With news that Coachella will be pushed back to October this year and SXSW being cancelled for 2020 – the question and fears on organisers minds across the UK is whether or not they are covered by insurance.
Musicvein reached out to small business insurance expert Catherine France, to get her views on the situation and see where event organisers stand.
Musicvein: The fears of the coronavirus turning into a widespread epidemic in the UK are growing and this could mean large gatherings are prohibited, so what does that mean for music event organisers?
Catherine: Unfortunately, it is probably not good news, while event organisers in the UK will have insurance it is thought that most organisers are probably focused on the risks of bad weather or terrorism disrupting events and would not have foreseen the spread of the coronavirus. Most insurance policies would not automatically include communicable diseases, of which coronavirus is one, and you cannot add the cover retrospectively, a problem compounded because there are not many insurers, if any, prepared to give the cover in the first place.
The best organisers can hope is that large events are not prohibited and the number of cases in the UK start to fall as measures are taken to prevent the further spread of the disease.
I can understand how frustrating this must be for organisers as they have to decide whether to continue with the planning and spending on events which might not go ahead. If the ban does not cover smaller events, we could see gigs and concerts moving to smaller venues to ensure they still go ahead and losses in revenue are minimised.”
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