Bumper show issue - Gift Focus magazine

a stitch in timeNow is the time of year the giftware industry will be busy gearing up for tradeshows, like Autumn Fair International at Birmingham’s NEC. However, whilebusy making preparations, it’s worth taking time out to consider the insuranceimplications. Neil McFarlane of insurance brokers T.H.March & Co Ltd advisesThere are many and various problems thatcan occur especially in light of frequentmisunderstandings over the level of coverprovided under standard insurance policies.For exhibitors there’s the risk associatedwith attendance at the trade fair itself. Thesecome under various headings:Stock and Trade stands, fixtures andfittings: Does your policy extend to coverattendance at trade exhibitions? If so, is theextension sufficient to cover the values at risk?Commercial policies are traditionally subject toan underinsurance condition which means thatif you insure for 50% of the value taken to theexhibition any claim will be reduced by 50%.Public Liability: Have you notified yourinsurers that you regularly attend tradeexhibitions, as there may be an exclusionwithin your policy. Also, a number of exhibitionevent organisers demand a minimum level ofcover of £5,000,000. Whilst this can oftenbe purchased separately it is often cheaperto increase the limit under the annual coverrather than take out small extensions to coverthe two or three exhibitions attended.Loss of Profits: Does your policy providecover for loss of profits arising from problemsat the event? Most policies will not and dorequire specific extension. This cover is notwidely available but some insurers will givecover. For example a fire on your standcausing damage to property which leads toa loss of profit arising from the event can beinsured. Again – you will of course need tohave told your insurers any events that youare attending.As an exhibitor you spend a great dealof money preparing for an event but whathappens if the event is cancelled or abandoned70 giftfocusdue to a fire or flooding at the exhibitioncentre? Insurance is available from severalmarkets to cover the loss of expensesincurred if an event is unavoidably postponed,abandoned, cancelled or relocated as a directresult of an event entirely beyond your control.In addition, cover is available for potentialexpenses that may arise from your inabilityto open your stand or space due to physicalloss or damage to the venue or your ownexhibits during transit or from delays in arrival.Naturally there are various exclusions whichapply to this form of cover but the generalinsurance offered does cover the majority ofsituations which could arise. That said, if theevent is held in the open then understandablymuch of the cover is not generally available."As an exhibitor you spend agreat deal of money preparing foran event but what happens if theevent is cancelled or abandoneddue to a fire or flooding at theexhibition centre?"For the retailer visiting exhibitions - theyoften travel long distances and may take alaptop, mobile phone and personal propertyalong. But if your laptop is owned by thebusiness, does the business policy providecover for the laptop outside the businesspremises? Cover is readily available at minimalcost. Personally owned property can easily beinsured as an extension to home insuranceunder a standard extension - providing coverfor personal possessions outside the home.This would include for example, loss or theft ofitems from a hotel room, from a parked car oritems surreptitiously stolen whilst talking to anexhibitor. Beware, however, that some policiesmay exclude cover entirely if left in unattendedvehicles or may require the laptop to be keptin a locked boot or glove box."Personally owned property caneasily be insured as an extensionto home insurance under astandard extension - providingcover for personal possessionsoutside the home."These claims do occur. A T.H. March clientattended an overseas fair and whilst he was indiscussion with an exhibitor, put his briefcaseby the side of the chair only to find that bythe end of his conversation it had disappeared.The briefcase contained a laptop, mobilephone, wallet, credit cards, plane tickets andreceipts of expenditure. This not only causedinconvenience but the total value of propertystolen totalled over £1,000, and all this wouldhave been covered for an annual premium ofjust £10.If in doubt seek advice, which T H March& Co Limited is happy to provide, especiallybearing in mind that policy wordings can varybetween insurers, so it’s imperative to ensurethat you have requested the appropriate levelsof cover. gFurther informationT.H. March is a well-established familybusiness founded in 1887. With offices inLondon, Birmingham, Manchester, Glasgow,Sevenoaks and Yelverton near Plymouth,the company has departments coveringhousehold, motor, travel, commercial andscheme insurance. To find out more visitwww.thmarch.co.uk.