What Is Wedding Insurance | How It Works

With the average wedding budget at approaching $20,000, your ceremony and reception will most likely be the most costly event you and your spouse have ever planned. Purchasing wedding insurance may be a wise decision given the amount at stake. But before you buy an insurance, you should understand what it will and will not cover.

What Is Wedding Insurance?

Wedding insurance is a sort of special event insurance that provides financial protection for expenses associated with your celebration. There are two major types:

• Wedding liability insurance: Liability insurance will assist you in covering the costs of property damage or injuries sustained during your event. For example, if a wedding guest overindulges in the open bar and smashes the venue’s window, liability insurance may cover the cost of replacement or repair.
• Wedding cancellation or postponement: Wedding cancellation or postponement insurance can reimburse you if the ceremony or reception must be cancelled or rescheduled due to circumstances beyond your control. For example, your policy may compensate you if the ceremony was canceled due to extreme weather (such as a hurricane or heavy snowstorm), illness, injury, or a vendor going out of business.

Wedding Insurance Riders

Wedding insurance normally covers specific situations, but you can add optional insurance riders to gain more coverage. Common riders that may be available are:

• Military service: If you or your partner are in the military or active reserve and are called to duty, a military service rider will cover the cost of rescheduling your event.
• Bridal gowns and tuxedos: If the retailer where you purchased your wedding gown or tuxedo goes out of business, leaving you without your wedding clothes or deposit, this rider will help pay the cost of new clothing.
• Honeymoon: If you must cancel your honeymoon due to poor weather or illness, a honeymoon rider may reimburse you for your travel expenses.

What Doesn’t Wedding Insurance Cover?

Wedding insurance does not cover everything that can go wrong. While policy terms vary by insurer, the following exclusions typically apply:

• Cost: In general, wedding insurance does not cover cost-related cancellations or postponements. For example, imagine you discover that the ceremony and reception have exceeded your budget and decide to cut back. In that instance, your wedding insurance policy would not compensate you for missed deposits or other costs.
• Change of heart: If you or your spouse decide not to marry, your insurance will most likely not cover the costs associated with the cancellation.
• Ordinary bad weather: Wedding insurance will only cover cancellations or postponements caused by extreme weather, which is conditions that prevent you, your partner, or at least half of your guests from reaching the wedding venue. For more usual weather situations, such as rain on the day of your beach wedding, the coverage will not compensate you.

Before obtaining an insurance, thoroughly examine the terms and exclusions to ensure you understand what is and isn’t covered.

How Much Does Wedding Insurance Cost?

The cost of wedding insurance depends on several factors:

• Your location
• The issuing insurer
• Coverage amounts
• Size of wedding
• Optional riders

In general, a simple cancellation and postponement policy will cost $100-500. A general liability policy with up to $1 million in coverage for accidents or injuries costs approximately $125.

• Does wedding insurance cover gifts?

A basic wedding insurance policy does not usually cover lost or stolen gifts unless you add a wedding gift rider to your policy when you purchase it.

• Does wedding insurance cover breakups?

Unfortunately, wedding insurance usually does not cover cancellations due to the couple’s split up.

• Where can I buy wedding insurance?

Wedding insurance is sold by both big insurance companies and companies that specialize on this specific sector.

Bottom Line

A wedding insurance coverage might assist cover the costs if something goes wrong on your special day. Although an insurance can cost several hundred dollars for a regular ceremony, given the current cost of the average wedding, the investment may be well worth it.

It’s a good idea to start shopping for wedding insurance as soon as you start preparing. Compare plans and pricing from different firms, and make sure to read the exclusions and restrictions carefully, as policies differ in what they will and will not cover.