These days companies can often rely upon well planned events as effective money spinners, driving sales and leads. They may hire an outside professional to plan something for them, or they may want to take part in the regular event run by an individual planning company, such as a sales event or convention. They may pay a premium for the organiser’s services or their space at the show, which means they expect some kind of return from their investment. If they feel they have been given a poor service or that what they paid for the event was not worth it, they may take legal action. This is just one eventuality which can befall event planners, and as such event/conference organiser professional indemnity cover can be a useful tool for anyone operating in the sector.
Professional indemnity cover, for those who do not know, is a straightforward insurance policy which applies if you’re facing a legal claim. It normally pays out if you are accused of making a mistake, omission, or act of negligence in the normal course of your work or the work of a business, i.e. you are sued.
This may seem extreme, but when money is at stake, companies may seek legal redress if they feel hard done by, or if they blame an event planner for something which has gone wrong. Whatever the reason for a case, it could be a long-winded affair, which can also be expensive as legal help will often need to be hired in order to defend your corner. Indemnity insurance would pay for the cost of this legal cover and advice, and would even pay any compensation which might be awarded against you if the claimant is successful.
The importance of this is obvious as the bill for a legal case and any compensation you may have to pay could be considerable – in some cases thousands of pounds or more. Event/conference organiser professional indemnity cover pays all your bills up to an agreed limit, and the same applies to the compensation. In many cases you will have an entire policy limit, beyond which the cost of legal advice and bills and the compensation cannot go before you begin to pay out yourself.
Event/conference organiser professional indemnity cover therefore needs to be taken out which is appropriate to the size and needs of a business. Besides mistakes, it will also cover you against some of the other common legal hazards, like defamation, breach of confidence or copyright, and even the allegation that the employees of a company have acted dishonestly.
Event/conference organiser professional indemnity cover might sound like a highly complicated product which only applies to bigger businesses, but it is a possible consideration for anyone who is a professional events planner. This kind of insurance policy has come to light in recent years because of the risk of legal action if a professional consultant ever makes a mistake which then has implications for a client. Indemnity cover has often been associated with law related businesses, but because of the chances of getting sued, it is potentially helpful for a very wide range of firms.
Say an event or conference organiser was hired by a company to plan a sales event at a hotel. A simple slip up with some literature the organiser has ordered could see some invitations printed with the wrong date on them. This may then affect attendance at the event, and possibly lead to the client feeling they have lost out considerably. They may then take legal action to recover what they have lost financially. This is because they have suffered what is known in the business as a financial injury.
Event/conference organiser professional indemnity cover will pay out towards your legal expenses if you have to defend a legal claim that you have made a mistake, error, omission, or even committed an act of negligence in your day to day role as an event organiser.
In simplified terms it pays the cost of hiring legal help and will even cover the cost of compensation if awarded to a successful complainant. This is highly significant as not only are lawyers typically not cheap, compensation can also run into thousands of pounds or more if the court finds against you. This leaves you with a massive bill which you would otherwise have to pick up yourself. Provided you are within the cover limit, an indemnity product will simply pay the cost for you.
In exchange you simply pay an insurance premium as you would with a range of other cover products. Event/conference organiser professional indemnity cover will also normally protect you against a wide range of situations. These include a claim from a client that you have breached confidence or copyright, or that you have defamed somebody. Some will even throw in public liability insurance as part of the cover.
Running your own business as an event and conference organiser means not only taking on responsibility to deliver a good service to clients, but also taking on the responsibility of protecting your business. Have you ever thought of what you would do if you faced a legal challenge, such as the threat of being sued if your company ever made a mistake? Event/conference organiser professional indemnity cover is a product which can pay your legal bills should you ever get into a law-related scrape.
It will protect somebody if they face being sued following a claim that they have made an omission or mistake in the conduct of their business. If someone who has hired you thinks you have done a poor job, and possibly feels they have lost money as a result, they could file a claim for compensation. This is because they have suffered what is known in the business as a ‘financial injury’.
Of course, if the worst ever did happen and you got a legal letter, you would need to hire your own defence team. This could be expensive and event/conference organiser Professional indemnity cover would kick in and pay the bills, subject to a successful claim.
For example, if a company hired you to plan and organise a meeting involving a number of potential clients, which then went wrong and failed to run to plan, they may feel they have lost out as a result. This would mean you could get the blame and a court case could ensue.
Event/conference organiser professional indemnity cover would protect you by paying out for your legal protection, and also cover things like accidental breach of confidence or copyright, and the dishonest actions of any employees of a company, such as stealing from a client. Allegations of negligence and even claims of unintentional defamation, a risk where publicity material is concerned, will also be protected.
Protection is available on a variety of levels, and event/conference organiser professional indemnity cover can be bought which goes up to hundreds of thousands of pounds or more, depending on the individual needs of the firm.
Being able to pass on the responsibility of planning a big conference or event can be a big benefit to certain businesses, and this is why event organisers play a crucial role in the modern economy. Private individuals also value the extra time and convenience hiring a professional gives them, so the industry can be a satisfying and rewarding one. But even if you’re working alone event/conference organiser professional indemnity cover is something to think about.
This is a type of insurance which will protect someone if they face legal action following an allegation that they have made the mistake or omission. If a client feels you have done a bad job or worse, feels they have also lost money, they may seek compensation for their financial injury. This will mean having to defend a court case – by no means a guaranteed incident for every event organiser, but also not uncommon in the grand scheme of things.
For example, an individual organiser might be hired by a medium-sized firm to plan a sales event, featuring various exhibitions and designed to attract potential new clients. If something goes wrong on the day, meaning the event does not go ahead as planned. The clients may then feel they have lost out due to something the organiser is responsible for, rightly or wrongly, and then take legal action.
Event/conference organiser professional indemnity cover will help protect you against this by paying your legal bills. It will allow you to hire law professionals to help defend your case, with the insurance company picking up the bill subject to a successful claim. Legal teams are never cheap things to obtain, so the insurers cover could be vital in such a circumstance.
Event/conference organiser professional indemnity cover can be arranged up to different limits, meaning a smaller firm may not need the cover a larger firm does and will, as a result, normally get a smaller premium. This flexibility means there is a policy for nearly every professional’s needs, no matter how big or small the business and no matter how big or small their clients.