$2M Professional Liability (E&O) Insurance for Wedding Planners

For wedding planners asked for $2M by a resort, corporate client or planning firm: it usually means $2M for each claim, so a $1M/$2M policy often falls short.

What does a $2M requirement mean for wedding planners?

Professional Liability (E&O, short for Errors and Omissions) covers claims that a mistake in your planning work cost a client money. A $2M clause for a planner might read like this:

• Each claim: the most the policy pays for one claim. Here, $2M. A $1M/$2M policy has the right aggregate (the yearly total for all claims) but only half the per claim limit, so it would not meet this clause.
• Claims-made: Professional Liability almost always covers claims made and reported while the policy is active, for work done on or after the retroactive date (the earliest date of work the policy covers). See claims-made vs occurrence.
• Two years after: keep renewing with the same retroactive date for two years after the event. If the policy ends, buy an extended reporting period (a tail, extra time to report claims about past work) where offered.
• General Liability too: injuries and property damage at the event are usually a General Liability issue (coverage for those claims) depending on the policy wording. See Professional vs General Liability.

Who asks wedding planners for $2M?

Resorts and venues usually focus on General Liability. A $2M Professional Liability request comes up mainly with:

• Corporate clients hiring you for company events or executive weddings, with limits set by their legal team.
• Larger planning firms and agencies passing their own client limits down to you as a subcontractor.
• High net worth families whose attorneys review your contract.
• Some resorts and luxury hotels that sometimes ask planners who run events on site.

If the request is smaller, see $1M for wedding planners.

How is $2M built for wedding planners?

At $2M, the limit is usually one primary policy (the policy that pays first) written at $2M/$2M. Sometimes a $1M primary plus a $1M excess layer (a second policy that pays after the first is used up) can reach $2M. The excess should follow form, meaning it uses the same terms as the primary. If you go this way, confirm with the client that primary plus follow-form excess meets the clause. A commercial umbrella (extra limit on top of General Liability or auto) almost never covers Professional Liability. Limits above $2M, such as $3M, usually need a broker. Morrow can help you find them.

Wedding planners are often written on a Miscellaneous Professional Liability form, made for service businesses without their own policy type. If you carry $1M today, request new quotes for $2M through Morrow. Ask to keep your retroactive date, so earlier work stays covered (this is called prior acts coverage), where the market allows, and ask whether the $2M limit applies to that earlier work too.

What will underwriters ask wedding planners for?

An underwriter is the person at the insurer who decides whether to offer coverage and on what terms. At $2M, they often ask for:

• The contract asking for $2M, the client type, and the event's budget and guest count.
• How many events you plan each year, and your split between full planning, day-of coordination and design.
• Whether you hold client deposits, pay vendors for clients, or sign vendor contracts in your own name.
• How you vet vendors, and whether they carry their own insurance.
• Destination or overseas events, and how you handle travel and lodging bookings.
• Your client contract with its cancellation and refund terms, prior claims, and your current policy and retroactive date.

What affects the cost?

• Event size and type. Large budgets and destination events usually cost more to cover.
• Money and contracts. Holding client funds or signing vendor contracts yourself can raise the price.
• How the limit is built. One primary policy and a primary plus excess are priced differently.
• Claims history. Prior claims or refund disputes can raise the price.
• Retention. A higher retention (the amount you pay on each claim before the policy pays, similar to a deductible) usually lowers the premium. Ask what retention applies.

Frequently asked questions

Could a wedding planner claim really reach $2M?

Most planner claims are well below $2M, but a serious one can reach it. A very large budget, several claimants, or a long legal defense (which often uses up the limit) can push a claim higher. This hypothetical example shows severity, not a typical claim. A planner misses the deadline to confirm a resort block, and the couple must move a 300 guest destination wedding at short notice.

Is $1M/$2M enough if my wedding planner contract says $2M?

Only if the clause asks for $1M per claim. If it asks for $2M per claim, you need new quotes through Morrow. Before switching, report anything that could become a claim to your current carrier.

Does Professional Liability cover a vendor who does not show up?

It may cover a claim that you chose or managed the vendor poorly. It usually does not pay the vendor's own debts, refund your fees, or cover duties you took on only by contract. Check the policy wording for the contractual liability exclusion.

This article is general information, not legal advice or a coverage determination. Coverage depends on the actual policy wording, carrier underwriting and your contract terms.