What is special events coverage?

You devote months to planning, working out every detail for what should be a perfect event. Unfortunately, even the best planned events can fall victim to the unexpected. For example, a flood that ruins your venue. Or a caterer who inexplicably goes bottom up. Chances are, you'll still be on the hook for all or most of the costs. Thankfully, special event insurance can help protect what you've invested in your event should the unexpected put a dark cloud over your big day.

Special event insurance helps cover financial losses that may occur when an accident, extreme weather, illness or a problem with a key vendor puts a stop to your private event. Policies often cost less than you might expect and typically offer two types of coverage:

Event cancellation coverage reimburses you for lost deposits and other charges when unforeseen circumstances cause you to cancel or postpone your function. This type of coverage may extend to special gifts, attire (lost wedding bands, for instance) and damaged photo and video files. It does not, however, cover a change of heart.

Event liability coverage helps protect you from financial loss if you're held responsible for an accident that hurts someone or causes property damage at your event. You may even be covered if one of your guests creates havoc. Many venues now require you to have liability protection before you can even book there.

Eligible events are typically private and may include functions such as: