We know that the wedding industry in Canada is worth around $5 billion and that an average of 160,000 weddings are performed each year. The cost of these events is estimated to be an average of roughly $30,000 each. This is a big business, and as the owner of a wedding venue, you are poised to take advantage of this large market.
By hosting weddings at your venue, you stand to make a healthy profit, but you are also exposing yourself to a variety of risks, not all of which are evident. So how can you protect yourself from the inherent risks of owning and running a Wedding Venue business?
Do Wedding Venues Need Insurance?
Renting out your wedding venue to different individuals and groups means you will be exposed to liability, but it’s possible to cover yourself with the right insurance package. At ALIGNED, insurance is our only business, so we are experts in finding the right mix of coverage for your venue insurance.
Simple mistakes that happen with venues during events can pose risks to you as the owner. Some possible scenarios that could put you at risk include:
- An intoxicated guest pulls down expensive draperies from your venue, resulting in them being torn and needing to be replaced.
- A woman wearing heels trips and falls down the front entrance stairs to your venue, injuring herself.
- A wedding guest leaves the venue intoxicated and injures themselves and/or others.
- A subcontracted catering company chef sets fire to your kitchen, resulting in damage.
If any of these situations occur at your venue, you could face a lawsuit or damage claims, or need to file them yourself.
What Type of Coverage Should You Consider For Your Wedding Venue?
Commercial General Liability coverage should form part of your insurance package and protects against bodily injury and property damage sustained at your venue, as well as claims related to false advertising and libel.
ALIGNED’s CGL policies can also include extensions for the following:
- Product liability – if you provide catering as part of your venue.
- Tenant legal liability – this will cover any damage done by subcontractors to your facility.
- Liquor liability – this will protect you against the actions of intoxicated guests and provide coverage for related liability.
What Other Coverage Should You Consider?
- If you or your staff operate company vehicles, you should consider Small Business Auto Insurance.
- Commercial Property Insurance to protect against unexpected perils, including theft. You can include Business Interruption Insurance to this coverage to reimburse you for any lost income and Extra Expense Insurance to cover any extra expense that might be associated with temporarily having to relocate your operations or equipment.
- Equipment Breakdown or Boiler and Machinery Insurance is useful to protect against any malfunctions with your venue’s HVAC or other systems that may result in loss of income and be expensive to replace.
- Crime & Bailee Insurance can be important for venues and protects against employee theft or loss or damage to property of others in your care, custody and control.
Contact an ALIGNED broker to discuss your Wedding Venue’s individual needs today.