Putting on successful events requires an incredible amount of work from several different parties – but what happens should something go wrong? Andrew Harrison, Director at ESSA and Mark Blair, Executive Director at InEvexco, explore the ever-growing importance of insurance in event planning.
Over 400,000 events take place at venues across the UK every year, and each and every one of them involves an incredible amount of planning and communication between multiple parties. For organisers, suppliers, subcontractors, exhibitors and even the venues themselves, successfully putting on an event requires collaboration between lots of different people.
Most of the time, these events go off without a problem, helping to inform, entertain and delight the 85 million people that attend UK events each year. But to protect those involved in the event's creation should anything go wrong, insurance needs to be put in place - yet doing so successfully can sometimes be a challenge despite its ever-growing importance.
The importance of insurance in the events industry
“The world of events is very different from other industries when it comes to insurance,” explains Mark Blair, Executive Director at InEvexco, a specialist insurance broker for the events industry and long-standing insurance partner of ESSA.
“With multiple parties involved, each organisation requires distinct yet interconnected insurance policies to ensure comprehensive protection in case of any issues.
“Understanding what these needs are can be a complex matter and is something we are seeing more of in our post-COVID world with contracts between parties becoming more strict, making it essential that everyone has adequate coverage.”
Some of the risks involved in event planning may at times be obvious, yet some risks are also often overlooked. The unique nature of hosting a large two-day event for example, means organisers have one major revenue-generating period a year, which makes cancellations or disruptions particularly costly.
For suppliers and contractors, accidents, injuries or damages during setup, execution or breakdown of an event can result in claims or lawsuits requiring coverage, as well as if disruptions such as property damage or inability to access the premises mean work cannot be carried out.
Other areas also do not discriminate between parties. Any party managing sensitive data for the event runs the risk of cyber-attack, which could have severe consequences such as data breaches, loss of access to systems, fraudulent payments and more.
Unique challenges with unique solutions
There are always unique challenges to address, but as our industry so often shows in the face of adversity, we do have unique solutions.
“One thing we are seeing more of in the events industry is insurance provided on an all-risk basis, particularly when it comes to cancellation and abandonment cover,” explains Mark.
“While an organiser may only wish to take out limited Public Liability insurance during the few days they are working on the event, this typically wouldn’t cover them if anything unforeseen occurred outside of those dates, while Cancellation and Abandonment insurance on an all-risk basis would.
It’s about giving people broader protection and covering any pre-event risks that are often overlooked.”
Yet as the event industry continues to evolve and change, it is also about focusing on those areas that can often be overlooked.
“One of the main types of insurance I feel is often missed in events is cyber insurance,” explains Mark.
“With changes to GDPR in recent years, protecting the data you hold is more important than ever, which in turn makes the risk of a cyberattack even more prevalent, especially with the additional risks of data breaches and loss of access to systems.
Yet despite all this, the risk of cyberattacks can often be ignored with an ‘it won’t happen to me’ mindset.”
Striking the perfect balance
Better education in event insurance comes with a better understanding of the main risks in the industry and in turn, what policies are available to help mitigate these risks.
While all-risk basis insurance would typically cover all the unforeseen, those wanting more specific insurance require more specialised options.
Common options include public liability insurance to protect against injury and property damage, as well as professional indemnity insurance to help cover financial losses due to errors or negligence.
New policies have also been introduced in recent years, such as pandemic insurance, which helps protect a business from losses brought about by a future pandemic.
“COVID-19 highlighted the huge impact a pandemic can have on a business, and new pandemic policies allow events to be protected from severe financial losses should another pandemic or similar event occur,” explains Mark.
“It’s also focusing on flipping the mindset from ‘What is the absolute minimum cover I need?’ to ‘What cover is going to protect me, the business and the shareholders ?’ “
It is also vital those parties involved feel empowered to choose the right insurance for them alongside the support of a specialist insurance broker who can help navigate any nuances of event risks and help ensure the right level of coverage.
Better education also leads to better responsibility among all parties involved, leading to more informed decisions and the reassurance that everyone has their required insurance policy in place.
The world of insurance can be a complicated one. Yet with better education and support, we can ensure our events continue to be world-class while also ensuring all parties involved are protected.
InEvexco Limited is authorised and regulated by the FCA, registered number 579079. InEvexco is a wholly owned subsidiary of AssuredPartners International Limited. Mailing address: 80 Churchill Square Business Centre, Kings Hill, Kent, ME19 4YU
Published in the May 2025 edition of HQ Magazine
