Wedding Insurance Articles

It sounds like every wedding planner’s nightmare. Of course they are all separate events at different weddings, but we have headlined them because they are common claims made against wedding insurance policies as reported by leading insurers in their latest statistics.

If you have ever watched those ‘bloopers’ programmes on television you will understand the nature of these events. They are unforeseen, extreme and usually catastrophic in their consequences. So, how does that square with weddings and wedding insurance? Well, we all know that insurance is there to protect us from the unforeseen, the extreme and the catastrophic. Unfortunately, the nature of the people planning weddings is such that the last thing on their minds when they are planning a wedding is what happens if it all goes wrong. What is more unfortunate is that it is exactly that which they should be protecting from day one. The best time to take out wedding insurance is when you first start planning and paying deposits.

So, what unforeseen events are we talking about? Insurance companies have recently released the most comprehensive statistics yet about wedding insurance and wedding insurance claims. There are some startling cases, which when you consider them in the cold light of day, they are not as daft as they first sound.

Ruined Dresses

Let us take, for example, the case of the lady who wanted the confetti to be made from real rose petals. What a wonderful and unique idea you may think. Unfortunately, the rose petals seriously stained the wedding dress to the extent that it was virtually ruined! Another bride-to-be tripped and fell whilst doing her nails. Not so bad you may think, except that she was wearing her dress for a rehearsal at the time. The nail varnish permanently damaged the family heirloom!

Deleted Photographs

These days, photographers tend to use digital photography. That is all well and good if they remember to make a backup copy of their photographs. Because of the way digital data is stored on discs or chips, it is easy for them to be lost or damaged. There was a recorded case of a photographer attending two weddings, one in the morning and the other in the afternoon. He somehow forgot to remove the disc from the first wedding and the photographs were overwritten by the second wedding! There was no way of recovering them and the bride and groom wanted to sue for the loss, but before they could, he went into liquidation!

Lost Rings

The old joke about the best man losing the rings is not as daft as it sounds. The best man in question attended the rehearsal and put the rings safely in his inside pocket. Unfortunately, the suits were changed and he exchanged his suit forgetting that the rings were left in the inside pocket. They were never found!

It is human nature to make mistakes that is why we have insurance to protect us against the unforeseen, the extreme and the catastrophic. Our comparison table lists a range of policies from a number of UK insurers and with premiums starting from around just £20, it would be silly not to take out cover.

An engagement ring is an instantly recognisable gift symbolising love, devotion, lifetime commitment and a romantic promise of marriage. So, how much should you spend on an engagement ring? Should you be waving goodbye to up to three month’s salary, or searching for a supermarket bargain?

It was not until after the war in 1947 that any particular price expectation was defined – DeBeers tried to boost diamond sales with the slogan ‘diamonds are forever’ and by suggesting that the equivalent of one month’s income should be spent on the engagement ring. This multiple later increased to two months’ income – in fact there are now many sources which suggest an expectation of up to three times the monthly income!

Of course, in today’s economic climate, this is simply not possible for many people. Remember also that buying the engagement ring is probably the first cost of many wedding related expenses, as most couples foot the wedding bill themselves these days. Ultimately, the amount you spend is up to you, and has to be decided on your own personal circumstances.

The symbol of love, devotion and commitment is the most important thing – it matters much less whether you save up 3 month’s income for a glittering rock, or you don’t spend a penny and use a family heirloom (like Prince William!).

Where to spend?

The best places to find good value jewellery is in the large city jewellery specialists, such as the Birmingham Jewellery quarter or London’s Hatton Gardens. By all means, buy from reputable online dealers but do bear in mind that some diamonds are bought from countries whose governments invest the profits in a less than ethical manner, so consider carefully the sourcing of your diamond.

Don’t give in to pressurised sales pitches and special offers – decide on a budget first and stick to it. Avoid impulse purchases, instead compare prices and don’t be afraid to haggle.

But if I spend more, I will be making a good investment for the future?

The original base value of any ring is marked up – often at least 100% plus VAT – to cover the shop’s décor, staff, heating, insurance, rent and so on. In addition to this, your investment has annual ownership costs such as insurance as well as annual maintenance required under the guarantee terms and conditions.

This means that even a high quality engagement ring may take decades to be considered as even a reasonable investment in true financial terms. The theory that a diamond ring is an investment seems to stem from the wartime era, as a last resort, the engagement ring could be pawned (for much less than it was worth).

Save or borrow?

If you know you are going to propose, then start saving now! Work out how much you can afford to put by each month, look at how long you have and hey presto, there is your budget. Historically, saving for the ring proved to the bride-to-be’s family that their potential son in law could save for their future home.

For those with good financial control and a good credit rating, when you have saved enough make your purchase using a credit card that offers cash back (and pay off the balance in full before any interest is accrued). Another benefit of buying using a credit card is that you automatically get consumer protection in case the company you are buying your ring from goes bust.

If you take out credit to buy your engagement ring without saving first, make sure you can afford the repayments, that you choose a card with a low APR and that you pay it back as fast as possible. An engagement ring should not saddle you with a lifetime of debt!

Insure your ring

Given that the average UK salary for 2011 is £26,200, three month’s take home salary would be in the region of £5,000! Even if you spend one month’s salary or less, you will undoubtedly want to insure your ring. Many home insurance policies will cover this, but check that your ring does not exceed the value for items taken out of the home, or that you do not have to separately insure jewellery items. You can also find specific engagement ring insurance. Whichever route you take, it is advisable to take photographs of the ring, its valuation certificate and receipt. Keep the documents in a fire proof box in your home and the photographs somewhere safe away from home.

But I still don’t know how much to spend?

It is true, no one wants to be seen as skimping on an engagement ring. The industry knows this, and plays up to it when encouraging people to spend more than their budget. Don’t get sucked in by the marketing hype – expensive does not necessarily mean that it is more beautiful. Which do you think your bride-to-be will be more interested in – a sparkling diamond that costs more than you can afford, or your romantic proposal to spend the rest of your lives together?

While a month’s salary is a useful rule of thumb, it is more important to stick within a budget that you can afford. The Beatles were quite right – “I don’t care too much for money… because money can’t buy me love”!

Diamonds are forever – how to know if you are getting good value

The most popular engagement ring is a diamond solitaire. If you plan to buy one, make sure you understand the basics of diamond ratings so you get the most value from your hard earned cash.

Cut: The most common shape is the round cut, but others include the emerald, the pear, the marquise, the princess, the oval and the heart shape. The quality of cut determines the brilliance and sparkle of the finished stone.

Colour: The most valuable and rare colour is white (colourless). Jewellers grade absolutely colourless diamonds with a “D”. Anything up to a “J” is considered colourless to the naked eye. Diamonds with a very strong and distinct colour are extremely rare and are called fancies.

Clarity: Also known as “nature’s fingerprints”, diamond inclusions look like small clouds or feathers but are usually invisible to the naked eye. The best rating is IF (internally flawless), the worst I3 (imperfect 3). As long as the stone is graded SI1 (Slightly Included 1) or better the clarity of the diamond is considered fine.

Carat: The average size of most engagement-ring diamonds is somewhere between one carat and half a carat –i.e. 100-200mgm. (Do not confuse carats with karats, the unit of purity for gold).

Choose carefully

Of course, if you are buying the ring before the proposal, you need to be fairly confident of your bride-to-be’s personal tastes and ring size. Make sure you check with the shop that an exchange is possible, the time-scale you must do this in, and that there is a fairly wide range of alternative styles to choose from within your budget. much depth as you are able to ensure you get the best value, regardless of budget.

A brief history

Although betrothal gifts date back as far as Roman times, it was not until the 20th century that the diamond engagement ring became commonplace. Indeed, before the end of the 19th century, the bride-to-be sometimes received a sewing thimble as a promise of marriage!

References:

Guardian
Wikipedia
ThisIsMoney.co.uk
WeddingChaos

With over 150 island to choose from, the Seychelles are home to the Vallée de Mai, claimed by some to be the original site of the Garden of Eden. Nicknamed the ‘islands of love’, honeymooners can enjoy sailing, diving, fishing and relaxing on pristine sandy beaches. The Seychellois people are a cosmopolitan blend of peoples of different races, cultures and religions, combining their distinct traditions and customs to create the vibrant island culture.

Things to do:

The island of Mahé boasts 65 silver beaches, with the small capital Victoria containing a remarkably large variety of restaurants, cafés, bars and casinos. Diners can experience authentic Creole as well as international cuisine. The Seychelles are home to UNESCO-designated sites, coral atoll Aldabra and Vallée de Mai, called the Garden of Eden.

Relaxing on the beach

Seychelles is famous for having some of the best beaches in the world, pristine and uncrowded. Various excursions will introduce you to the pleasures of glass-bottom boating, to marvel at the coral reefs and colourful fish. A choice of water sports is also available, ranging from deep sea diving sites to surfing the waves.

Island-hopping

Sixteen islands currently offer accommodation, and there are many opportunities to island hop between them. Travelling around the islands, you can discover national monuments, beautiful Creole houses, artists’ studios, national reserves and marine parks.

Natural Beauty

With almost half of the Seychelles landmass set aside as national parks and reserves, honeymooners can see animals ranging from the smallest frog to the heaviest land tortoise, all within the exceptional natural beauty of the islands.

As if that isn’t enough, the islands of the Seychelles also provide opportunities for activities such as golf, horse-riding and guided nature tours where visitors may enjoy some of the rarest species of flora and fauna in the world. As there are so many islands, it is impossible to list all of the possibilities offered by the amazing Seychelles. More detailed information is available here:

Places to stay

Mahé, Praslin and La Digue are the most popular islands. The 16 islands that have tourist accommodation range hugely to suit all tastes and budgets, ranging from sumptuous 5-star resorts to rustic island lodges to cosy beachside bungalows.

As idyllic as the Seychelles may be, sadly things can go wrong whilst you’re on honeymoon and you should really make sure you have adequate insurance before you travel. Honeymoon (travel) insurance as a minimum and if you’re getting married abroad too, you should really also have wedding insurance. Policies are generally very reasonable and given the vast sums of money being spent on both your wedding and your honeymoon, it really makes sense to make sure you’re properly insured.

It is considered a truism that romance rarely bothers about finance. Maybe that is why even with today’s access to all things media, there are still three quarters of weddings going ahead without any form of wedding insurance protection. With the majority of weddings now being planned by the prospective bride and groom as a opposed to their parents who would have taken on that job years ago, the financial burden and with it the associated risks, are now being undertaken by them. Coupled with the fact from recently released statistics that show that the average cost of a traditional wedding is still hovering around £15,000 makes the impact of disaster even more profound. As an ex-insurance underwriter, I spent the majority of my working life using statistics and probability to assess risks. That is how insurance was underwritten then and it has not changed a whole lot since. People planning a large financial investment like a wedding should look at the probability of some kind of failure and the consequences of that failure. That is how risks are assessed and the relevant levels of insurance are then taken.

The unfortunate part about weddings is in the opening sentence of this article! Call it rose-tinted glasses or what you will, but people engrossed in making wedding plans are less likely to want to consider the consequences of something going wrong. This is because of the remoteness of the event at that stage and the unlikely nature of the possible disasters. With all that in mind, let’s take a look at a case study from an insurance claim file just to show what can and does happen in real life.

The engaged couple had been saving for over two years and had accumulated a large sum of £18,000. Whilst this may seem a large amount, they both had big families, so had to have a venue that could accommodate them all, hence the costs. The venue alone had cost them £9,000 to rent for the duration of their reception.

Shortly before the wedding day, there was a fire that had started in the kitchens of the venue. It quickly spread to the rest of the building and by the time it had been put out, the roof had collapsed rendering it unsafe. It was therefore demolished with a view to rebuilding on the same plot. The couple, both of whom worked in finance related industries, had taken out wedding insurance, which paid for the loss of the deposits and towards the extra cost of as last minute venue that could accommodate them. Needless to say, that would have been impossible had they not had insurance.

The total cost of their wedding insurance policy was around £200, which might sound like a lot, but bearing in mind the overall costs of the wedding at around £18,000, it looked like a bargain after the event.

Critics will claim that wedding insurance is frivolous and it is true that quite often, your existing insurance will cover a lot of the things associated with a wedding. We have also mentioned in an earlier article about credit card Section 75 cover. However, none of these would have saved the couple above from a catastrophic loss, so hardly a frivolous expense in their case!

Take a look at our wedding insurance comparison table to see a range of policies that are on offer from a number of insurance providers.

Despite a general trend of decline in recent years, figures released by the Office for National Statistics (ONS) show an increase in divorces in the UK for the first time since 2003.

In 2010, ONS figures show that there were 119,589 divorces in England and Wales, an increase of 5% from 2009.

With around 230,000 marriages in England and Wales in 2010, this figure represents more than 50 percent of the number of weddings in the same period.

Some commentators speculate that the tough economic climate and recession in 2008 and 2009 put a financial strain on many relationships with many couples arguing about money and worrying about job prospects.

With many unable to afford to separate, we’re perhaps only now beginning to see a rise in the number of divorces that are a consequence of the tough global economy.

Insurance?

Whilst wedding insurance can cover you against unforeseen financial issues with your wedding, it doesn’t extend to ‘cold feet’ on the day or problems after you get married.

Perhaps surprisingly, a number of companies in the UK have sprung up offering some form of insurance against divorce. Following the trend across the Atlantic and even suggested by Ministers last year, divorce insurance can help to cover the legal costs of an expensive divorce.

It’s pretty unheard of at the moment, but if the divorce rate continues to rise and the Government scraps legal aid for divorce lawyers (as they’ve suggested they may do), we may well see sales of divorce insurance increase too.

It’s usually assumed that the vast majority of weddings take place in the warm summer months when there’s little (ok, less) chance of rain.

We thought we’d take a closer look at this and with the help of data from around 2,500 sales of wedding insurance made through CompareWeddingInsurance.org.uk, we were able to build up a very clear and accurate picture of those months that are popular for weddings, and those that aren’t.

Perhaps unsurprisingly, some 40% of all weddings take place in the traditional ‘peak’ summer months of June, July and August, the latter being the most popular month of the year for a wedding.

‘Off-Peak’ Weddings

What was surprising though was the number of weddings taking place outside of the peak summer season.

Many couples appear to be opting for out-of-season Spring or Autumn weddings, perhaps in an attempt to save some money and reduce their overall wedding spend.

As well as the ‘peak season’ appearing longer than expected, with large numbers of weddings in April, May, September and October, there are still significant numbers of weddings taking place in true ‘off peak’ months from November to March (20% Nov to March).

Christmas Weddings

A significant number are also having December weddings. There appears to be a winter blip in December, with most of the December weddings taking place mid way through the month, or between Christmas and New Year. From this, we surmise the reason for the relative popularity of December could be for several reasons: being able to take a longer honeymoon by including Christmas bank holidays and taking advantage of an already decorated venue and a festive atmosphere.

Whilst the vast majority of weddings appear to be taking place in and around the summer months, there’s certainly more of a spread than we were expecting to see and I think more of a spread than there has been in recent years.

Wedding Insurance

Whatever time of year you get married, we’d always recommend that you look into taking out a wedding insurance policy. In the winter months you could be at risk of snow disrupting your wedding plans and your wedding suppliers could go out of business at any point during the year.

Our comparison table lists a number of UK wedding insurance providers and can be sorted by both the cancellation cover provided and by premium.

Italy is a country of love and romance, cultural richness and breathtaking natural beauty. With so many famous places to visit – Rome, Pompei, Assisi, Genoa, Italian Riviera, Milan, Naples, Sicily, Tuscany, Vatican City and Verona – honeymooners will be spoilt for choice.

Things to do:

Rome is known as the eternal city, where you can wander among the ancient Roman ruins, through winding Medieval lanes and discover stunning Renaissance palazzi and fountains. Marvel at the incredible architecture of the ancient Roman monuments such as the Pantheon and the Colosseum. Throw one coin in the Trevi Fountain to return to Rome, two to fall in love with a Roman and three if you want to marry him!

Florence – a great city to experience quality Italian opera at St Mark’s, or take in the incredible views from the top of the Piazzale Michelangelo, where the romantics among you will love to watch the sun rise and set over this beautiful and historic city.

Venice is la Serenissima – Italy’s floating jewel. Experience midnight gondola rides along Venice’s Grand Canal, stroll over the beautiful Accademia bridge and enjoy the lovely views of the lagoon at Giudecca island.

Get away from the city life by visiting the islands of Capri or Sicily. Capri is home to Mount Solaro, accessible via a chairlift which will take you to the very top of the 1,932 foot mountain. Visitors to Sicily can discover the caves of Grotta del Bagno Asciutto, or simply relax on the beach.

Italy offers so many more opportunities for culture, romance and relaxation than I can include in a short article! For a more comprehensive list, Trip Advisor is a useful resource: http://www.tripadvisor.co.uk/Attractions-g187768-Activities-Italy.html

Places to stay:

Florence, Venice and Rome are considered to be the main cultural cities of Italy, offering a rich variety or art and architecture. Staying in the cities will provide honeymooners with a choice of many restaurants and hotels to suit any budget and taste.

The island of Capri, Sicily and the Amalfi coast offer an opportunity to escape the city hustle and bustle, with beautiful coastlines, boat trips and romantic beach resorts.

As always, as well as your EHIC, don’t forget your travel or honeymoon insurance. Your honeymoon is likely to cost you a few thousand pounds and you certainly wouldn’t want to be adding to that should something go wrong!

Groom Max Kay, 36, from Liverpool has admitted starting a fire at Peckforton Castle in Cheshire that caused £6m worth of damage.

The fire, which was started at 5am on the 19th June, took 100 firefighters 12 hours to tackle and resulted in almost 200 people, including 11 children being evacuated.

At Chester Crown Court, Kay admitted arson that was reckless as to whether life was endangered, but denied a count of arson with intent to destroy or damage property and to endanger life.

Judge Roger Dutton granted Kay bail but warned that a custodial sentence was “inevitable”.

The 19th Century Grade 1 listed castle is one of Cheshire’s most sought-after wedding venues with wedding packages costing £6,000 or more. It was bought by the current owners in 2005.

Wedding Insurance?

Even if the groom did have a wedding insurance policy, it’s pretty much a certainty that he wouldn’t have been covered under the public liability section of the policy as the fire was started deliberately.

However, public liability cover comes in handy should something accidental happen, like a guest spilling red wine over an expensive carpet or rug, for example.

Other couples who were due to be married at the venue in the months after the fire may well have been grateful that they took out a wedding insurance policy. If the venue cancelled their bookings as a result of the damage caused by the fire, they may have been covered under their policy for any additional costs incurred as a result of finding a substitute venue.

Wedding venue, Roseland Plantation in Ben Wheeler, Texas has gone out of business and closed its doors leaving brides, many of which have paid thousands of dollars in deposits without a place to get married.

Bride-to-be Courtnee Lowe, whose dream it was to get married at the historic Roseland Plantation, thought she was just six months away from marrying her college sweetheart. She paid the venue nearly $11,000 (£7,000), money she’s unlikely to get back.

Four other brides who had their weddings planned at the venue have also been notified of the closure.

This situation is a clear example of the need for wedding insurance. Had the couple been insured, they would have most likely been able to claim back the lost deposit from their wedding insurance company and used it to pay for another venue.

Recent figures show that four of the top ten claims on a wedding insurance policy in the UK are actually for suppliers going out of business, hardly surprising given the current economic climate.

The closure of the popular wedding venue in the USA is just one of many examples of small, medium and large wedding businesses that have suffered financial failure as a result of the global economic downturn.

Have you bought your wedding insurance yet?

Source: KLTV

Despite the best efforts of specialist wedding insurance websites, it seems that people are still getting married and spending thousands of pounds in the process without any form of insurance protection. Maybe in the `good ole days` when mummy and daddy paid for everything, it did not occur to the participants the huge financial risks being taken. Maybe that is why there are still three quarters of all wedding taking place totally unprotected. But it can’t be the cost that is prohibitive. A basic wedding insurance policy can be purchased cheaply at around £20 and will cover the main events up to around £5,000 worth of cover. So what can it be that is preventing people from doing the obvious?

Well, maybe the media could do a little bit more to emphasize that financial risks involved. For example, even in these difficult times, an average traditional wedding will set you back around £15,000. It seems a lot, but when you consider that the reception alone will cost around £4,000, it is not hard to achieve that figure and more. There are loads of programmes on television about weddings and how to plan, so why don’t they make more of an effort to highlight the virtues of wedding insurance?

A common claim on a wedding insurance policy is for cancellation or postponement. You might think that it is highly unlikely that you would need to cancel, but there are many examples in the insurance companies’ claims statistics to show otherwise.

Take the case of a couple about to get married. The bride was diagnosed with a serious illness which was treated straightaway. Unfortunately, such was the seriousness of her condition that her doctor was emphatic that she must remain in convalescence for at least 8 weeks! Needless to say they had to cancel their plans. Fortunately, they had wedding insurance which paid out over £4,000 in cancellation costs.

Then there was the sad case of the disappearing dressmaker! The bride had arranged and paid for her wedding dress to be handmade. You can only imagine the costs involved in something like that. You can therefore understand her consternation when she rang the dressmakers shop to arrange for her final fitting only to find that it had closed down, taking her money with it! These are not extreme cases, but everyday events from the claims records of wedding insurance companies. Luckily, again the lady in question was insured and was able to claim successfully on her policy.

You have to ask yourself whether you think it is worth paying from £20 to cover thousands of pounds of risk. We think we know the answer to that question.

Why not take a look at our comparison table to see what’s on offer from a number of UK wedding insurance companies.