One of the reasons people stay at certain hotels is to see a live concert in another city. Many hotels themselves have rooms for live entertainment. Here’s what a commercial property owner planning to offer live shows needs to know about live music concert venue insurance.
Why Is Event Insurance Needed for a Concert?
Event insurance is the glue that holds a concert together in the sense that it serves as a financial safety net if bad things happen in crowded situations. Insurance reduces financial risks by paying for damage or injuries during a show due to unexpected events.
Injuries can occur from people pushing each other or falling on one another. Fights can break out, leading to multiple injuries and lawsuits. The right insurance plan pays the hospital bills and legal costs when you file a claim.
What Exactly Does Concert Venue Insurance Cover?
Concert venue insurance is a broad package of different types of coverage bundled into one plan. It includes general liability coverage, which pays for injuries or property damage. Liquor liability is included in the package since many concert venues sell alcohol. It pays for damage caused by a concert attendee who has had too many drinks.
Auto liability is also included in the plan in case one of your drivers gets into an accident at the venue. Another type of coverage in a venue insurance package pays for damage to third-party property. Each insurance company develops its own bundles for venue owners, and many can be customized to reflect specific risks.
Certain disasters that are not covered will be listed as exclusions in your policy. Shooting off indoor fireworks, for example, can lead to a fire, which likely won’t be covered by a concert venue policy. Such a disaster could have been prevented and might even be illegal.
When Is the Best Time to Purchase Concert Venue Insurance?
Ideally, you should purchase concert venue insurance at least two weeks prior to your first event. Buying insurance early as a startup or an organization adding live entertainment can give you a lower premium. Waiting years into the operation, by contrast, may lead to higher rates.
Insuring Concert Venues During & After the Pandemic – The Considerations
The pandemic led to countless cancelations of concerts and venues. One of the main reasons beyond the need for social distancing was that COVID-19 generally was not covered under standard business insurance plans. So in case another pandemic occurs, it’s helpful to have add-on coverage in place that pays for show cancelations.
Get the Best Coverage for Your Venue with RMS Insurance
At RMS Hospitality Group, we write policies geared toward the hospitality and concert venue industries. We can help you understand maximum coverage options so that you maximize the protection of your venue assets. Contact us today to learn more about the coverage options for your live music concert venue.