Insurance is a must have in any type of rental situation. Whether you are a property owner or manager, an event planner or organizer, contracting an insurance policy is simply the smartest thing to do.
In this article we will explain the advantages of insuring your property or event at a venue or rental property. Please note that PlaceReady does not endorse any insurance company or insurance product, this article is for information purposes only and you should conduct your own research and make the informed decision that best meet your needs.
Insurance for homeowners and property managers
Being well insured when you engage in renting spaces for corporate events, photo or film shoots, private parties and more, is an absolute necessity. In some cases and locations it is even required by law.
As a homeowner or property manager, the last thing you want to worry about are damages to your place caused by negligent guests, breakage of appliances, art work, walls, doors and more…or even worse, a total loss by fire, flood or other acts of nature. In order to insure a successful and peaceful rental activity, the first thing you want to do is to make sure that your insurance policy allows for renting your place and engaging in commercial rentals. Just because your property is insured does not mean that you would be covered in case of a claim arising from a rental.
It is highly recommended to review your insurance policy for any exclusions and to contact your insurance agent to inquire about your coverage for any rental activity that may take place on your premises.
Among the many attributes that you should inquire about are the following:
- Commercial general liability
- Personal and advertising injury
- Liability continued over amenities: swimming pools, hot tubs, bicycles, small watercraft, recreational areas + more
- Enhancement coverage for animal/pet, liquor, assault, battery, abuse, molestation, and invasion of privacy
- Special cause of loss (all-risk) with replacement cost valuation
- Enhancement coverage for damage to the building(s) and contents caused by a guest, including theft
- No limit on damage caused by a renter
- Commercial Package Policy: coverage for building(s), contents, liability, and income
- Sole Props, Corporations, Partnerships, LLC’s, Trusts, accepted as named insureds
Those are just a few of the coverages that you should talk about with your insurance agent in order to insure that your property is adequately insured, this way you can concentrate on marketing your listing and hosting your guests for an optimum experience.
Insurance for event planners and organizers
So you have finally found the ideal place where you would like to organize your next event. You browsed through hundreds of locations available, made hours of research and planning and you are now ready to put all the pieces together that will make this birthday party, baby shower, photo shoot or company meeting a success. With all the elements that need to be taken into consideration, insurance is often overlooked or even forgotten. As an event planner for yourself or for your clients, you cannot ignore the value of insuring your event and venue rental. Wouldn’t it be a shame if after planning everything, inviting your guests, hiring a caterer, a band and a photographer, your venue becomes unavailable due to unforeseen circumstances? By those, think about a storm, a fire, a flood, a city ordinance. Many factors could affect the availability of the place you have rented for your upcoming event. Getting prepared for those unfortunate events is part of planning.
Another reason to inquire about insurance when planning an event is in the case of injuries or theft. Imagine that one of your guests gets injured during the party. Although the property owner should carry his/her own insurance policy, you as an organizer should also carry your own, in case you are being sued for negligence or poor planning. What if someone at the party breaks or steal fixtures or an expensive piece of art or decor? The property owner might ask you to replace it and that is when insurance comes in handy. Hopefully, there are companies that you will easily find online, which offer the type of coverage that travelers and short term renters need.
You should look for an insurance policy that is designed to provide protection for situations in which, as an event planner, you should have to defend yourself against lawsuits or pay damages for bodily injury or property damage to third parties. Host Liquor Liability if needed should also be considered. Your policy should also provide protection to the venue and/or sponsors of the event, by adding them to the policy through a Certificate of Insurance.
Some of the coverages included in your insurance policy should include:
• General Liability (Bodily Injury/Property Damage)(Host Liquor Liability included)
• Care, Custody or Control Liability (Third Party Property Damage)
• Collapse of Temporary Structure Liability
• Contractual Liability
• Damage to Premises (Fire Legal Liability)
• Hired and Non-Owned Auto Liability
• Liquor Liability (For the sale of alcohol)
• Medical Payments
• Third Party Property Damage (Care, Custody or Control Liability)
• Waiver of Subrogation
Those are just a few of the coverages that you should talk about with your insurance agent in order to insure that your event is adequately insured and that you are covered for any accident, damage, cancellation and more.