The Rise Of Virtual Online Events: Do You Still Need Event Insurance?
With the increase in online events, from webinars and conferences to live-streamed performances, many organisers are reconsidering the role of event insurance. While these events may seem less risky, a virtual event organiser may still face several unique challenges that event insurance may provide protection for. So, do virtual events really need insurance? Here’s a closer look.
Equipment Liability: Protecting Your Investment
While virtual events eliminate the need for large physical venues and crowds, they often involve high-value equipment like audio and visual equipment, cameras, lighting, microphones and computers. If you’re using event equipment owned by you or for which you are legally liable whilst at an event, insurance can protect against unexpected damages, theft or loss.
Virtual Venue and Studio Cover: Insuring Your Production Space:
Many virtual events are produced in rented studios or temporary setups designed for broadcasting. If you’re using a professional space, the venue may require evidence of public liability insurance.
Cancellation and Postponement Insurance: Financial Security in Unpredictable Times
Virtual events are still vulnerable to unforeseen disruptions. From internet loss to software failures, technical malfunctions or transmission disruptions or even health issues impacting the speaker/presenter resulting in non-appearance. If a major disruption causes you to cancel or reschedule, cancellation insurance can help cover the costs associated with the event’s interruption, including refunds or rescheduling fees.
Example: Imagine you’re hosting a paid virtual conference and a platform failure halts the event. Cancellation insurance could help cover the cost of rescheduling the event.
Liability for Virtual Attendees: When Public Liability Might Still Apply
While virtual events reduce physical risks, attendees can still face certain liabilities if they’re invited to specific locations for viewing or interacting, such as designated ‘watch parties’ or a virtual conference. Public liability insurance might still apply to cover any potential injuries or incidents that arise in physical spaces related to your virtual event.
Example: A business holds a small in-person viewing of a larger virtual conference. If someone slips or is injured during the event, public liability insurance can cover any related claims, keeping the organisers protected.
Cyber security Risks: Considering Digital Liability Insurance
Virtual events can be a target for cyber incidents, including data breaches, unauthorised access or other online threats. While traditionally not part of event insurance, a cyber liability policy may help protect organisers from legal and financial consequences if attendee data is compromised or if a cyber-attack disrupts the event.
Example: If an event platform is hacked and attendee data is leaked, digital liability coverage can provide financial assistance to manage the breach and handle any legal repercussions.
CONCLUSION – While some might view virtual events as “lower risk,” they are not risk-free. A well-rounded event insurance policy, tailored to your virtual event’s specific needs, can be a valuable safety net, offering protection for both organisers. As the virtual event industry evolves, it’s clear that virtual event insurance is recommended — even for gatherings that exist primarily online.
Get in touch with our events team at David J Miller today and let’s see what we can do for you!
