What is the difference between a damage deposit and insurance?
These are two separate things. A damage deposit is not insurance.
A deposit is a temporary hold to cover minor, tangible and immediate issues that are related to the wedding. A deposit is held for things such as:
- Broken furniture (chairs, tables, decor etc.)
- Damage to walls, doors, windows or even floors
- Stains on carpets, upholstery and linens.
- Damage to washrooms or plumbing caused by misuse
- Excessive cleaning beyond normal wear and tear
- Garbage left behind that's not disposed of properly
- Biohazard cleanup (spills, vomit etc.)
- Wax, glitter, confetti and prohibited decor items
- Missing or damaged venue-owned items
- AV equipment
- Broken lighting, heaters or fixtures
- Unauthorized use of restricted areas
- Ignoring venue rules that result in added labour or damage
*** Damage deposits cover small to moderate, predictable costs and are refunded if everything is left in good condition 10 business days after the event.
Liability Insurance covers: (be sure to double check your policy with the carrier)
- Guests slips, falls or is injured
- Alcohol related incidents
- Vendor-caused injuries
- Injury to staff, guests or third parties
- Lawsuits and legal defence costs
- medical bills
- statements or judgements
- claims made months or years later
- Major property damage such as fires, structural damage, damage exceeding deposit amount, damage caused by vendors or guests outside couple's control
- A vendor causes damage or injury
- A family member "helping" act as a service provider
- Uninsured vendors creating exposure for the venue and the couple
Insurance protects people, assets and financial stability when costs go far beyond a deposit.
Why do we require both?
1 | Damage deposits: Operational Protection AND 2 | Insurance: Legal and financial protection
They are complementary not interchangeable.
Your damage deposit protects the space while your insurance protects you.