Filmmakers
who are preparing to make a film cannot begin work without first
obtaining production insurance. This insurance protects the production
company in case anything goes wrong on the set. The production company
is legally and contractually obligated to ensure that they are insured.
Special entertainment insurance firms specialize in this unique form of
insurance.
Production insurance covers the filmmaker in case of loss or damage to production equipment and ensures that if anything happens to delay or stop production, the film's backers will not lose their money. This insurance also encompasses workman's compensation.
Types of production insurance policy vary -- there are short-term policies which are used for a short, single production such as commercials, long-term policies which cover the production over a longer duration of time or an annual policy which is taken out for ongoing projects such as documentaries.
Production policies include general liability insurance, video equipment insurance and errors and omissions insurance.
Where to Go
To obtain production insurance the filmmaker must contact a film insurance company. These companies have experience with the issues and complexities of filmmaking and can provide the right production insurance for each situation. Filmmakers who have experience with this aspect of the production process suggest that a representative of the film's budget staff obtain quotes from several production insurance companies and then add a little extra onto that quote because the price often changes in the months between the initial organization for the film and the time that the actual filming begins.
Industry consultants suggest that a film company obtain a policy that covers at least one million dollars for locations and equipment. If a claim is filed this insurance will be paid out only after the deductible is paid so money should be set aside in the film's budget to account for any necessary deductibles. Errors and Omissions insurance is obtained after the film is completed.
More info about production insurance...
Production insurance covers the filmmaker in case of loss or damage to production equipment and ensures that if anything happens to delay or stop production, the film's backers will not lose their money. This insurance also encompasses workman's compensation.
Types of production insurance policy vary -- there are short-term policies which are used for a short, single production such as commercials, long-term policies which cover the production over a longer duration of time or an annual policy which is taken out for ongoing projects such as documentaries.
Production policies include general liability insurance, video equipment insurance and errors and omissions insurance.
Where to Go
To obtain production insurance the filmmaker must contact a film insurance company. These companies have experience with the issues and complexities of filmmaking and can provide the right production insurance for each situation. Filmmakers who have experience with this aspect of the production process suggest that a representative of the film's budget staff obtain quotes from several production insurance companies and then add a little extra onto that quote because the price often changes in the months between the initial organization for the film and the time that the actual filming begins.
Industry consultants suggest that a film company obtain a policy that covers at least one million dollars for locations and equipment. If a claim is filed this insurance will be paid out only after the deductible is paid so money should be set aside in the film's budget to account for any necessary deductibles. Errors and Omissions insurance is obtained after the film is completed.
More info about production insurance...
Thanks for the advice, very helpful and appreciated!Insurance
ReplyDeleteThere really is a lot more to any kind of insurance than what many may think. Even just finding a good policy is tough. That's why it took us forever before we finally settled on a plan from philippine prudential.
ReplyDeleteWith time, the insurance industry has evolved a lot and adapted to fit the needs of the individuals. The film production insurance is one live example. Such a form of insurance protection guarantees that the filmmakers don’t lose a lot of money to cope with the uncertainty of the industry. Equipment protection is a must for the film industry. If the costly equipments get damaged, especially during the outdoor shoots, the insurance compensates for the loss. This form of insurance ensures that the budget for the films (commercials, documentaries or features) doesn’t get trimmed in case there is a loss. Do you know, there’s cast insurance as well? Cast insurance pays for the losses in case the production loses a member of the cast or the director midway while filming is in process.
ReplyDeleteThere are a lot of insurance companies handling this kind of financing for film making nowadays. I do suggest getting into consultation first from these firms and learn a thing or two about financial programs. There are certification financial planners available online for easy access and easy consultation.
ReplyDeleteTo be able to ensure that your business will stand long you should know how to deal with it. One basic knowledge you should is the bankruptcy liquidation to be able to avoid your company from totally falling. But always remember that the best insurance to any firm or company is t0 handle and manage it correctly.
ReplyDeleteYes, that's what most people are saying when it comes to film industry. They say that there's no assurance that aspiring film producers will not be able to make it through the mainstream but I doubt that, I think they just have to produce a good and first class movie and have some asset protection strategies to be able to protect you and your future company if you're already in the brink of bankruptcy and yes, the best insurance still is to manage your business well..
DeleteThis is a very helpful post, i hope this really helps me to complete my project.
ReplyDeleteKind of risky to get that these days, to the point that you'll also need the service of loan modification lawyers in new york just in case you can't get the funds right.
ReplyDeleteThat's why there are a lot of franchise consultant for you to know how much Insurance you need to have in film production or in anything you are up to right now.
ReplyDeleteAll of the actors and actresses should have an assurance that they will be safe before and after the taping of set productions.
ReplyDeleteInsurance for everything activity for film productions is also a good idea to assured that every performer is insured. In perth video production you may do the unsual type of movie production that you want to.