driver, Matt, and the event holders, Emily and Charlie, for contributing to Matt’s intoxication. Medical expenses and loss of future earning power were estimated at more than $1 Million. Megan and Scott were thrilled to discover that their Event Liability Insurance included Host Liquor Liability coverage.

When they proceeded to trial, the insurance company provided a top defense attorney. In the end, the event holders were found partially responsible. Matt’s auto policy paid for his portion of $493,000 and Emily and Charlie’s Event Liability Insurance, which included Host Liquor Liability, paid $257,000 on their behalf.

Estimated cost with Host Liquor Liability: $100
Estimated cost with NO Host Liquor Liability: $257,000

A Smart Solution:
RVNA Host Liquor Liability Insurance coverage option

Liquor Liability

Liquor Liability Insurance
What is Liquor Liability?

Liquor Liability Insurance is an optional coverage available when purchasing Event Liability Insurance. Liquor Liability Insurance provides coverage and defense for an event holder who charges for alcohol and is sued for bodily injury or property damage caused by intoxicated event guests. If there is any money changing hands and alcohol is served, Liquor Liability coverage provides the proper protection. It also provides coverage if the event holder violates any statute, ordinance or regulation relating to the sale, gift, distribution or use of alcoholic beverages.

Still a little fuzzy on the difference between Host Liquor Liability and Liquor Liability? Take a look at our real-life claim scenario.

Real-Life Claim Scenario:

A dog club hosted an auction to raise money for their annual dog show. Each ticket sold for $50 and included appetizers, dinner, dessert, and two glasses of wine. Everything went according to plan, until an intoxicated guest fell off the second floor balcony and suffered a severe brain injury.

The victim’s family sued the the dog club (event holder) for current and future medical costs. The court determined that although the guest had consumed alcohol before arriving, the two glasses of wine he drank at the event contributed to his intoxication and the resulting accident. The judgment against the dog club was $817,000. Unfortunately, the nonprofit organization only had Host Liquor Liability coverage, which did not apply since they sold tickets to the event, and the ticket purchase included two drink tickets. They should have purchased Liquor Liability coverage.

Estimated cost with Liquor Liability: $100
Estimated cost with NO Liquor Liability: $817,000

A Smart Solution:
RVNA Liquor Liability coverage option

Medical Payments

What is Medical Payments?

Medical Payments is an optional coverage available when purchasing Event Liability Insurance. It pays the cost of an injured person’s medical expenses up to the limit chosen, without consideration of who is at fault. Medical Payments coverage can often help the event holder, vendor or concessionaire avoid costly lawsuits.

Still not sure what this insurance might cover? Check out our scenario.

Real-Life Claim Scenario:

A nonprofit charity sponsored a casino night to raise money for a local community garden. A 64-year-old attendee, Celeste, tripped over a casino table leg, causing her to break her left ankle. Because she did not have medical insurance, Celeste asked the nonprofit to cover her out of pocket medical expenses of $4,037. Fortunately, the nonprofit selected the Medical Payments option on their Event Liability Insurance policy. The policy paid the expenses on the nonprofit’s behalf, without consideration of who was at fault. The Nonprofit’s Board was pleased with the outcome – not only had they avoided an expensive lawsuit, they also demonstrated good will in their small community.

Estimated cost with Medical Payments: $50
Estimated cost with NO Medical Payments: $4,037

A Smart Solution:
RVNA Medical Payments coverage option

Terrorism

Terrorism coverage at tree lighting ceremony
Real-Life Claim Scenario:

When a local chapter of a popular book club planned their town’s annual tree lighting ceremony in the city of Seaside, they never dreamed the celebratory event would end in tragedy ­– but that’s exactly what happened when a bomb exploded in a nearby parked car, injuring more than 30 people. After careful investigation, it was discovered that the bomb was the work of a local terrorist organization. The book club was sued by the injured parties and ultimately found liable for providing insufficient security. Luckily, the society had selected the Terrorism coverage option on its Events Liability Insurance policy which paid $543,000 in damages on the club’s behalf.

Estimated cost with Terrorism: $0 – Included with our Liability policy
Estimated cost with NO Terrorism: $543,000

A Smart Solution:
RVNA Terrorism coverage option

Terrorism coverage is an optional coverage available when purchasing Event Liability Insurance.

Third Party Property Damage

Third Party Property Damage at Wine Tasting
Real-Life Claim Scenario:

Elizabeth rented an elegant ballroom for her husband’s 50th birthday party. Unfortunately, a bottle of red wine was broken during the celebration, staining both the custom Persian carpet and adjacent travertine floor. The custom design called for a replacement of the entire carpet and a large section of travertine floor – amounting to $48,500. The facility owner sued Elizabeth to recoup the expenses. Fortunately, Elizabeth had purchased Third Party Property Damage (Care, Custody, Control Liability), so the loss was covered. Her $25 insurance investment paid off in a big way!

Estimated cost with Third Party Property Damage: $25
Estimated cost with NO Third Party Property Damage: $48,500

A Smart Solution:
RVNA Care, Custody, Control Liability (Third Party Property Damage) coverage option

Most liability policies have provisions that exclude coverage for physical damage or loss to property while it is in the care, custody or control of the insured. Care, Custody, Control Liability (also known as Third Party Property Damage) is an optional coverage available when purchasing Event Liability Insurance. There is a $2,500 deductible.

Vendor Insurance

Annual Vendor Insurance
What is Vendor Insurance?

RVNA offers personalized protection for vendors including Event Liability, Accident Medical/AD&D, and Weather Insurance. Our Insurance is available to vendors for single events or as an annual policy. Find out more about Event Liability

Annual Vendor Insurance is specifically designed to cover the unique liability exposures of vendors, exhibitors and concessionaires who work on an independent contractor basis at local fairs, festivals, special events, private parties, conventions or trade shows. Find out more about Vendor Insurance

Waiver of Subrogation

Waiver of Subrogation Sushi Catering
What is Waiver of Subrogation?

Waiver of Subrogation is an optional endorsement available when purchasing Event Liability Insurance. It is needed if a rental agreement requires such an endorsement. When a Waiver of Subrogation Endorsement attaches to an Event Liability Insurance policy, the insurance carrier cannot seek restitution from a third party. Without a Waiver of Subrogation, your insurance carrier may choose to sue a third party to recover the amount of a claim paid if the loss was caused by that third party — this is called subrogation. Some facility rental agreements require you to waive your right of subrogation – and therefore your insurance company’s rights – against the facility owner in the event of a claim.

Real-Life Claim Scenario:

McCoy, Malbec & Frye CPA firm held its annual client appreciation party at the American Bank Tower. To rent the facility, the CPA firm was required to sign a rental agreement. The agreement required the CPA firm to have a $1M Event Liability policy with a Waiver of Subrogation Endorsement. McCoy purchased Event Liability insurance but neglected to make sure it included the required Waiver of Subrogation Endorsement. As part of the rental agreement, the facility owner was also to provide the catering. The event went smoothly, until the next day, when several guests had to visit the emergency room for treatment of food poisoning.

When the affected guests filed a class action lawsuit in the amount of $78,000 against McCoy, Malbec & Frye (event holder), the insurance carrier paid the claim and then subrogated (sought reimbursement) against the facility owner. At that time, it was discovered that the representative for McCoy, Malbec & Frye had signed a rental agreement that required a Waiver of Subrogation Endorsement, which was never purchased. Unfortunately, this was a costly mistake and McCoy, Malbec & Frye (event holder) were held liable for the $78,000 payment on behalf of the facility owner. Yikes!

Estimated cost with Waiver of Subrogation: $25
Estimated cost with NO Waiver of Subrogation: $78,000

A Smart Solution:
RVNA Waiver of Subrogation Endorsement option

Weather, Rain & Snow Insurance

Weather, Rain & Snow Insurance
What is Weather Insurance?

Weather Insurance is available as a stand-alone policy for indoor and outdoor events. Proceeds from your Weather Insurance policy may be used at your discretion to offset lost revenues or pay for unexpected expenses, such as the cost to rent a tent or pay for a snowplow. Your event does not have to be canceled for the policy to pay, it simply has to rain or snow within your insured timeframe, for the amount you insured against. You also do not have to attest how much you lost due to inclement weather. If it rains or snows the amount you insured against during the timeframe you selected, you will be paid the policy limit.

Real-Life Claim Scenario:

The Two River Charter School planned a spaghetti dinner with the goal of raising $15,000 to help fund a new playground. Unfortunately, a severe snow storm hit on the day of the event and the event had to be canceled due to treacherous road conditions. Organizers luckily had the foresight to secure $5,000 of Weather Insurance coverage prior to the event. They simply filed a claim and the insurance carrier issued a check for $5,000.

A few months later across town, the Two River Golf Course hosted one of the club’s biggest revenue generators, the Summit Golf Challenge and Annual Luncheon. Unfortunately bad weather struck again, with rain, thunder and lightening appearing on the morning of the event. The organizers had not purchased Weather Insurance so the event was a total loss.

Estimated cost with Weather Insurance: $112.50
Estimated cost with NO Weather Insurance: $5,000 – Total Loss

A Smart Solution:
RVNA Weather Insurance