Short-term production insurance provides comprehensive coverage for film, television, or commercial productions with budgets under $1,000,000 and durations of up to 60 days. It is designed to safeguard producers and production companies from unexpected losses, ensuring smooth operations even when faced with challenges. This insurance program is tailored to meet the unique needs of small-scale or limited-duration projects while maintaining affordability.
What Does Short-Term Production Insurance Cover?
Short-term production insurance offers a range of protections to ensure your production is safeguarded from financial risks associated with accidents, delays, or unforeseen events. Whether it’s damage to expensive equipment or legal liabilities, this insurance ensures peace of mind during the production process.
Here is the list of short-term production insurance coverage:
- General Liability
- Equipment Insurance
- Cast and Crew Insurance
- Property Insurance
- Errors and Omissions
- Production Delay Insurance
- Vehicle Insurance
- Weather Insurance
- Worker’s Compensation
- Set Insurance
1. General Liability
General liability insurance safeguards the production against third-party claims of bodily injury or property damage. For instance, if a bystander trips over cables on set or if equipment causes damage to a rented filming location, this coverage ensures your production is protected from potentially crippling lawsuits. It also covers medical expenses for the injured party and legal defense costs, making it an essential policy for every production.
2. Equipment Insurance
Equipment insurance is critical for protecting both rented and owned gear, including cameras, lighting, sound systems, and other production tools. Film equipment can be expensive, and damage or theft can derail a project. For example, if a camera is dropped during a shoot or if lighting rigs are stolen from a storage van, this policy reimburses the cost of repair or replacement, ensuring production continues smoothly.
3. Cast and Crew Insurance
Cast and crew insurance provides financial protection in case of injuries or illnesses that occur during production. If an actor gets injured on set or a crew member suffers a medical emergency while on duty, this policy covers medical expenses and any related costs. Additionally, it can provide compensation for production delays caused by cast or crew unavailability due to covered incidents.
4. Property Insurance
Property insurance protects the physical assets essential to your production, including sets, props, costumes, and rented locations. Whether it’s a fire on set that damages props or accidental water damage to a rented studio, this coverage ensures that you are not left with out-of-pocket costs to repair or replace these critical items.
5. Errors and Omissions
Errors and omissions insurance is vital for protecting your production against legal claims related to intellectual property, copyright infringements, or defamation. For example, if a character or storyline unintentionally resembles a real person or if copyrighted material is used without permission, this coverage can help with legal fees and settlements.
6. Production Delay Insurance
Production delay insurance helps cover financial losses caused by unforeseen delays, such as adverse weather, technical equipment failure, or cast illnesses. For example, if rainstorms disrupt an outdoor shoot and delay production, this policy can cover additional costs for rescheduling, extended equipment rentals, or overtime for cast and crew.
7. Vehicle Insurance
Vehicle insurance is specifically designed to cover cars, vans, or trucks used during the production. This includes damages caused by accidents or theft of vehicles while in use. For instance, if a production van transporting equipment is involved in a collision, this insurance will help with repair costs and any third-party claims.
8. Weather Insurance
Weather insurance offers protection against financial losses caused by weather disruptions. For example, if heavy rains or strong winds prevent an outdoor scene from being filmed as planned, this policy can cover additional costs such as rescheduling fees, renting alternative locations, or extending the shoot duration.
9. Worker’s Compensation
Worker’s compensation provides benefits to employees who are injured or become ill while working on the production. This can include medical treatment, lost wages, and rehabilitation costs. For example, if a crew member falls while assembling a set and requires hospitalization, this policy ensures they receive the necessary care without the financial burden falling on the production.
10. Set Insurance
Set insurance protects temporary and permanent sets against damage or destruction. Whether it’s accidental fire damage to a custom-built set or vandalism at an outdoor filming location, this coverage ensures the financial resources are available to repair or rebuild, preventing delays in production.
What Does Short-Term Production Insurance Doesn’t Cover?
While comprehensive, short-term production insurance has its limitations. Understanding what isn’t covered helps avoid unexpected expenses and ensures proper planning for alternative safeguards. Below is a detailed look at the key exclusions:
- Pre-existing Conditions
- Faulty Equipment
- Uninsured Risks
- Personal Belongings
- Uninsured Vendors
- Legal Costs
- Post-Production Issues
- Act of War or Terrorism
- Lack of Proper Permits
- Unpaid Talent or Crew
1. Pre-existing Conditions
Insurance does not cover any problems or damages that existed before the policy was activated. For example, if equipment was already damaged before the policy’s start date, any related repair or replacement costs would fall outside of coverage. Producers must ensure all equipment and conditions meet acceptable standards before obtaining insurance.
2. Faulty Equipment
Using defective or improperly maintained equipment is another exclusion. If a piece of equipment malfunctions due to pre-existing issues or neglect, the policy will not cover the resulting damages. For example, a faulty crane used for filming that collapses will not be insured if its failure was due to improper maintenance.
3. Uninsured Risks
Events or activities not specifically listed in the policy are excluded. This can include stunts, pyrotechnics, or other high-risk scenes unless explicitly covered. Productions involving such elements should purchase specialized add-ons or additional coverage to mitigate risks.
4. Personal Belongings
The insurance policy excludes personal property of cast and crew members, such as phones, laptops, or personal tools. If a crew member’s personal camera is damaged or stolen during filming, they would need to rely on their own insurance policies for compensation.
5. Uninsured Vendors
Vendors or third parties not covered under the production’s policy are also excluded. For instance, if a lighting contractor damages their equipment during a shoot and they don’t have their own insurance, the responsibility falls outside the production’s coverage. Producers should verify that all vendors carry their own adequate insurance.
6. Legal Costs
While the policy may cover some legal liabilities, lawsuits unrelated to covered claims—such as defamation or breach of contract—are excluded. For example, if a character portrayal in a production sparks a libel case, the production would need separate legal protection to handle associated costs.
7. Post-Production Issues
Any problems that arise after filming, such as delays in editing, distribution issues, or disputes over creative decisions, are not covered. For example, if a delay in editing leads to missing a release deadline, the financial losses incurred would not be part of the coverage.
8. Act of War or Terrorism
Damages or losses resulting from acts of war, terrorism, or civil unrest are not included in the standard policy. Productions in politically sensitive or high-risk areas might need to purchase additional specialty insurance for such situations.
9. Lack of Proper Permits
Filming without the required legal permits can result in fines or forced shutdowns, which the policy will not cover. For instance, if a production is halted because it failed to secure a location permit, the associated costs fall on the production team.
10. Unpaid Talent or Crew
Disputes or disruptions caused by unpaid cast or crew members are excluded. If production halts because actors or crew walk off the set due to non-payment, this is considered a managerial oversight and not a risk covered by insurance. Ensuring timely payment is crucial to maintaining a smooth workflow.
Who Buys Short-Term Production Insurance?
Typically, the owner of a production company or the producer overseeing the project purchases the policy. They are responsible for ensuring that all aspects of the production, including locations, equipment, and personnel, are adequately insured.
Why Do You Need Short-Term Production Insurance?
Short-term production insurance is essential to protect against unexpected events that could lead to significant financial losses. It covers everything from on-set injuries and damaged equipment to copyright disputes and vehicle accidents. Without it, even a minor mishap could derail your production and leave you facing steep costs.
How Much Does Short-Term Production Insurance Cost?
The cost of short-term production insurance varies depending on the production’s budget, duration, location, cast and crew size, and the type of venue. For productions with budgets under $1,000,000, the premium is often affordable. Quotes can be obtained quickly, making it easy to find a policy that fits your needs without extensive comparison shopping.
Is a Short Term Production Insurance Policy Refundable?
Most short-term production insurance policies are not refundable, so it’s crucial to finalize your shoot schedule before activating your policy. Additionally, it’s advisable never to begin production without insurance in place to ensure full protection from the outset.
