Cancellation Insurance with Covid Cover - What is it?

Cancellation Insurance with Covid Cover known as : Live Event Reinsurance Scheme

The U.K Live Events Reinsurance Scheme is a cost indemnification scheme which
makes it possible to buy insurance against the risk that a planned U.K based event is
unable to proceed due to new Covid restrictions in the U.K.

It has finally arrived, the details of how to insure against the risk of Covid 19 for your event is available for quotation but what should you know about the cover in the first instance?

Here are a few answers to some questions we think you might have already thought of:

  • What is the purpose of the scheme?
  • The U.K Live Events Reinsurance Scheme is a cost indemnification scheme which makes it possible to buy insurance against the risk that a planned U.K based event is unable to proceed due to new Covid restrictions in the U.K.
  • Can I buy insurance only in relation to Covid under the scheme?
  • Unfortunately not, you will need to incorporate this cover into a non-Covid cancellation policy with an insurer taking part in the scheme and via a broker that has access to one of the Insurers taking part of which Graham Sykes is one of them.
  • Where can I find the scheme rules?
  • The scheme rules are located on the following link –
  • When will the scheme run from and until?
  • The Scheme launched on 22 September 2021 and will run until 30 September 2022 with a review point in H1 Spring 2022.
  • If my event is postponed until after 30 September 2022 will it still be eligible under the scheme?
  • If the event was originally scheduled to take place within the scheme duration it will be eligible, as long as cover was taken out for the original event.
  • When do I have to purchase insurance for my event?
  • Cover must be purchased at least 8 weeks prior to the event (or first insured event of a series of events) taking place. This requirement will however not apply for the first 12 weeks of the scheme. All costs related to the event can be claimed, even if these costs were incurred before the date when the policy is purchased.
  • What type of event does the scheme cover?
  • The scheme will cover live events that are open to the general public and are physically located in the UK. This includes live music events, festivals, sports events, trade shows and business events. It also covers events such as AGMs, award shows and showcases, corporate events (as long as it is for a bona fide business purpose), graduation events. Private events such as weddings and parties would not be covered.
  • What will the Policy cover?
  • Cover is for entire cancellation/abandonment of the event due to government or local authority demanding shut down as a result of covid.
  • Will the scheme cover losses incurred due to Covid restrictions such as isolation or social distancing?
  • No. The scheme will not cover loss of revenue or event cancellation prompted by lower demand for tickets or venue capacity. The scheme does not cover self-isolation of staff or performers.
  • Will events that have received funding for the Cultural Recovery Fund (CRF) be eligible for this Scheme?
  • It is not possible to claim insurance and HMG support for the same costs. Any HMG grant which was specifically designed to cover the costs incurred in putting on an event which ultimately [fell within a lockdown / did not proceed due to Covid restrictions] and had to be cancelled or postponed would be deductible from an insurance pay-out. A more general government grant that all Live Events would have access to would not be deductible from an insurance pay-out. Any repayable HMG loan would not be deductible from an insurance pay-out.
  • Is there an excess for the scheme?
  • Claims will be subject to an excess of 5% of the value of the insured costs or £1,000 (Whichever is higher) per policy. When cover is taken out on a series of linked events, the excess will be applied on the policy as a whole.
  • What costs incurred are covered?
  • Policyholders can claim for all costs incurred (providing they purchase 8 weeks in advance of their event). For the first 12 weeks after the scheme launch the 8 weeks in advance does not apply.
  • Will the scheme respond to actions imposed by a local authority?
  • If the Local Authority, acting within its legal powers, cancels an event due to Covid related public health concerns then this claim will be covered. The LA action must be published or formally issued in writing to the insured or the event organiser, as per the scheme rules.
  • Can the sum insured be ‘floating’ across a number of events?
  • No. you will need to register a specific sum insured against each event requiring cover under the scheme. Any claim relating to that event cannot exceed the relevant sum insured.
  • Will the scheme respond if performers outside of the UK are unable to gain entry due to travel restrictions imposed by the UK Government?
  • No. Scheme does not respond to non-appearance of performers or artist.

But I still have more questions!

That is great, the list above was our best guess as to what thought might be uppermost in your mind, it was not an exhaustive list. Many questions you have may well be particular to your event, including the one that asks how much the premium is.

To get answers to these questions you just need to speak to one of the Graham Sykes Events and Festival team, we will be delighted to help you.

Call 01395 255 100 and ask for Covid 19 Event Cancellation