Insurance In The Film Industry

Looking at all the damage Larry and his band of misfits do in their movies, it begs the question – can movie sets and film producers ever get sued? Are they held liable for damages ever and if so then how do they deal with such situations? A quick search online revealed that there have been instances in the past when movies, actors, directors and many other folks on set have been sued or held liable for something or the other.

So, the question is what kind of insurance does a movie need? Who offers this and is it a package deal? I mean, most of us probably know what a car insurance is or even a life insurance but few even are aware of a motor trade insurance (just think of it as a wholesome cover on anything related to the sale and service of cars and vehicles in general). Let’s take a closer look at one key insurance package for the film industry called “Production Insurance”.

There was a time when filmmakers hardly took insurance but now almost anyone making a movie or a short film tends to take a production insurance. There are three reasons why producers take such covers.

Legal Reasons

Many countries and states require that a filmmaker or production company carry with them some kind of insurance. This includes worker’s compensation insurance but is not limited to just the one. However, it does help anyone on set who gets injured to continue getting paid while they are treated and not to mention the cost of treatment too is covered. Such insurance cover is necessary for any film crew and its mostly mandated by law.

Contractual Reasons

Contracts are aplenty in the film industry and having an insurance in place is basically one of the clauses in many contracts.

Asset Protection

While this might sound a bit complicated, it is actually pretty simple. All your production equipment, assets are protected with such an insurance. Loss of assets or damage, liability for those who work in the crew – are just a few of the things covered.

Now, typically film production insurances are an annual kind of thing and best estimate is that of a general liability cover. If production and distribution goes beyond a year, the production house has to increase for yet another year. Some providers though do offer extensions on existing policies.


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