WEDDING INSURANCE FOR COUPLES AND WEDDING PROFESSIONALS

What is wedding insurance, and do I need it? Click the image below to watch my video!

One thing that the pandemic has taught us all is that insurance should be a top priority for both engaged couples and wedding professionals.

Over the last several months, I've had a number of people reach out to me and ask about wedding insurance, business insurance, and a little something called E&O insurance.

I have always required my couples to purchase wedding insurance. I take it so seriously that it is even noted in my contract.

Venues require Wedding liability insurance. It protects the physical building and the business from property damage and any injury that may have occurred during the event. For example, perhaps a light tips over and causes wall damage. Or a guest trips and falls, breaking their leg.  Liability insurance would protect my couple from any financial burdens and responsibilities that may or may not result from something like this occurring at a wedding.

Today, two of the more popular insurance policies that couples are interested in are Cancellation and Postponement Insurance. Available through major providers such as Progressive and specialty companies such as WedSafe and WedSure, this type of insurance is there to protect you financially. Depending on the circumstances, it will cover you and pay back non-refundable expenses and deposits should you be forced to cancel or postpone a wedding due to reasons beyond your control.

Additional types of insurance and other circumstances can be added to your policy to protect very specific items associated with your wedding. For example, I have had a bride ensure her wedding dresses, which cost over $50,000.  Another couple I worked with wanted to protect against gift loss or theft. They had heard a horror story in the past and wanted to ensure that none of their envelopes and items went missing.

Currently, a number of companies require that you purchase your insurance at least 30 days in advance. I personally suggest buying insurance as early as possible. It's never too soon to protect yourself, and with policies starting as low as $65 for liability insurance and roughly $125 and up for cancellation and postponement insurance, this is a nominal cost that will buy you peace of mind that can't be matched.

Please make sure, however, that you read your policy carefully. Due to COVID, a number of companies are placing a note stating that cancellation or postponement due to “a factor is previously known to you” could invalidate your policy.  You will want to look for a COVID clause specifically and if you have any questions speak to a representative before you finalize the purchase.

As vital as protecting, engaged couples and our clients, it is equally important to protect your own business. Sadly, this is one place where I have seen so many businesses fail or fall down.

As a creative business owner, there are a few policies that you should absolutely have and understand.  

The first is a General Liability (GL) insurance policy.  Sometimes called small business insurance or commercial liability insurance this provides your business coverage against any claim made for bodily injury, damage to property, or personal injury. Say someone comes to your place of business and is hurt. A general liability policy may be able to cover their medical cost. Or, if you are working at someone else's property or the venue and you are found to have been the cause of damage, your General Liability insurance would cover the repairs and replacement costs.  General liability insurance can even go so far as to cover you in the event that someone's reputation is damaged by something that you or employees say or write about them.

Many small businesses purchase general liability and stop there. However, you may also wanna consider a business owner's policy. Known as a BOP, this policy combines general liability and property insurance. While it does not protect your own personal property, it will protect items owned and used by the business.  Laptops, printers, cameras, etc., can all be covered in a BOP policy and will help you replace anything that is damaged within your business.  

If, like many creatives, you own a home-based business, you may want to purchase home-based business insurance. This is both liability insurance and general liability insurance for those who work from home. It protects your home and business from claims of injury from a third party. For example, if a client comes to your home and meets you in your home office and tripped over something in your space, they would be able to sue you.  Home-based business insurance will protect you in that case, and it would also protect the property that you have in your home, such as business equipment and computers. If it sounds as if general liability insurance, BOP insurance, and home-based business insurance are all similar and redundant… It's because, in many ways, they are. Insurance requirements vary state by state, and your local insurance agent will be able to tell you which policy or combination of policies is best for you.

But the one thing you must have is professional liability insurance, no matter where you live and what you do. This is also known as E&O insurance, which stands for errors and omissions. This is an indemnity insurance policy, which protects your business if you are sued for negligent performance. As we all know, anyone can sue anyone for anything. A customer could sue you because they believe you did something you should not have done or that you didn't do something that you should have. They may feel that your professional services fell short or that you have made a mistake. Professional liability insurance protects you by covering the costs you will incur defending yourself, and it may cover settlements and judgments.  Many small businesses do not get professional liability insurance because it is the most expensive of all the policies mentioned. However, in my opinion, it is worth every cent. Whether a client perceives you as being negligent or if you actually did make a human error, there will be defense costs involved in going to court with a client. Everything from legal fees, libel and slander issues, staffing and contractor issues, and claims arising from services provided in the past can be covered with a professional liability E&O insurance policy.

Insurance, contracts, and accounting are not sexy. They aren't glamorous or fun and don't make for pretty Pinterest pictures. But they are utterly necessary for every small business. As an industry, our ability to do what we love to do and to service our clients is rooted in the foundation of setting up a business properly.  To ensure you are covered, contact your local agency today.

And if you are a couple investing your time and money in that once-of-a-lifetime event, with or without a planner, please stop now and buy an insurance policy for your wedding.  While I hope you never need it, you will certainly be grateful to have it if you encounter any issues along the way.

As always, I love having you here, and thank you so much for being a part of my life and world.   If you haven't done so yet, please join my mailing list so that you never miss a tip on how to celebrate life, luxury, and above all else...love.

Always…ae