Events organisers are faced with being left without protection as loopholes are revealed in the Live Events Reinsurance scheme.
The UK Government introduced the scheme in August to protect events businesses from against the cancellation, postponement or relocation due to Covid-19 restrictions.
However, the initial period of the scheme has now come to an end – meaning events could find themselves without protection. In an additional worry to events organisers the scheme provides no cover at for disruptions caused by Plan B restrictions.
Under the current set of guidelines events forced to cancel because clients or customers pull out, or forced to make the decision to run over financial or safety concerns will have no financial protection.
Under the terms of the Live Events Reinsurance Scheme the initial period came to an end on 15 December. After this point applicants are required to purchase cover at least eight weeks before.
This means any event from now until 10 February will only be covered if the policy was purchased no later than the 15 December.
Andy Palmer, from administrators of the scheme March Commercial confirmed to EN: “Any event applying for cover after the 15th December must apply no less than 8 weeks before the event start date.
“If the Government or Local Authority, acting within its legal powers, cancels an event due to Covid related public health concerns, then any claim will be covered. The Government or Local Authority action must be published or formally issued in writing to the insured or the event organiser, as per the scheme rules.”
The rules of the scheme can be read here.