Do You Need Insurance for a Big Event or Guests Staying Over?

If you’ve ever hosted a private party, you know that preparing for the soiree can be as much fun as the party itself. The cleanup — not so much. But did you know that one of the most important parts of preparing for a big bash is making sure you have insurance?
If you’re like most people, you’ve been attending (and hosting) house parties for years. It doesn’t matter if you’re in your mid-twenties or fifties, it can be great fun to have friends and family over for a get-together.
Unfortunately, while the turnout for your party may be great, that doesn’t mean the outcome will be. If the movie "House Party" has taught us anything (and it hasn't), it's that a house party can be full of bodily injuries, property damage, and hilarious hijinks. You never know what unforeseen circumstances may pop up.
Sadly, real life is rarely as funny, and you could wind up in court for what happened at your party. It may be a good idea to consider taking out a special event insurance policy to protect you from party fouls.
Event Insurance
The law requires drivers to purchase car insurance to help them avoid paying out-of-pocket for damages they cause in a car crash. This begs the question — what would insurance cover for someone planning to throw a party?
The law does not require you to purchase event insurance before you throw a kickin' house party. However, there are a few reasons to consider it:
- Liability insurance coverage. You can try your best to keep your party safe, but accidents happen. Event liability insurance may cover you for up to $2 million in personal injuries or property damage.
- Liquor liability insurance. Many private event insurance plans include an option for liquor liability insurance. Depending on where you live, you may be liable for any drunken mishaps that occur. A liquor liability policy will cover these incidents.
- Cancellation. Did everyone bail on your party because of a snowstorm? Or maybe you got sick? Your event insurance policy can cover things like non-refundable deposits for things like a DJ, caterers, and beer kegs.
These policies may vary in price, but this is America. You can shop around for a liability coverage that fits your needs and budget.
What About Homeowner's Insurance?
If you own your home, you may not need extra insurance coverage. A glance at your homeowner's insurance policy may reveal that it already covers most slip-and-fall and other accidents on your property.
If you have homeowner’s insurance coverage, you won’t have to pay for additional insurance. The downside is that your homeowner's insurance may cover less than a more comprehensive private event insurance plan.
Some homeowner’s policies have so many exclusions that most property owners have no clue what it does and does not cover. Having both would likely fill in liability gaps and give you peace of mind.
Questions to Ask Yourself Before Purchasing Additional Coverage
If you’re the kind of person who throws parties often, you may already know what type of insurance coverage you have. However, if you’re new to the party scene or recently purchased your home, you may not know what your insurance company covers.
Some of the things you should consider when determining whether you need liability protection include:
- What are the deductibles on your current insurance policy?
- If you don’t own your home, do you have renter’s insurance?
- Will you be serving alcoholic beverages?
- What does your home insurance policy cover?
- What does host liquor liability insurance cost?
- How many large events will you host over the next couple of years?
- Will minors be attending your party?
- Does your current insurance provider offer this type of coverage?
After you’ve given these questions some thought, contact your insurance agent and see what kind of policies are available.
Contact a Local Personal Injury Lawyer if You Face a Lawsuit After Your Friendly Gathering
If someone gets hurt at your party or gets into a DUI accident after leaving your home, you may be liable for damages. It’s a good idea to contact a local personal injury attorney to help you if someone sues you in civil court.
Related FindLaw Resources
- The Hidden Risk of Your Next Uber Ride (FindLaw's Law and Daily Life)
- The Office Party: Tips on Avoiding A Workplace Lawsuit (FindLaw's Law and Daily Life)
- Slip-Fall Injuries Can Ruin Your Holiday Party (FindLaw's Law and Daily Life)