Events and risk: you are responsible for them

There are four types of insurance that are relevant for business events. They cover different risks, and you don’t always need all four. The combination you need depends on the scale and type of event, as well as the contractual obligations with the venue and local government.

Event liability insurance (also known as AVB) is the most commonly requested type of coverage. It covers damage caused by your organization to third parties: visitors who sustain injuries, property that is damaged, and claims from third parties. Many venues require a copy of this policy before handing over the keys.

Cancellation insurance covers financial losses if your event is canceled due to circumstances beyond your control: extreme weather conditions, illness of the keynote speaker, or a fire at the venue. Please note the exclusions: pandemics, strikes, and “insufficient registrations” are typically excluded from most policies.

Equipment coverage protects against damage to or theft of equipment, scenery, and other materials that you rent or bring with you. This is particularly relevant for events involving expensive technical production or costly decorations.

Legal expense insurance is less common but can be valuable in the event of contractual disputes with suppliers or claims from visitors that are pursued through legal channels.

Many clients assume that their standard general liability insurance (GLI) covers the event. That is sometimes true, but by no means always.

Most standard general liability insurance policies cover business activities conducted on the company’s own premises. As soon as you organize an event at an off-site location, involving visitors who are not employees and activities that differ from day-to-day business operations, restrictions or exclusions often apply.

Never assume you’re covered. Provide your insurer with the details of your event before you start organizing it. Ask explicitly whether the event is covered, what the participant limit is for coverage to apply, and whether there are any activities (such as alcohol, physical activities, or fireworks) that require additional coverage.

Are you working with an event agency? If so, be sure to ask what kind of insurance the agency has. A professional agency will have its own liability coverage, but that is no substitute for your client liability coverage. The division of responsibility is outlined in the contract. Read it carefully.

You can read more about budget planning related to risks and insurance in our article on event budgets →

Some event-related factors increase the risk—and therefore the insurance requirements. It’s important to know which ones these are.

Serving alcohol is one of the most common risk factors. If alcohol is served at your event and a visitor is involved in an incident as a result, your organization may be held liable. Some insurers charge a higher premium or impose additional requirements for events with an open bar or unlimited alcohol service.

Physical activities such as team sports, climbing walls, mechanical bulls, or other recreational activities increase the risk of injury. Verify that the provider of these activities is properly insured, and include this requirement in the contract.

Outdoor events are more susceptible to weather conditions. For open-air events with no alternative venue, cancellation insurance that includes weather coverage is a serious consideration. Read the policy carefully: what weather conditions trigger the coverage (wind speed, precipitation in mm per hour), and who determines that?

Fireworks, open flames, and pyrotechnics always require additional coverage and municipal approval. Only use these products through certified suppliers who hold their own permits.

There are three ways to arrange event insurance: through your own insurer as an add-on to your existing policy, or through a specialized event insurer that offers standalone policies for each event. Your event planning agency may also offer this service.

Specialized event insurers in the Netherlands offer standalone policies on a per-event basis. You pay for the specific event, with coverage that begins on the day of setup and ends after takedown. The premium depends on the type of event, the number of participants, the duration, and the activities. For a standard business event with 200 to 500 people, expect an annual premium of €500 to €2,500 for a combined liability and cancellation policy.

Start as early as possible. Some insurers require that applications be submitted at least four to six weeks before the event date. For larger or higher-risk events, the quotation process may take longer.

Save all insurance documents in your event file and make sure the venue manager, your event agency, and the emergency response coordinator each have a copy of the relevant policies. That way, everyone will know what’s covered if something goes wrong.

When you work with Live Impact, we discuss insurance matters as part of the project planning process. We are insured as a professional event agency, but we always advise clients on their own coverage needs.

We identify risks early on: which activities require additional coverage, what are the location’s contractual requirements, and what are the municipal permit requirements. We help you ask your insurer the right questions and guide the coordination process with all parties involved.

A great event is both enjoyable and well-organized. That means both fun and safety are a priority. Because if something does go wrong, you want everyone to know what’s covered and who’s responsible.

You can read more about safety and protocols at events in our article on safety protocols →

Event insurance isn’t exactly a thrilling topic. But it can mean the difference between an incident you can handle and one that haunts you for years. Take the time to carefully review what’s covered, what isn’t, and where the gaps are.

Live Impact can help you with that. Not as an insurance advisor (for that, you should contact your own insurer or a specialized broker), but as an event partner who knows what questions to ask and how to organize this effectively.

Ready to pull off a successful event from start to finish? Send us a message via the briefing tool or email hello@live-impact.nl. You can also call us at 085 401 40 14.

Seriously Fun.