Start with the venue or permit requirement, then discuss the event’s exposures with your broker. A $1 million or $2 million choice must be identified as a specific type of limit, such as per occurrence. Neither amount is automatically sufficient for every event or every contract.
What is the difference between per occurrence and aggregate?
A per-occurrence limit caps the amount payable for covered injury or damage arising from one occurrence, subject to the policy. The applicable aggregate caps certain covered payments across the relevant policy period or scheduled scope. Different categories can have separate aggregates.
The Hartford’s general liability overview distinguishes these limits. For event insurance, ask how the actual form applies them to your dates and activities. A large aggregate does not automatically increase the amount available for one occurrence.
Does $1 million/$2 million mean $2 million for one accident?
Not if the figures mean $1 million per occurrence and $2 million general aggregate. In that arrangement, the aggregate is not a substitute for a $2 million per-occurrence requirement. Read the labels beside the figures and compare each one with the contract.
For a hypothetical hall rental, the agreement requires $2 million per occurrence. A proposal showing $1 million per occurrence and $2 million aggregate does not match that stated limit. Ask about a different option or obtain clarification from the venue before purchasing.
What does the deductible change?
A deductible is an amount the insured may be responsible for under the policy’s terms when a covered loss occurs. Ask which coverage it applies to, how it is calculated, and whether defense expenses are included. A deductible preference on a request is not confirmation that the insurer offers it.
Some event products offer different deductible options or no deductible for specified coverage. Compare the actual proposals rather than assuming $0 is universal. The Hartford’s insurance glossary provides basic terminology, but your quoted documents control the details.
Are there other limits I need to check?
Yes. Ask about damage to rented premises, liquor liability, medical payments, and any other coverage included in the proposal. A headline liability limit does not mean every covered category has that same amount. Excluded activities remain excluded even when the limit is increased.
Also ask whether defense costs reduce the available limit and whether an annual policy’s aggregate is shared with other operations or events. If your event needs higher limits than the quote offers, discuss available options early rather than assuming an umbrella can always be added.
How should I compare the $1 million and $2 million options?
Request both on the same event description, dates, attendance, alcohol arrangement, deductible, and endorsements. Ask for the corresponding aggregate and any sublimits in each proposal, along with the total price. Then review the difference against the contract and your event’s circumstances.
Our venue paperwork guide explains how those terms appear in supporting documents. Request an event quote and select the per-occurrence limit you want reviewed. If the requirement is unclear or exceeds the choices, include the wording for follow-up.