There is absolutely no question that you should have insurance for your photo booth business—no exceptions! Having insurance is what separates the hobbyists from the professionals. Considering the different types of companies you could start, from bungee jumping to lunar exploration, the photo booth business is comparatively low-risk in terms of personal injury or property damage claims. The whole point of insurance, however, is to protect you against things that you hope will never happen.
If you are just getting started in the photo booth business, you may be thinking “how could a guest possibly get injured using my photo booth?” Well, trust us, injuries are always a possibility. People can fall, hit their heads, cut themselves, or find some other creative way to hurt themselves. And when alcohol’s involved, you never know what will happen.
Additionally, an increasing number of venues are requiring proof of insurance from their vendors as a means of protecting themselves from lawsuits. Don’t limit your opportunities! Getting business insurance for your photo booth business is easy! To help you do that, here’s the LA PhotoParty guide to photo booth business insurance.
Photo Booth Insurance
An insurance policy is made up of different components which cover various aspects of your business. When searching for a plan, you do not want to select your insurance based exclusively on price, because lower prices usually mean less coverage. You never want to be left in a situation where you lack coverage for a loss. Also, you should always contact a broker to make sure it adequately covers your specific business. Because each company is different and requires different levels and types of coverage.
Basic Types Of Photo Booth Business Insurance
- Liability Insurance will cover, for example, if someone trips over your equipment and hurts themselves. It is the basic type of insurance that most venues will require. Consider seeking between $3,000,000 to $5,000,000 in general liability coverage for your photo booth rental business. While this amount may seem excessive, the reality is that personal injury claims can quickly skyrocket – especially if an injury has long-term ramifications. If a person, for example, is injured and you are held liable, the costs for any medical bills and rehabilitation, or even counseling can easily run into the tens-of-thousands of dollars. You should also ask your insurance company whether they charge for additionally insured clients – our suggestion is to choose an insurance company that does not, as these costs can quickly add up. If you are a little confused as to what exactly and additionally insured client is, don’t worry. Basically, it is anyone who is insured by a plan that is not the actual policyholder.
- Equipment Insurance covers equipment that is lost, broken or stolen. This is another essential part of your insurance policy as an owner because your equipment is your lifeblood. In case something happens to it, you want to be protected.
- Indemnity Insurance, also known as Errors And Omissions Insurance, covers mistakes. Say, for example, something goes wrong, and you lose a client’s memory card with all of the event’s photos on it. Or, perhaps your hard drive crashes and all of your photos are lost, leading to your client filing a suit against you. Indemnity insurance protects against loss and any expenses required to defend yourself (so long as you have done your due diligence)
As you will likely be transporting your photo booth from event to event in your personal vehicle or trailer, for insurance purposes, the personal vehicle is now being used for business. As such, you should advise your insurance company. Unfortunately, they may raise your rates, but without proper notice, if something were to happen you may become liable.
Photo Booth Insurance as an Advertising Advantage
Having insurance for your photo booth business is not only professional, but it’s another way to separate yourself from the competition. Most fly-by-night companies will never have insurance because it takes effort and cuts into their profits. You can capitalize on this through advertising on your website and business cards saying that you are “fully insured.” as well as having certificates of insurance (COI) ready to provide clients with proof of your insurance coverage.
Now that you know all about photo booth business insurance, check out our products and party planning service at LA PhotoParty to take your business to the next level!