Cover stories

Contingency - Keeping the show on the road

Our experienced and expert team will look at risks on a case-by-case basis and wherever possible we will often endorse or amend policies in order to provide cover for risks that many others would automatically exclude.

Contingency insurance has become vital to the music industry. As revenue streams have dwindled from record sales, both record companies and recording artists have looked to replace this income with revenue from live shows.

Arenas, stadiums and parks have become the venues for increasingly spectacular shows often featuring multi-million dollar stage sets and huge numbers and production staff and crew. A tour or festival therefore represents a major investment on the part of record company, the promoters and the artist themselves.

It is contingency insurance that enables these shows to go ahead by protecting these investments from a range of risks from adverse weather to illness of the artists or their close family members.

Non-Appearance and Event Cancellation

One of the major causes of an event having to be cancelled is the main star not being able to appear. Markel International can provide non-appearance protection that covers against death, accident and illness and  travel delay that leads to the non appearance of the headline act, this coverage can be extended to cover essential band members. Markel underwriters are also able to go  beyond what is usually offered to include death or manifestation of a life threatening illness to a family member.

Where most underwriters would have a standard exclusion for any pre-existing medical situations, ours are able to examine the clinical records and information before making a decision.

Further to the Non Appearance element that can lead to the cancellation of a concert there are other external risks that are covered within our Non Appearance policy or separately under an Event Cancellation Policy.

Adverse weather can often cause problems for event organisers and Markel are able to extend the coverage to include adverse weather conditions effecting outdoor events.

We are also able can give communicable disease cover, including swine flu, when many of our competitors view this as a standard exclusion and exclude it from their policies.

Other perils we cover include both the ‘threat’ and the ‘act’ of terrorism while National Mourning cover, can range from the ‘day of the funeral only’ to 'cancellation due to public decency' if the head of state should die.

Further to Non Appearance and Event Cancealltion Markel’s underwriter’s are recognized as market leaders in a number of different classes of Contingency business and can underwite the following classes of business:

  • Advertising indemnity

- Advertising agents indemnity

- Commercial producers indemnity

  • Contractual bonus
  •  Over redemption
  • Prize indemnity

- Statistical risk insurance

- Non-statistical/ skill games

  • Weather related risk
  • Film shoots