Insurance question for paid shoots?

[ukglyn]

Hi all
Just got to thinking last night do photoghraphers have/need insurance? Like say a wedding photographer shoots a wedding & shots don't come out surely he is liable?

[jdepould]

Generally, most liability is waived in the contract. I have a standard line about "Jamie De Pould takes a great deal of care with respect to image loss, blah blah, but will not be held liable for circumstances out of his control." Something like that.

It's a good idea to carry liability coverage for accidents, you never know what might happen.

All of this is separate from your commercial policy covering your equipment. If you're working for pay, your homeowner's/renter's policy is probably null and void.

[ukglyn]

Thanks for the reply, I never thought of the clause in a contract, I take it that is legally binding so long as it is signed by the client then?

[jdepould]

Pretty much. I mean, they can still sue you for pretty much anything, but a contract will help you get a favorable verdict.

Yeah, suing you for bad performance is pretty hard. Even in the UK incident (bad photographer got sued), the photographer only lost part of his fee.

Accidents, on the other hand, can cost a fortune.

The first time I shot a wedding, I'm leaning over a balcony take photos above the wedding party as they walk down the aisle. It suddenly occured to me that my DSLR with my 2lb lens and external flash would hurt quite a bit if I dropped it 10 feet on to someone's head. I bought insurance the next week. It's $300/year, and covers all my equipment, $5000 in medical expenses, and $1,000,000 in liability (in case I get sued).

Another piece of biz advice I can give is to set up your business as an LLC (Limited Liability Corp). This basically separates your assets and your business assets. This means if your business gets sued and they win, you won't lose your house, car, etc...you'll just lose your business. You can even take it one step further and create 2 LLCs...one that owns your equipment and "rents" it out to your photography business. That would protect you and your equipment. Registering an LLC is cheap...I think it costs around $50, depending on your state.

[nokiN]

Originally Posted by ukglyn

Hi all
Just got to thinking last night do photoghraphers have/need insurance? Like say a wedding photographer shoots a wedding & shots don't come out surely he is liable?

Yes, business accident liability insurance, at $2 M is recommended. If you are a member of a professional organization like the PPA, your membership includeds (may include, if not PPA) indenity insurance as well as legal support throught the PPA's lawyers. E&O insurance can also be handy. (Errors and Omissions).

Equipment needs to be insured (replacement cost) as does your health and having both short term and long term disability coverage.

[kirbinster]

Great advice, with the exception of one minor error which really gets me going. An LLC is not a corporation, its a (L)imitted (L)iability (C)ompany.

Originally Posted by rt80639

Yeah, suing you for bad performance is pretty hard. Even in the UK incident (bad photographer got sued), the photographer only lost part of his fee.

Accidents, on the other hand, can cost a fortune.

The first time I shot a wedding, I'm leaning over a balcony take photos above the wedding party as they walk down the aisle. It suddenly occured to me that my DSLR with my 2lb lens and external flash would hurt quite a bit if I dropped it 10 feet on to someone's head. I bought insurance the next week. It's $300/year, and covers all my equipment, $5000 in medical expenses, and $1,000,000 in liability (in case I get sued).

Another piece of biz advice I can give is to set up your business as an LLC (Limited Liability Corp). This basically separates your assets and your business assets. This means if your business gets sued and they win, you won't lose your house, car, etc...you'll just lose your business. You can even take it one step further and create 2 LLCs...one that owns your equipment and "rents" it out to your photography business. That would protect you and your equipment. Registering an LLC is cheap...I think it costs around $50, depending on your state.

[candleman]

another thing..

a guy i work with who as significant "home busines" experience as a consultant told me
"never mention to a client that you have insurance, and if they ask.. be careful"
if they know you have insurance its setting you up to be sued

he (operating in the States) also told people he didnt have insurance, and when threatened with legal action he said "go ahead, all you'll get is my 12 year old honda".

not sure if thats sound advise... but the moral of the story is that there are people with no moral compas, and they will try to hitch a ride and get a payout.

[nokiN]

Originally Posted by candleman

another thing..

a guy i work with who as significant "home busines" experience as a consultant told me
"never mention to a client that you have insurance, and if they ask.. be careful"
if they know you have insurance its setting you up to be sued

he (operating in the States) also told people he didnt have insurance, and when threatened with legal action he said "go ahead, all you'll get is my 12 year old honda".

not sure if thats sound advise... but the moral of the story is that there are people with no moral compas, and they will try to hitch a ride and get a payout.

ROTFL.

The moral of the story is about people on both sides having no moral compass. A screamer. It brought tears to my eyes and my cheeks still hurt from laughing so hard.

Thanks! Priceless stuff.

[steamboatscott]

While an LLC is obviously a good idea, it doesn't protect you from personal liability. For example, if you're driving to a wedding and accidentally kill someone in a car accident, they can sue the LLC but can also sue you for personal liability. This is why it's always best to have the liability insurance for the LLC. Take careful note of your policy...often times it only covers the officers and/or managers of the LLC. In other words, if you have an assistant and he/she has an accident, the LLC is protected through it's structure (outside of the insurance) but that person is on their own.

If you do have assistants, definitely form an LLC. Otherwise, if they have an accident (like the car accident example), you can be personally sued because they are performing their service to your business.