The Misconception
One of the most common misunderstandings in event insurance is the idea that a host’s event policy covers anything and everything. That includes the actions of vendors hired to help at their event. Unfortunately, they don't...and that gap can create serious risk for venues.
A host’s special event policy is designed to protect the event holder from claims related to guest injuries or venue property damage. However, that coverage doesn’t extend to vendors. While volunteers may be extended coverage under the host's policy, each hired vendor, whether a caterer, DJ, decorator, or food truck, operates as an independent business and needs their own general liability insurance.
What do I do if a vendor doesn't have insurance?
Reach out to one of our amazing Partner Relationship Specialists (partners@eventhelper.com) and they can set your venue up with a unique link that includes all of your particulars. That same link can be used for vendors as well as event organizers with coverage options ranging from 1-52 days, and in some circumstances, we can provide vendors with annual coverage(additional underwriting).
Why Vendor Coverage Matters
If a vendor is uninsured and causes damage or injury, the venue or event host could be drawn into a claim. While many venues think they have an iron-clad contract that will hold renters liable for any damage or issues caused by their vendors, relying solely on that legal protection can be risky.
Yes, the contract might technically shield the venue, but when something goes wrong, like a vendor damaging property or hurting a guest, the fallout can be messy. Claims processes can drag on, lawsuits can get expensive, and worst of all, bad reviews from frustrated clients can tarnish your reputation.
Think of incidents like:
· A guest tripping over a DJ’s power cord;
· A caterer burns the countertops with a hot pan;
· A guest is injured when the cartoonist's easel tips over and strikes them; and
· A rental chair breaks and injures a guest.
In each of these cases, the event host’s policy will almost certainly deny coverage because it wasn’t the host’s negligence that caused the issue.
The Solution
Think of event insurance like a seatbelt. Everyone needs their own. Protect yourself (and your event organizers) by requiring vendors to provide a Certificate of Insurance (COI) naming your venue as additional insured. This ensures the vendor’s coverage responds first in the event that something goes wrong.
