NEW YORK, April 29, 2011 – Your nuptials may not be as extravagant as the royal wedding of Prince William and Kate Middleton, but weddings can be extraordinarily expensive, so it is important to consider wedding insurance to financially protect your special day, according to the Insurance Information Institute (I.I.I.).
A survey conducted by the wedding planning website, TheKnot.com revealed that the average wedding in the U.S. costs about $27,800, while the prices of weddings in urban areas are reaching $40,000 or more.
"Wedding insurance is a form of special event insurance that provides reimbursement for non-refundable deposits in the event the wedding needs to be cancelled or postponed due to a natural disaster, death, illness, serious injury or other catastrophe listed in the policy," said Jeanne M. Salvatore, senior vice president and consumer spokesperson for the I.I.I.
Policies also provide financial protection in the event the caterer goes bankrupt, or the florist or photographer do not show up.
Several insurers offer wedding insurance. Some provide a package policy that includes a selection of coverages, while others offer a la carte coverage where you can pick among several options.
"Planning a wedding is a fun but emotional experience and purchasing wedding insurance can offer some piece of mind as the bride, groom and their families write check after check," noted Salvatore." In fact, some insurers even offer coverage for 'cold feet', providing someone other than the bride or groom is paying for the ceremony (generally the parents) and the couple breaks up more than 180 days before the ceremony.
Find out if the insurer is licensed to do business in the state where you live.
Determine how much the policy will cost and what specifically is covered and not covered by the policy.
Ask your agent or company representative what wedding related insurance coverage you may already have through your homeowners, renters, auto or liability policy.
Shop around and compare different wedding insurance policies for cost and range of coverages.
If you have any questions about wedding insurance, contact your insurance agent or company representative. He or she can help you determine if the coverage is right for you.
Furthermore, getting married is a major life event that should trigger a review of all of your insurance policies, including homeowners, auto and life insurance. You are not only merging two lives, but two households.
With most couples receiving numerous wedding gifts, it is also be a smart time to creat or update a home inventory. To help with this task, the I.I.I. offers Know Your Stuff, free online home inventory software, along with a video on the topic. And, don't forget that most wedding and engagement rings will need special coverage in the form of a floater or endorsement.