Event Cancelation Insurance

A Church Insurance Update

Is there anything worse than planning and preparing for a special event only to have it canceled at the last minute due to weather, or some other unforeseen reason? Special events are important and you want your event to go off without any issues. Event Cancelation Insurance helps protect your business and the planning days leading up to it.

Special events can include: sporting events and competitions, trade shows, conferences, lectures, festivals, fairs, film, television, premiers, concerts and tours, corporate functions, community events, weddings and other special family gatherings.

Event Cancellations Insurance can help if you face a cancellation or postponement due to an unforeseen event such as illness, inclement weather or loss of speakers. Event Cancellation Insurance will provide reimbursement for deposits forfeited and other charges paid or contracted to be paid by the insured. This can include transporting costs, catering services, property and equipment rentals, location rentals, accommodations (including travel arrangements and accommodations for a honeymoon if applicable), specialized equipment, flowers, event photographs, videos and entertainment expenses.

Event Cancelation Insurance should not be confused with Event Liability Insurance, which is designed to cover guests and other third parties if they are injured or suffer loss at your event.

Examples of Event Cancellation Claims:

•    Heavy fog at spectator event

•    Heavy winds at a balloon event

•    Snow/hailstorm at golf event

•    Flooding of local roads prevent access to venue

•    Pool sanitation issues at swimming event

•    Flooding at boat race

•    Convention center destroyed by fire

•    Performer unable to attend due to accident or illness

Event Cancelation Insurance policy terms

Event Cancelation Insurance has many unique terms. Remember insurance policies will vary. Here are some of the essential terms found in an Event Cancelation Insurance policy.

Loss: Expenses which are irrevocably expended in connection with the insured event.

Expenses: The total of all costs and charges which would have been incurred by the Insured in organizing, running and providing services for the insured event.

Cancellation or Cancelled:  The inability to commence the insured events.

Deductible: The insurance is subject to the deductible stated in the schedule, paid by the insured.

Insured obligations: The insured shall do all things necessary to avoid or diminish a loss under this insurance including rescheduling the insured event.

Typical Exclusions:

  • Contractual dispute
  • War, civil commotion, and riot
  • Fraud, misrepresentation or concealment
  • Cancellation or postponement voluntary by you
  • Any reduction in attendance that is not explicitly attributable to the necessary cancellation, disruption or rescheduling of the insured event

Like any insurance product, the terms and conditions of the policy will govern all claims settlements. This information is intended to be a brief overview of the issue and is not a replacement for the actual insurance policy you purchase.

Event Cancellation Insurance is an integral part of your risk management plan and is designed to protect against the loss of costs, expenses or revenues associated with this exposure. The price to secure Event Cancelation Insurance is very reasonable and available.


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