Page 37 - Insurance Times February 2023

Event

Cancellation

Insurance

Anabil Bhattacharya
B.M.E. (Honors), F.I.I.I.,
Policies Retired Chief Manager,
H.O., National Insurance Co. Ltd.,
Kolkata.

Insurance companies in India are covering major events like international cricket against the
uncertainties of terror attacks and the vagaries of weather. Event cancellation insurance policy
helps protect interest of organizers, broadcasters and sponsors of various event/ functions.

Overview of Event Cancellation Policy: Insurance companies in India are covering major events like
international cricket against the uncertainties of terror
Event cancellation insurance may help cover expenses if one's
attacks and the vagaries of weather. Event cancellation
special occasion - such as a wedding or an anniversary party -
insurance policy helps protect interest of organizers,
unexpectedly needs to be canceled or postponed due to certain
broadcasters and sponsors of various event/ functions. Huge
circumstances beyond insured's control, such as adverse
money pours into cricket from our sub-continent than from
weather or unavoidable compulsion or state order or a death
anywhere else in the world. This has built an unfortunate
or absentees. Insured may also be covered for lost costs if
perception that all countries in the regions are hot spots for
insured's officiant or a major vendor, like the caterer or florist,
international events. A belief that has proved to be a great
contracted for the function, fails to provide promised services.
loss for fans and for the sport itself. Besides cricket matches,
It is important to note that the Insured are not likely to find an
other high value insurance events are movies and television
event cancellation insurance policy that will provide coverage
serials. A start was made when United India Insurance issued
if a bride or groom voluntarily calls off a wedding.
the first package policy for the feature film Taal in 2000.
With a specific event cancellation policy, any one may typically
choose a maximum amount of overall coverage (also known It was a comprehensive policy, extending cover to the film,
as the "limit" of the insurance cover or the highest amount performers, as well as producer Shri Subhas Ghai. Since then,
the insurer will reimburse the insured in case of a claim is the entry of corporatization of production houses has given a
made under the affected policy) depending on the total cost boost to film insurance to these high value insurance events
of the selected event. Insured may be required to pay a like movies & television serials. Subsequently Bajaj Allianz
deductible (also known as 'Excess') from his/her pocket before had provided insurance cover for Vijay Mallya's film Rakht
the policy helps reimburse him/her for a covered loss. and the Oscar nominated short film - Little Terrorist during
Initiation of availing the Event Cancellation Policy was taken 2003 onwards.
mainly in Mumbai, slowly various policies are issued in Chennai,
Delhi and many other places. Now-a-days issuance of these Apart from movies and cricket, it's the television serial
event cancellation policies by the Indian General Insurance producers too line up for insurance covers. One of the biggest
Companies are thriving in many ways in Mumbai, the Business policies issued is that by Bajaj Allianz General Insurance for
Capital of India. 200 episodes of Star One's serial 'Nach Baliye'. The important

The Insurance Times January 2023 33