Insurance can be tricky a subject for event organisers who may never have had to tackle it before. Whether it’s indoors, outdoors, a conference or a festival, uncertain financial climates, weather and even terrorism all play a part in the type of cover you may require. Exhibition Industry News spoke to Adam Waters from Worldwide Special Risks to ask him some of the essential questions.
What protection is available for conference and exhibition organisers?
There is a vast amount of cover available for exhibition and conference organisers, which is split up into four main sections:
1. Event Cancellation Insurance – As the name suggests, this covers your costs or revenue should you have to cancel your event through any unforeseen circumstances. This includes adverse weather, international disaster such as the Icelandic ash cloud or inability of the venue to hold your event. There are special covers, which add onto this section such as Non Appearance of a key speaker or Terrorism. The latter should be seriously considered for any event organiser who arranges overseas events as terrorism is now a real threat. Worldwide Special risks offer some of the best terrorism coverage on the market as their cover isn’t limited to time and location like many other policies. It also covers the cancelation of your event due to a threat of terrorism whereas other policies specifically exclude this.
2. Event Public Liability Insurance – This protects you against compensation claims made by members of the public. It covers accidental bodily injury and damage to the venue.
3. Event Employers Liability Insurance – This protects you against any compensation claims made by employees, helpers or volunteers who you have brought in to aid in the running of your event or exhibition stand. It will cover accidental bodily injury and the claimant’s (employee, helper or volunteer) legal costs and expenses.
4. Event Property Insurance – will cover the liability of any organiser for any hired in or owned equipment that is taken to an event. We can cover equipment in transit to and from the venue.
Is an exhibition or conference organiser required to have insurance under any form of legislation?
The only compulsory insurance by law is Employers Liability. For more information on this I would suggest visiting the government website. Although not required by law, many venues insist all hirers have a minimum of £5,000,000 Public Liability Insurance. Just because insurance isn’t mandatory doesn’t mean it isn’t needed. An Organiser can still be liable for their errors and without insurance they will have to pay all costs out of their own pockets, including legal costs of defending a claim.
How is the cost of the dividend calculated?
WorldWide Special Risks take all sorts of data into consideration when calculating premiums, Some of the main things are:
• Cancellation / Terrorism premiums depend on factors such as:
– Sum Insured
– Location
– Indoors / Outdoors
– If Outdoors – Ground Conditions over the last few years
– Time of Year
• Public and Employers Liability premiums depend on factors such as :
– Limit of Indemnity
– Experience of the organiser
– What type of Event
– What Activities are taking place (and if they are hazardous)
– Number of people per day
– Length of Event.
• All Risks Insurance premiums depend on factors such as:
– What Equipment is being Insured
– Value of Equipment
– Period the equipment is on site
– The security on site, especially overnight
Is it really worth it for smaller events?
Worldwide Special Risks would advise clients to consider the financial impact on their business if they did not have insurance and the worst happens. This type of risk assessment often highlights just how devastating a claim can be. To a small organiser a £5,000 or £10,000 loss can be just as devastating as a £100,000 loss would be to a larger organiser. It is all relative.
Has the financial climate in the last five years seen more events either claim or seek cover from you?
I’m not sure about the economical climate, but the insurance cycle has rates at an all time low. It is debatable how long this will last. The awful weather in 2012 has most definitely provoked more people to seek cancellation insurance for their outdoor events. 2012 was most possibly the worst year ever for event insurers with many sizeable claims due to flooding and water logging in 2012.
Is it just organisers who should consider insurance relevant to exhibitions or conferences?
We insure all types of clients relating to exhibitions and conferences. In many cases exhibitors will have to have their own Public Liability Insurance. We can cover the organiser of the events and offer an option to cover the exhibitors for a small fee, which they can pass on. Suppliers who will devise a revenue from someone elses event will also be affected financially if it does not proceed.
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