For companies that are involved in Event – organization of events of different directions, activity insurance has its own specifics. Before holding an event, the organizer will always evaluate the financial risks. These risks are not always associated with harm to the health of participants in public events and damage to their property. This may be the cancellation of the event itself due to various circumstances. The reason may be the artist who did not fulfill his contract, and the concert may fail due to the unethical behavior of the star on the stage. Unfortunately, neither of us is immune from fires or from terrorist attacks.
The essence of mass events insurance
For large organizers, the question of insuring events or not does not arise. After all, event insurance is primarily the financial security of investors.
When registering an insurance contract, the insurers are the organizers of the event. Beneficiaries can be both participants and the organizers themselves. Also, the insurance contract may apply to other individuals and legal entities that participate in the event.
You can issue an insurance contract for the following events:
- Sport competitions
- Concerts, performances
- Mass holidays, festivities
- Airshow, auto show
- Film screenings
- Corporate events
For all public events that take place under the law, you can issue an insurance contract.
Why is this an important precaution
Any event, regardless of its scale, requires large investments. Event insurance will protect the organizer from unforeseen financial expenses associated with the onset of certain risks.
All risks that may occur during mass events can be divided into the following groups corresponding to certain types of insurance:
- Premises, sound and lighting equipment
- Civil liability
- The risk of cancellation of sports, cultural and other events
- From risk “terrorist act”
- Visitors and participants of the event from accidents
The insurance contract is concluded for an individual period. It can be as one event that takes place, for example, from one to several days. Or an annual contract that covers all events in a specified period.
The cost of the contract depends on:
- Event scale
- The number of insured risks
- Sum insured
Liability insurance for public events
Liability insurance of organizers of public events guarantees financial protection in the event of insured events related to harm to health, life or property of the participants and visitors of the event. If during the fireworks a fire occurs and the property of third parties suffers, the insurance company will indemnify for damage according to the insurance contract.
In Russia there is no law that would oblige event organizers to draw up civil liability insurance contracts. Therefore, this insurance segment is voluntary, as is insurance for other risks that may occur during a concert or competition. Only mass sports events require compulsory accident insurance from participants.
Legal entities that organize events independently choose a method of minimizing risks. The insurance culture of public events is only developing in Russia, but the events that occurred on Dubrovka and in Lame Horse should have made event market participants not to save on insurance.
Of course, the organizer decides on the conclusion of an insurance contract. But it is important to remember that in addition to responsibility for the life, health and property of the participants in the event, there is also a company reputation.