After unprecedented rainfall, the wettest on record in April and an ominous outlook for the rest of June, many of the water companies are reconsidering the hosepipe bans, which came into effect just two months ago when long term droughts were a major concern. Whilst this may be great news for homeowners looking to fill up paddling pools or tend to their lawns, something they have not had much need to do recently, the events industry in the UK would likely rather have the hosepipe ban in place than the deluge of rain that has filled up reservoirs across the country and waterlogged venues.
The UK usually awash with outdoor events throughout the spring and summer has seen many of these washed out. May saw the event cancellation of the famous Badminton Horse Trials, causing disruption to many riders gearing up for Olympic qualification. In more recent weeks the long running Suffolk show became a victim of gale force winds. Queens Club lost the first days play for their annual Tennis Championships with all 6,800 spectators receiving a refund for their ticket. The first two days of a test match were lost for the first time since 1964 when rained delayed the start for England against the West Indies at Edgbaston and The Thames Diamond Jubilee Pageant will be remembered for the site of The Queen and Prince Philip braving the elements, probably closer to being cancelled than anyone would have wished.
With over 40 flood warnings in place across the UK, there will be many an event organiser nervously watching the skies in the build up to their event as the financial implications of a cancellation become alarmingly evident. Of course no amount of planning can prevent the effects of the “British Summer” but there are steps that proactive event organisers can take to minimise the financial risk associated with a cancelled event. Hertfordshire based underwriting agency WorldWide Special Risks is one company who work with organisers to protect the financial losses caused when an event is cancelled or abandoned.
“Event Cancellation Insurance is an essential tool for an organiser who invests a sum of money in creating an event, especially if it is outdoors” according to WorldWide Special Risks Jon Wilkinson. “Not many event organisers can afford to foot the bill of a cancelled event. With many costs unrecoverable due to the last minute nature of weather related losses, organisers are often left in unsustainable positions, without the essential income needed to balance the books. That is where Event Cancellation Insurance can be the life raft for them to cling to. In some cases the difference between administration or liquidation and survival”.
Of course it is not just weather that that organisers have to be aware of, there are many other unforeseen perils that can catch them out. A great example of this was the recent Icelandic Volcano eruption. This was particularly troublesome for events reliant on overseas delegates, exhibitors or performers, who were unable to fly in. Those who had purchased event cancellation insurance before the eruption should have been covered for any loses if the event had to be cancelled or the additional costs of alternative travel to ensure it proceeded.
Providers of Event Insurance will often work with specialist loss adjusters to help organisers save a troubled event. If contacted at the earliest opportunity most insurers will cover additional costs incurred to help an event to continue. Waterlogged venues can often be rescued with measures such as temporary walkways, the cost being met by insurers to prevent the worst case for all, a total loss.
Judging by the torrential downpour that can be seen through the window as we write this article, the phone may well be ringing in the offices of many an event insurer over the coming weeks.
WorldWide Special Risks was established in 1995 and is underwritten at Lloyd’s the world’s largest insurance market. Event Insurance is available to clients and intermediaries in the UK and over 70 countries worldwide
For more information on insurance for your event contact WorldWide Special Risks on 01727 843686 or visit www.worldwidespecialrisks.co.uk/event-insurance
Category: General Event Industry News