Wedding Insurance ~ What is it and do you need it?
From time to time we have been asked our opinions on wedding insurance and while everyone hopes that things go off without a hitch on their wedding day, it might be wise to consider insurance. Especially if you plan on having an expensive wedding. We found an article on CBS Money that we thought would help you decide if you need it or not.
Originally Posted on CBS Money Watch By Farnoosh Torabi
Over the weekend I searched for wedding insurance options to understand how to best protect our investment. From experts at TheKnot.com I learned that basic wedding insurance — which covers the loss of photographs, gowns & tuxes, rings, and deposits — typically runs between $155 and $550. And you want to buy it sooner, rather than later: If you want protection against a hurricane or other major weather disaster, most insurers will require you to have purchased wedding insurance well in advance (and not when the cable media is talking about it and towns have evacuated).
Note that wedding rings are covered by wedding insurance plans — but not engagement rings. To protect your engagement ring against loss of or damage, you’ll need to get the item specially covered through your home insurance provider. My fiance and I just did this through Allstate.
One other thing to consider: General liability insurance, which covers up to $1 million for accidents at the event (alcohol-related and not), costs around $100 to $200. That’s not a bad bet: Considering the average wedding totals close to $30,000 these days, you may not even notice the extra cost — and you’d be protected if the party gets a little out of hand and there’s damage to the venue, or a guest’s car — or if someone gets sick or injured.
In the grand scheme of wedding planning, insurance could be the least expensive item on your to-do list. Seriously, our cupcakes will cost more.
WedSafe.com: Protection plans start at around $130 on WedSafe (a subsidiary of Aon, an insurance brokerage and risk management firm), depending on where you live. For example, for $275 I can buy a wedding insurance plan that protects us in case of cancellation or postponement, lost deposits, and more up to a total of $35,000, based on an online quote. For an additional $108, I can add a $1,000,000 liability insurance plan to protect us in case of property damage to the venue and/or alcohol-related accidents. Total: $383 — less than half the price of our save-the-dates.
ProtectMyWedding.com: Insurance purchased from ProtectMyWedding is provided by Travelers and is priced a little higher than WedSafe.com. A $35,000 Wedding Protector Plan that secures your investment in case of cancellation or postponement, costs about $300, according to my online quote. A $1 million liability insurance plan starts at $165. Total: $465.
WedSure: While the other insurance companies provide all-inclusive insurance packages that cover lost deposits for everything from the venue to the flowers, WedSure lets brides and grooms cherry-pick the specific items they want covered. You can even insure against a “change of heart.” My online quote was for a $35,000 policy insuring against a cancellation or postponement, covering non-refundable expenses related to the wedding or honeymoon — plus a $1 million personal liability plan. Total: $475.75.
Farnoosh Torabi is a personal finance journalist and commentator. She is the author of the book Psych Yourself Rich, Get the Mindset and Discipline You Need to Build Your Financial Life. Follow her at www.farnoosh.tv and on Twitter/farnoosh