To Deductible or Not To Deductible?

EventHelper.com offers customers options regarding deductibles on our Wedding and Special Event Liability policies. 

Why do we do that?

There are different thoughts on the topic, and we want to give people a choice.

Why choose a Zero Deductible - 

A small price to pay for the peace of mind that you're covered in case something happens at the event. This also makes it easier to file smaller claims for damage at the venue caused by the insured's event.

With any Liability policy, the insured (renter/event organizer) must participate in the claims investigation. A claim cannot proceed if the insured refuses to cooperate by answering questions or providing evidence. The insured is far more likely to answer the phone if they know they won't have to pay anything on a covered claim.

Why choose a High Deductible - 

There is a term in insurance called a "Moral Hazard." Having insurance can create a lack of incentive to guard against risk (e.g., being careful with the venue's property) because the insured knows there won't be any consequences because the insurance will pay for it. A deductible on the policy ensures the person renting the venue has some skin in the game if their event causes damage.

EventHelper.com has seen claims involving event organizers (insureds) who let - or even encouraged - their guests to go wild and destroy property because they expected the insurance to cover it. Unfortunately for them and the venue, the coverage is not intended for intentional destruction or criminal acts. But they may have been more careful in the first place if they knew that they would have to pay for the first $1000 or $500 of the damages.