Trade shows provide a great opportunity for businesses and industries to demonstrate their products and services. However, like all public events, there is an element of risk involved. Whether you are organizing a trade show or participating in one, ensuring you have the right insurance coverage in place is a best practice.
What Is Trade Show Insurance?
Trade show insurance is a specialized liability policy that is aimed at exhibitors who are participating in trade shows or expos. This is typically a short-term policy, or it may come in the form of an add-on to existing business general liability policies. It is also possible to purchase a trade show insurance policy that will cover multiple events throughout the year.
Who Needs Trade Show Insurance?
In addition to the insurance required for organizers to hold the trade show itself, anyone who sets up a table or booth at a trade show, street fair, craft fair, community event or expo needs to obtain trade show insurance.
In many cases, the organizers of the event will not permit vendors to set up without demonstrating proof of liability insurance first. Some organizers will also ask exhibitors to include the venue and the organizer as “additional insured”, which essentially places the exhibitor’s insurance as the first line of defense in the case of a lawsuit.
Here is a look at the businesses that need trade show insurance.
Exhibitors
Those who set up booths at a show and represent outside products and services are considered exhibitors and need a trade show insurance policy.
Vendors
Vendors can be thought of as an extension to the trade show as they provide services that help the event run smoothly, such as concessions. These businesses must also obtain trade show insurance.
Organizers
The organizers who are running the trade show are considered the overall responsible party and need to cover themselves in addition to ensuring that exhibitors and vendors have proper insurance in place.
What Type Of Insurance Is Needed For A Trade Show?
A typical trade show insurance policy will cover general liability, premises rented, certain medical expenses, and personal and advertising injury. Outlined below is a closer look at each of these main components.
General Liability
The general liability component of trade show insurance covers accidents such as trips and falls or displays falling over and injuring people or assets. If someone trips in an aisle because an item fell off the counter of your booth, for example, this type of policy can offer protection.
Premises Rented To You
This covers the event that is renting the space out in the trade show if your participation causes facility damage. This may be the case, for example, if one of your electrical cords starts a fire.
Medical Expenses
This component of trade show insurance can help with costs of injuries to cover gaps in health insurance for injuries that do not necessarily lead to a formal liability claim.
Personal and Advertising Injury
This type of policy covers incidents of trademark infringement, slander, libel, invasion of privacy and copyright infringement.
It is important to keep in mind that certain types of businesses will not be covered by traditional special event insurance and will need to seek specialized types of policies. These may include medical procedures, weapons, nutritional supplements, weight loss products, alcoholic beverages, tattoos, piercings, and booths that involve animals. An insurance agent can advise you on the best way to insure your company and obtain the necessary coverage to participate in the trade show.
Event Cancellation And Disruption
Event cancellation or disruption insurance can be useful for protection in cases where an event is cancelled, disrupted or postponed.
Is Trade Show Insurance The Same As Special Event Insurance?
Although these two forms of insurance may sound similar, it is important to understand that trade show insurance is a specific type of commercial special event insurance. Not all special events are for business purposes. For example, a homeowner may take out special event insurance for a major party or event at a third-party location, such as a wedding. It is essential that trade show exhibitors and organizers have a policy that is specifically geared toward trade shows.
Certificate Of Insurance
The event’s organizers must have certificates of insurance, or COI, on file for all businesses and exhibitors participating in the event. This lists the business as well as the event, and serves as a way to prove that participants have obtained adequate liability coverage. Your insurance carrier can provide this official document, although you may need to pay a small fee to obtain it.
Reach Out To The Insurance Brokers
If you are looking for insurance for a trade show, get in touch with the professional insurance brokers at MFE Insurance to learn more about the options that suit your budget. The special event insurance consultants at MFE Insurance can answer your questions about the policies you need for your trade show to ensure proper coverage.