Everyone loves a good party, but few think about the potential for costly, damaging events to occur. Despite our best intentions to have a good time, we open ourselves up to significant liability when we host a party. Are you serving alcohol at your party or allowing others to bring drinks in? What would happen if one of your neighbor’s children were injured in your backyard? Do you have a pool? Do you have enough liability insurance? Do you have umbrella insurance to provide added protection above your homeowners policy? You may want to consider purchasing liability insurance for that specific event. Many homeowners do not realize that you can purchase liability insurance for separate events such as a large party. It may be well worth the time and effort to consider the additional insurance to protect you in the event disaster strikes.

The cost of specific event insurance can vary greatly. Typically the cost of your insurance policy for the party depends on such variables as whether or not you serve alcohol, the location of your party, how many people will be in attendance, and what types of activities will be conducted at the party. It is fairly easy to tell which events may cost more to insure than others. A gathering of 30 people or fewer eating hors d’oeuvres would cost you significantly less in additional liability insurance than a block party you coordinated and hosted in front of your house where alcohol was present and your swimming pool was made available to your entire neighborhood. In many cases, you could purchase liability coverage for a small gathering for approximately $100 or less. Some insurance companies charge approximately $300 for $1 million in liability insurance coverage for a party with 200 people. Once a party becomes larger than a small gathering of friends, you run the risk of your homeowners insurance policy not covering you for liability.

If you use one of the large national companies, your insurance agent may not be too familiar with this insurance policy. Their company may not even offer it. You may have to talk to a local insurance agent in order to find the specific policy type and amount that you are looking for. Another option would be to seek out a commercial insurance agent. These business insurance agents often handle these types of insurance policies for corporate clients who throw large parties on occasion.

If your party is more impromptu than formal, you may not need additional insurance at all. Your homeowners insurance policy may provide you with all the coverage that you need. But, you should consider purchasing additional event coverage when your large party starts to take an organized turn. That last thing that you want is for your party to be spoiled when someone gets hurt and you are not properly covered by liability insurance.