Not Just for Event Planners: 12 Businesses That Need Events Liability Insurance

Assuming that Events Liability Insurance is something that only applies to event planners can turn out to be a costly mistake for many businesses. There are a few ways you could be exposed to event-related liability claims, even if your business never hosts or organises an event. At 1st for Women, we have insight into the intricacies of Liability Insurance for events. In this guide, we'll help you understand the importance of Liability Insurance for events, and whether your business needs this cover.

Why Events Liability Insurance matters

By 2032, South Africa’s MICE (Meetings, Incentives, Conferences, and Exhibitions) industry is projected to be worth over R470-billion 1 – up from R120-billion in 2023. But this doesn’t reflect the full scale of the events landscape. Weddings, festivals, private functions, and thousands of smaller gatherings also contribute significantly to the economy.

The COVID-19 pandemic was a harsh reminder of how easily events can be disrupted 2. From ticket refunds to unrecoverable vendor fees, the financial impact was wide-reaching. Events Liability Insurance protects organisers not just from cancellations, but also from legal and financial risks that can derail a business.

• Protecting against legal claims

If a guest, employee, or vendor is injured during your event, your business could be held responsible. Legal claims for medical expenses, lost income, and damages can be financially devastating for the event planner and the venue owner. Liability Insurance for events covers legal fees and medical costs, allowing your business to handle claims effectively.

• Meeting venue & vendor requirements

Many venues and vendors require businesses to have liability coverage before signing contracts. Without this cover, securing event spaces or working with suppliers may be difficult. For one-off events, it's worth remembering that Events Liability Insurance is available.

• Safeguarding your reputation

Negative publicity from an incident at an event can impact customer trust and future business opportunities. Events liability cover ensures that if an incident occurs, your business can handle it professionally and responsibly, minimising reputational harm.

• Covering employee & vendor risks

If your business hires temporary staff, vendors, or performers for events, their actions could lead to damage or injury. For example, a catering service might accidentally spill hot food on a guest, or a sound technician could damage expensive hotel furniture with their equipment. Liability cover protects your business and those working for and with you.

• Ensuring business continuity

A single claim could result in legal fees, compensation payouts, or repair costs that strain your finances. Without this protection, your business may struggle to recover from the financial impact of a claim, possibly leading to closure.

12 Types of businesses that need Events Liability Cover

Did you know that you don’t need to be a full-time event organiser to have protection? Any business hosting an event—whether for marketing, community engagement, education, or entertainment—should consider event liability cover. Even occasional or small-scale events carry risk.

Here are 12 business types that benefit from this cover that you probably didn’t know about:

1. Venue owners

Hotels, conference centres, and function halls regularly host events they haven’t organised. Despite this, they are responsible for guest safety and property protection, making liability coverage essential. Accidents such as slips, falls, or structural damage can result in significant claims, making it crucial for venue owners to have coverage.

2. Sponsors

Sponsorship comes with visibility—and risk. If your company’s name is on the banner, guests and clients may hold you responsible if something goes wrong. Insurance helps mitigate legal and reputational fallout if an incident occurs during an event you’ve backed.

3. Exhibitors

Businesses that exhibit at expos, fairs, and markets interact with the public in busy environments. Your stand could accidentally cause damage or injury for which you could be liable. Event liability ensures you’re covered even when you're not the event host.

4. Sports entertainment companies

Live sporting events carry obvious physical risks for participants and spectators. Liability cover helps protect against injury claims, damage to rented equipment, and venue-related incidents—whether you’re organising awards ceremonies, marathons, or a local fun run.

5. Non-profits

From charity auctions to awareness campaigns and fundraising dinners, non-profits regularly host community events that involve volunteers, donors, and the public. These events carry the same risks as commercial ones, making liability cover essential.

6. Social clubs

Registered book clubs, car clubs, cultural groups, and similar organisations frequently organise meetups, dinners, or annual socials. Even informal events can result in liability issues if someone is injured, or property is damaged.

7. Wedding venues

High-energy celebrations like weddings involve alcohol, dancing, and many moving parts. Venues are often seen as liable if anything goes wrong—from electrical faults to guests tripping on uneven surfaces.

8. Sports stadiums

Whether hosting local matches or big tournaments, stadiums have high foot traffic and a duty to provide a safe environment. Events liability cover supports broader operational risk cover by focusing on event-specific issues.

9. Cooking schools

Interactive events like food tastings, demos, or themed classes can involve heat, sharp utensils, and potential allergic reactions. Liability cover helps manage the risks of injury or medical incidents involving participants.

10. Cafes

Many cafés host quiz nights, live music, or themed events to increase foot traffic. These events turn a regular business setting into a dynamic event space, bringing in new risks not covered by your general Business Insurance.

11. Restaurants

Private dining experiences, tasting evenings, or special functions can involve extra staff, equipment, or guest interactions. Liability cover ensures the business is protected beyond its day-to-day operations.

12. Art Galleries

Galleries frequently hold openings, exhibition launches, and artist talks that attract large groups. Guests may spill drinks, damage artworks, or trip over cables or stands. Event liability helps cover the cost of repairs, legal claims, or accidental damage to valuable items.

Events Liability Insurance complements your general business cover by protecting against event-specific risks. Whether you need Events Liability Insurance for one day, a short-term activation, or ongoing cover, flexible options that consider your needs are available.

Event liability for businesses in action

Imagine the following scenario: a popular bar agrees to host a Halloween-themed event organised by a third-party promoter. The promoter sells tickets, hires a live band, and manages the event setup. The bar supplies the venue and sells beverages throughout the night. Everything goes well—until a guest trips over a power cable close to the stage.

The guest breaks their wrist in the fall and knocks over a speaker, damaging the band’s equipment. Now, both the injured attendee and the band are seeking compensation for medical costs and repair fees. The question of liability becomes complicated. Is the bar as the venue? The promoter, as the organiser? Or both?

Events Liability Insurance proves its value in situations like this. While the bar’s general Business Insurance might cover incidents directly linked to its operations, it may not extend to claims arising from a third-party event. Event liability covers these event-specific risks, protecting the venue and organiser against legal claims and disputes from both the guest and the band.

This scenario highlights how you should be prepared for even a festive, well-attended night leading to unexpected consequences.

Get a 1st for Women Insurance quote

If your business hosts events, large or small, you need Events Liability Insurance. Protect yourself and your business from financial loss, legal claims, and unforeseen risks. Get a personalised First for Women insurance quote today.