If you’re planning a wedding, birthday party, or large gathering at your home or a friend’s / family member’s home, you may be wondering:

“What protection do I get and what protection does the homeowner get from Event Liability Insurance?”

The short answer: In most cases, limited. Here's why.

Understanding What Policies Cover When It’s Your Home

Special Event Liability Insurance is designed primarily for events held at venues or private homes you are renting from a third party.

While some coverage may be available — such as host liquor liability if you hire a properly insured bartender — these policies generally exclude:

  • First-party property damage (damage to your home)
  • Claims due to a defective property conditions or negligence on behalf of the homeowner, such as a guest being injured from a broken step or loose paver

Both types of claims should be handled by the homeowner’s insurance policy.

Here’s the rub, you will have a conflict if a homeowner’s policy and an event liability policy are both involved in the same claim. Two policies covering the same thing will create confusion about which policy should respond first. Your event insurance and your homeowner’s insurance providers will each point to the other as the primary policy, this will present a conflict which can delay claims resolution.

If you're hosting a large gathering at your home, here are a few key steps you can take to protect yourself:

  • Contact your homeowner’s insurance company. Ask if your policy covers special events at your home. Don’t forget to also ask if your policy also covers alcohol related incidents.
  • Only work with insured vendors. Your caterer, bartender, florist, photographer, DJ/band, rental company, etc. should all carry their own liability insurance naming you as an Additional Insured on their policy.
  • If a vendor makes you responsible for damage to their equipment, ask the vendor about buying a damage waiver form them. Many companies offer this, so you are not financially responsible for any damage to their equipment (e.g. tents, speakers, linens, etc.).

Hosting at a Friend’s or Family Member’s Home?

Event liability insurance is not designed to cover events being held at a friend or family member’s home. When an event is held at a friend or family member’s home, there is increased risk of paying a high dollar claim due to the nature of the property that was damaged.

Based on the pricing of the policy, the insurance company does not want to provide property damage coverage for homes that might have expensive furnishing or artwork. A typical rental venue would not have these expensive items on their property.

Learn More

We’ve written helpful resources to explain these topics in more detail:

  • Host Liquor Liability Insurance vs. Liquor Liability Insurance
  • Common Exclusions for Special Event Liability Insurance

At eWed, we’re here to help you plan wisely, even when our policy may not be the right fit for your situation. If you're unsure whether your event qualifies or need help figuring out your coverage, don’t hesitate to reach out. We’re happy to help guide you in the right direction.