Protecting Your Event with Weather and Cancellation Insurance
With the advent of global warming, the weather has become more and more unpredictable. You can get stormy weather on summer or a hot and humid day on winter. With these occurrences, it becomes extremely difficult to plan events. For instance, it may be too risky to plan a garden wedding because you never know when a storm can come. Fortunately, you can rely on event cancellation insurance, specifically on weather insurance, to protect you against these risks.
Read on to learn more about these types of insurance.
Here are some basic information about event cancellation insurance:
- Most international insurance companies can provide coverage for events that will take place anywhere in the world.
- This type of insurance reimburses your net expenses or pays for lost revenues due to abandonment, postponement, rescheduling, or cancellation of an event for reasons beyond your control.
- You have to check your policy thoroughly to identify the excluded risks or perils.
- This can protect you against the non-appearance of a performer, player, special guest or speaker. Some policies may require a medical examination on the person who failed to appear during the event.
- Event cancellation insurance can also cover inevitable travel delays, mechanical breakdown, equipment delays, or power failure on any mode of transportation taken.
- This type of insurance can also cover earthquakes, fires, or other damages that make your venue non-usable.
- Check your policy because some insurance companies do not allow cancellations once the policy has been paid.
This is probably the most important feature of event cancellation insurance because weather is one of the occurrences that are truly beyond your control. Here are some things you need to know about this type of insurance:
It covers specific weather conditions like hurricanes, rain, blizzards, snow, floods, lightning, wind, tornadoes, extreme temperatures or other life-threatening weather conditions that prevent the majority of the participants in your event from reaching the venue. Thus, this type of insurance does not only cover outdoor activities. It also covers indoor events where attendance or sales may be affected due to the inaccessibility of the venue brought about by the weather peril.
This type of insurance can compensate you for financial losses that may be incurred due to the above-mentioned weather perils. It can offset the decrease in attendance or the sales for your event. It basically insures your profits and expenses.
The premium will vary depending on the location and the time of the year of your event. Most insurance companies customize a specific coverage for each event.
Most policies will limit the amount you can recover. You will only be entitled to receive proceeds for the amount insured.
Choose a policy that will not impose co-insurance penalties and will not require proof of loss before you can make your insurance claim.
Here is some information that the insurance company may require when you purchase weather insurance:
- Date, time and location of the event
- Amount of coverage required
- Type of weather peril to be covered