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Groups Consider New Insurance Options in Regard to Event-related Risks

Here are two different approaches currently being undertaken by associations

Many associations obtain event cancellation insurance (ECI) policies to protect from potentially catastrophic losses should they be forced to cancel an important event. These policies typically cover lost revenues, fees, penalties and costs associated with event preparation.

Event cancellations were rare until the COVID-19 pandemic. With the pandemic forcing many cancellations, the cost of ECI premiums has increased dramatically—250 to 300 percent, according to several association executives and insurance industry experts. ECI policies now cover fewer circumstances than before: communicable disease coverage is currently—and for the foreseeable future—impossible to get, as are specific weather-related coverages in certain parts of the country.

Knowing this, associations are looking for new options to deal with risks related to events. Here are two different approaches currently undertaken by separate associations.

Please select this link to read the complete article from ASAE's Center for Association Leadership.

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