This week marks the 2016 Democratic Convention, which convened at the Wells Fargo Center in Philadelphia on Monday and runs through Thursday. States holding the Presidential Nominating Conventions are purchasing multiple types of insurance to reduce risk management.

InsurancePhiladelphia purchased “law-enforcement liability insurance,” according to the Philadelphia Business Journal. The coverage is intended to protect the city in the event of protests that result in allegations of police brutality or civil rights violations. The same news report indicates that a Maryland-based insurance brokerage firm is working with the DNC to provide insurance relating to general liability, automobile coverage, event cancellation, terrorism and other convention-related risks.

Last week the 2016 Republican National Convention was held in Cleveland, Ohio from Monday through Thursday.

Up to 50,000 visitors were expected in the Cleveland area, including almost 5,000 primary and alternate delegates, 15,000 media representatives, and an anticipated 11,000 permit-holding demonstrators. The Quicken Loans Arena was home to the convention, and the “Event Zone” included the convention facility as well as surrounding streets, sidewalks and public grounds.

A long list of prohibited items was being enforced by Cleveland police, including but not limited to large pieces of lumber; metal, plastic or other hard materials (including coolers and ice chests); rifles, knives, pistols and other personal weaponry; explosives or fireworks; drones; aerosol cans; and backpacks.

A Cleveland panel of risk-related officials reportedly accepted a recommendation of AON Risk Services to spend $10 million in premiums for a $50 million policy, according to the Associated Press. The initial suggestion to pay $1.5 million for a $10 million policy was increased following concern about threats of terrorism or other forms of violence.

Cleveland agreed to purchase liability insurance as part of its hosting contract with the Republican National Committee. reports that the city’s general liability and property damage insurance policies will be provided by multiple unidentified insurance companies.

Also, CNN reports that up to $93 million in federal money is being devoted to heightened security at the two conventions on a combined basis. Funding is expected to be used primarily for police force overtime and additional security equipment.

About Special Events

While events with the magnitude of a presidential nominating convention are infrequent, special event insurance is a longstanding risk-management service. Every day, insurance carriers are protecting trade shows, musical events, sporting events, fairs and large social events across the country.

Typical clients of special events include business trade associations, sports teams, entertainment promoters, schools, religious and charitable organizations, civic groups, and recreational associations.

Special event risks generally involve general liability coverage, liquor liability, property insurance, and auto liability, among other types of protection.

Risk factors at special events may include but are not limited to the use of bleachers or grandstands, types of buildings in use, the presence of pyrotechnic devices, and the presence of security forces.

Commercial General Liability Insurance Policy Expertise as an Insurance Regulator

Bill Hager has extensive and substantive experience relating directly to special event and commercial general liability insurance policies, including interpreting policy language and determining the insurer’s obligations under such policies.

As a regulator for eight years in five positions ((i) Assistant Attorney General assigned to the Department of Insurance, (ii) First Deputy Commissioner of Insurance, (iii) Iowa Commissioner of Insurance, (iv) Administrative Law Judge, and (v) Executive and Member of the National Association of Insurance Commissioners), Mr. Hager, along with his staff, approved (or disapproved) of the language of insurance policies used by each of the 1,000 property casualty insurance companies doing business in the state of Iowa.

This regulatory action also included the approval of most all policy application forms and policy forms themselves. In addition, Mr. Hager regularly served as an Administrative Law Judge in matters relating directly to liability insurance policies.Click on the link to read more about Mr. Hager’s experience.


Material for this article was taken from a collection of industry sources relating to the subject.

In all of the general statements here, see the state law of the controlling jurisdiction. Every case is different and circumstances vary widely depending on the governing state law, policy provisions, and related considerations.

This blog is provided for educational purposes only. It is not intended to provide legal advice or an opinion in regard to any topic discussed. The blog should not be used as a substitute for legal advice from a licensed attorney in your state.