Entertainment and Insurance

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Insuring a production First, let's take a look at the companies behind a production. Production companies come in all shapes and sizes. For example, production companies can be: Major studios Mini majors Independent producers of theatrical and television productions Producers of documentaries, music videos, commercials, and so on Insuring a production takes more than just knowing the company that is putting the film together; of particular importance as regards insurance is knowing the source of financing for the project. Financing could come from a major studio, from an independent producer, from producers of other media, or other sources. The financing organization requires protection of their investment by proper insurance and would require evidence of insurance. But what is proper insurance? Just how would they protect their investment? For example, you can't insure for a bomb at the box office but you can insure against the set blowing up causing bodily injury and property damage. Those interested in production insurance should consider the following: Production Package Errors & Omissions Workers' Compensation Loan Out Corporations Guild Travel Accident General and Auto Liability Cost of production The cost of production is very important as the production cost dictates the premium. That is, the deposit premium is charged based upon the estimated cost of production. The insurer will look at the Gross Production Costs versus Net Insurable Production Cost (NIPC). The calculation for the policy premium also depends on the type of production. The insurance policy is subject to audit at the end of the production. The key to writing entertainment insurance Identify exposure Know markets Offer quick turnaround time Offer 24/7 service because that's what's expected

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Not only are policy forms, clauses, rules and court decisions constantly changing, but forms vary from company to company and state to state. This material is intended as a general guideline and might not apply to a specific situation. The authors, LunchTimeCE, Inc., CEfreedom, and Insurance Skills Center, and any organization for whom this course is administered will have neither liability nor responsibility to any person or entity with respect to any loss or damage alleged to be caused directly or indirectly as a result of information contained in this course.