Think of what can go wrong — insurance companies have a list and the answer.
Getting ready for the grand wedding? But hold on. In today’s uncertain times, it is best to buy an insurance policy that will cover it for any unforeseen events, like rain or fire. And, even if the groom or bride cannot arrive in time.
Insurance companies are working out packages to tap the estimated Rs 70,000-crore-a-year wedding industry. Bajaj Allianz already has an insurance plan, which gives comprehensive cover for marriages. ICICI Lombard General Insurance is working on a similar policy. At present, it has a common event policy, with marriage insurance being a part of that. Similarly many general insurance companies sell covers for wedding under their event policies.
Wedding insurance, as popularly known, provides cover for cancellation or rescheduling of a wedding due to damage to the property or set and decoration, accident to bride or groom, or if the ones to be wedded cannot reach the hall on time. It also covers burglary and public liability, such as food poisoning.
“With the scale of weddings becoming bigger by the day, we recommend clients to take this policy,” said Dipa Sheth, co-founder of Occasionz Unlimited, an agency that plans weddings.
She pointed to several instances where a wedding insurance could have saved money for the clients. Sheth recalled an outdoor wedding in Mumbai last month, completely spoilt due to heavy rain caused by Cyclone Phyan. When spending on weddings is upwards of Rs 25 lakh, excluding the jewellery, one should go for insurance, she felt.
Between the two private insurance companies, only Bajaj Allianz General Insurance has a dedicated wedding insurance cover. These are for a sum assured of Rs 2 lakh (premium of Rs 2,252), Rs 4 lakh (premium of Rs 4,004), Rs 6 lakh (premium of Rs 6,232) and Rs 8 lakh (premium of Rs 8,273). Someone looking for a cover between these amounts will have to go for a customised policy.
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Most policies remain in force for a week. “But it can be extended if the customer can provide genuine reasons, such as events planned for over seven days,” said T A Ramalingam, head - underwriting, Bajaj Allianz.
The underlying product for this cover is the cancellation of wedding. This could be on account of damage to the venue due to fire and other natural calamities such as earthquake, floods and so on. But most products offer risk coverage to other events, too. These include personal accidents to groom, bride or close relatives, and public liability if there is food poisoning or someone files a court case against the family in relation to the marriage.
All companies also cover burglary of cash and jewellery, provided they are stolen from a safe or locker and the theft is not carried out by a family member. Clothes, too, are covered under this policy.
However, there are some exclusions, as well. No company provides cover if the wedding is cancelled or rescheduled because of family disputes or if a minor is getting married.
Companies also have their own specific exclusion. Bajaj Allianz, for instance, does not provide cover if priests, performers, speaker, etc do not come. Similarly, it does not reimburse train or flight tickets for the family or any of the guests, if the wedding is cancelled.
Nita Dhruva, a marriage insurance agent, said customers should also be ready for some obvious exclusions. “The insurance companies exclude deluge during monsoons,” said Dhruva.
Before you decide to go for the insurance, there are formalities the customer needs to complete. The companies need details of all the expenses, with proof and receipts of the things the person seeks to cover. This also includes valuation certificates for jewellery. Also, the blood relatives to be covered under personal accident policy need to be specified.