December 5, 2024

Checking It Twice — Contingency Cover for Christmas Markets

Insights London Market UK Regional Division
Contingency

As Christmas fairs across the UK welcome millions of merry makers, Tim Rolph, Contingency Underwriter explains why a comprehensive event insurance policy can be the best present of all.

Across the UK, town and city centres are being transformed into winter wonderlands as Christmas markets open their doors. Stalls galore offer yuletide treats and stocking-fillers, while merry makers enjoy steaming cups of mulled wine and children line-up outside Santa’s grotto.

The popularity of Christmas markets in the UK has erupted over the last 20 years attracting millions of people up and down the country. The Manchester Christmas market alone draws in over 2 million visitors annually, while other largescale events in cities such as Birmingham, Newcastle and York can drive up visitor numbers by 60%.

This rising popularity means organisers are constantly vying to raise the Christmas bar higher, introducing new attractions to increase footfall — from parades and live acts to ice rinks and animal pens.

However, ramping up the festive cheer can also ramp up the Christmas exposures.

A Well Wrapped Policy

Ensuring there is a robust insurance policy in place should be top of the list for any Christmas market organiser.

Public and employers’ liability covers are critical policy components given the nature of these events, while organisers should also look to insure for equipment damage.

Event cancellation is of course a core coverage component — particularly given the increased likelihood of adverse weather during the winter period. An effective policy will protect organisers’ expenses and/or gross revenue from incidents outside their control that lead to a necessary and unavoidable cancellation, abandonment, postponement or relocation. If live acts are a big draw, organisers should also look to add key person non-appearance to their policy.

The value of such cover was clearly demonstrated in November when Storm Bert forced numerous Christmas markets to pull down the shutters. Winter Wonderland in London’s Hyde Park was closed for 24 hours, while the closure of the Egremont Christmas market in Cumbria meant a total cancellation loss for the organisers as this was a one-day event.

Ticking Off The List

With Christmas fairs getting bigger and better each year, it’s important to ensure the most appropriate and comprehensive coverage is in place, particularly if new market attractions have been introduced.

Here are some coverage considerations organisers could add to their list:

  • From an event cancellation perspective, look to include adverse weather coverage in the policy.
  • Hazardous activities, such as ice skating, can often be excluded from policies, so consider using a bona-fide sub-contractor on a wet hire basis.
  • Check with the venue operators on any public liability requirements to ensure compliance with the venue contracts.  
  • Most attractions on-site will be managed by subcontractors, so take steps to ensure all providers have the necessary cover in place.

Whether it’s a slips, trips and falls claim, cancellation due to adverse weather conditions, or a Santa no-show on opening night, taking the time to ensure the right coverage is in place for all eventualities is a must.

For any Christmas market organiser, that peace of mind is the best present of all — so when making a list of your policy requirements, be sure to check it twice.