Say "I Do" To Wedding Insurance

Jeff Haden, BlackBird Images, Harrisonburg, VA

No matter how well you plan your wedding, things can go wrong - sometimes very wrong. Circumstances outside your control can disrupt or even postpone your special day: You or your fianc'e could become ill, extreme weather could damage your facilities, or you may lose a deposit made to a vendor who goes out of business. Think of it this way: In 2007 the average wedding costs a little over $25,000 - wouldn't you insure any other asset worth that much?

If you are planning an expensive or elaborate event, it makes sense to insure your wedding. Ask your insurance agent what policies are available -- some insurers offer wedding insurance in a Special Events policy. Or you can check out insurers that specialize in wedding insurance.

The premiums are relatively cheap when you compare them to the money you'll spend on the wedding. For example, WedSafe (www.wedsafe.com) currently charges about $200 for a policy that will pay up to $7,500 should your wedding be cancelled or postponed for "covered" reasons. For $35,000 in coverage, the cost is about $400.

By the way - in case you're curious, it costs about $1,000 to cover a $150,000 bash.

The heart of most wedding insurance policies is the cancellation and postponement coverage, which is the reimbursement you'll receive for all deposits and charges you've paid to your wedding vendors - assuming the insurer approves the reason for cancellation or postponement. The last phrase in that sentence is key: Just like any other form of insurance, take the time to understand exactly what will and will not be covered. Review the policy in detail to avoid surprises.

Here's a breakdown of the important features of wedding insurance policies:

Weather: If you're planning an outdoor wedding and it drizzles or is overcast, no matter how disappointed you are, try to smile and enjoy the day. But if extreme weather makes it impossible for anyone in your wedding party or the majority of your guests to attend, then your policy may cover you if you need to cancel or postpone. Keep in mind "extreme" means snowstorms, hurricanes, earthquakes, or other major events that close down airports, highways, etc. If extreme weather damages your wedding site - like if a hurricane flattens the reception hall - then your policy will cover the costs of rearranging your wedding plans.

A family or wedding-party member's injury or illness: If someone in the wedding party or your immediate family (parents, grandparents, siblings, or children) is injured or too ill to attend, your policy will pay the costs of postponing or canceling the event. But read this portion of your coverage carefully. Generally speaking, an illness or injury caused by a preexisting condition that occurred within the past 12 months will void this coverage.

A vendor goes out of business: If you're stood up by a wedding vendor you've hired, your policy will kick in. Note that a DJ not showing up isn't grounds for cancellation or postponement, though - typically your policy will simply pay you a set sum for the DJ's absence.

Rehearsal dinners, engagement parties, bachelor, and bachelorette parties: Policies typically don't cover any of the ancillary wedding festivities.

Runaway brides or grooms: Um, no. If the bride or groom decides to walk out before walking down the aisle, the insurance policy won't cover any of the deposits and costs you've already incurred.

Liability It makes sense to be insured in case someone is injured at your wedding. (For large and elaborate celebrations, the venue you rent for the wedding and reception will often require that you have liability insurance before reaching a deal with you.)

Some venues will offer to arrange liability insurance for you (typically at a markup for their trouble), or you can check out the liability coverage offered through your wedding insurance policy. Generally speaking, for about $200 you can get the coverage you need.

Wedding Rings

A wedding insurance policy often provides coverage if rings are lost or stolen during the period the policy is in force. You can typically purchase a wedding policy from two years to two weeks before the event; your coverage ceases after the event. Even if the policy will reimburse you for the cost of the ring - but keep in mind the coverage is tied to your level of cancellation/postponement coverage - you ring should be insured after the wedding, too.

The most cost-effective approach is to insure the ring through a rider to your existing homeowner's or renter's insurance policy. Don't assume that your policy's existing jewelry coverage is good enough: Typically it only covers theft. By adding coverage through a rider, you will be covered for all risks. If you lose the ring or it's lost in a fire, flood, or other disaster, your policy will kick in. You may even be covered if the stone falls out of your setting and is lost.

The average annual cost for adding a jewelry rider to your policy to cover a $10,000 ring is typically under $200. Make sure you have the insurance in place the day you walk out of the store.

The Bottom Line

Seek expert advice and shop around before you make a decision about wedding insurance. It may not be a tough decision, though; wedding insurance is relatively inexpensive, and like most other forms of insurance, even if you purchase a policy you hopefully won't need it. Hope for the best, plan for the worst - with a solid wedding insurance policy, either way you're covered.

Jeff Haden, BlackBird Images, Harrisonburg, VA
www.blackbirdimages.com