Accidents Don’t Take Holidays, Are You Covered?

Holidays are a time for celebration but also a time to be prepared for the unexpected. Anytime people are on your property you’re exposed to additional risks, such as accidents, injuries, or property damage. Here are some things to think about if you plan to host a gathering.

Hosting Guests

Getting together with family and friends is a common tradition during the holiday season. If, however, you’re the one doing the hosting you’ll need to consider what could go wrong, such as guest accidents and guest injuries.  

• Property Damage – If an invitee (see definition below) accidentally damages your home or property, your homeowner’s insurance policy will probably cover it. Many policies specifically exclude coverage for damages related to drugs and alcohol, however. Make sure to review your policy if you’re planning to serve alcohol so you’ll know who’ll be paying the bill if damages occur.
• Alcohol – If you’re serving alcohol, offer a variety of non-alcoholic drinks or virgin cocktails as well. Stop serving alcohol an hour or two before the party ends and cut-off guests who seem intoxicated. Call a taxi, ride service, or friend to take guests that have been drinking home safely. If you aren’t able to or don’t want the responsibility of recognizing and dealing with intoxicated guests, consider hiring a professional bartender.
• Drinking And Driving – If a guest has too much to drink at your party and gets in a car accident, they probably won’t sue you, and the suit wouldn’t be taken by the courts in most states if they did. The problem, however, is if there’s a third party. If a driver who got drunk at your party injures another person or damages their property, the third party may be able to hold you liable for over-serving the driver. In this case, a personal liability insurance policy might offer protection. To avoid this problem, encourage responsible drinking, arrange rides for guests, or don’t serve alcohol at all. 
• Slips and Falls – Spread sand or salt on icy driveways and sidewalks to reduce the risk of accidents or injuries. Make sure there is proper lighting where guests will be walking. Also, clearly mark or fence off any dangerous areas on your property, especially if there will be children present. 
• Food Safety – Wash your hands and equipment often when preparing food. Cook meat, eggs, and seafood properly before serving. Also, choose appetizers/snacks that are safe at room temperature, and make sure that anything requiring refrigeration doesn’t stay out too long. 
• Trespassing (see definition below) – Depending on where you live and the circumstances, you may be held liable for injuries incurred by trespassers on your property. Check with your insurer to see how these situations are handled. 

Hiring Workers

If an accident happens to a licensee (see definition below) and there are contractor injuries, you may be financially liable. It’s a good idea to consult with an insurance professional to understand your coverage and make any needed additions. If you hire a service provider, such as a caterer, bartender, or valet, make sure they’re licensed, bonded, and insured.  Ask to see a copy of their current insurance policy to ensure it’s active and includes a liquor liability endorsement. Proper coverage will depend on the type of work and what you’re trying to protect. Here are some things to consider. 

• Employer – When dealing with a firm or agency, workers you hire are employees of that business and insured by them. Ask for a copy of their certificates of insurance (it should show that the firm provides workers compensation for its employees). If the company also provides health and disability insurance, any worker injured on your property will receive medical treatment. If, however, you’re the employer, make sure to consult an insurance professional about your risks and responsibilities.

• Event – The size of an event matters. If you’re are hosting a large event, you might want to talk to your insurance provider about a special event rider or policy. 
• Valuables – Move fragile or valuable items away from high-traffic areas to reduce the chance for damage. Put away jewelry or other small precious items and lock doors you don’t want to be opened. You can also add a scheduled item endorsement that will cover jewelry and other valuable items in case of theft or  ‘mysterious disappearance’. 

If your gathering is being held at a business, you’ll want to talk to the insurance provider to make sure property liability and premise liability coverage in place.

Definitions

• Invitee Meaning – someone who is on your property because you invited them
• Licensee Meaning – a person that you’ve allowed onto your property for their benefit
• Trespasser Meaning – a person without permission or legal right to be on your property

The whole point of hosting a holiday gathering is to have fun and celebrate with friends and loved ones but that doesn’t mean you shouldn’t be ready if something unexpected happens.

If you’d like to talk about having the right coverage for hosting an event, let us know, we’d be happy to help.