Insurance protects many aspects of life, from private residential home ownership to commercial trucking and everything in between. For film production companies, there are a range of insurance products to choose from, too—and making sure that you select the right one can be the difference between losing money and finding your mishap completely covered.
DICE insurance is useful for film production, but not all studios will choose to use it. Here are some of the risks that you face by producing film without DICE insurance, as well as more information about this type of coverage and how much you should budget for it.
What Is DICE Insurance?
DICE stands for documentary, industrial, commercial and educational—in other words, almost everything aside from TV shows and feature films are included under this umbrella (though there may be some exceptions). DICE coverage is meant for production studios that work on multiple projects within one year. Where feature films can get insurance to cover that specific project, DICE works with producers who focus on multiple tasks.
That being said, short term production insurance exists, and many studios will select this option over DICE. What you need to know is that choosing multiple short term production policies (each covering one project) is often more costly than using a single DICE policy for all your work.
The Risks of Producing a Film Without DICE Coverage
Without DICE insurance, your film production runs the risk of losing money or being liable for substantial damages. Many things can go wrong on sets due to all the moving parts, but some of the most common include the following:
Missed expectations – The people who funded your film likely have expectations about the final project, as well as the process. If they expected an A-list star to feature prominently, for example, then a mishap that leaves that person unable to participate could prompt them to ask for their contribution back. DICE can help to cover this loss.- Injury and death – The core of your production is likely the talent that you have working with you. If they are injured or even killed on set, DICE insurance can cover the damages that you owe to the family, as well as other related costs (like medical treatment).
- Damage – Whether it’s harm to the set, the many pieces of equipment you rely on for your project or even the recordings themselves, damage during production can set the whole process back significantly or even ruin it entirely. DICE helps to cover the costs to get back on track or replace what was lost.
What Isn’t Covered by DICE
DICE policies vary, and if a particular element is important to you, you can work with your insurer to include it in your coverage. However, most standard DICE policies will not cover some elements that you may have taken for granted—including stunts.
Certain types of stunts, like those requiring a vehicle, may be considered too dangerous for standard DICE coverage. Similarly, stunts or shoots at potentially hazardous or difficult locations (like underwater) may require additional approval.
Calculating the Cost of DICE
DICE insurance is critical for film productions, and it almost always makes more sense than purchasing multiple short term production insurance policies. However, in order to know just how much coverage you can acquire, you’ll need to think about how much of your budget you can dedicate to DICE coverage.
Elements that contribute to the cost of DICE policy include anything that the insurance might have to cover: the number of productions each year, the reputations of the actors you employ, use of high-quality technology (like drones, which may need to be replaced and are easy to damage) and so on. DICE insurance generally starts at around $3,000 per year, but it can go up to $40,000 or more depending on the type of coverage you need, how many projects you’re working on and what’s included.
The good news is that this gives you flexibility to adapt the cost to your budget. Working with an experienced insurance agency can help you to determine what is the most important to include and what can be considered optional.
Protect Your Film Production with Comprehensive Coverage
If you film more than one project each year that’s not a feature film or TV show, DICE insurance coverage is one of the most sensible purchases that you can make. Choosing to film without it can expose your company to liability and damages that may significantly impact your financial wellbeing.
At MFE Insurance, we work closely with the film industry to provide coverage that is tailored to your unique risks. Reach out to learn more or to schedule an appointment to discuss your DICE policy needs and budget.