Life Insurance, Vehicle Insurance, Health Insurance ect. are the common type of insurances which most of us have, if not at least we understand the value of each of them and their respective benefits. Have you ever heard of any Wedding Insurance Plan? I believe you must have. Knowing is different thing, but tell me, had you taken such policies last time when you had the marriage of your son/daughter or already planned to include such policies in the budget of coming marriage expenses? Answer is very well with you.

It will not be wrong if I say, as on today any marriage expenses are in six digits and above. Imagine a situation where a father who was quite aware about the spiraling inflation and understood the year on year increasing cost of any normal marriage expenses, thus he started investing from the day one when he blessed with a kid (say a daughter) and finally when the date of marriage is near, he incurs lot of expenses from the savings so far starting from printing of invitation cards to expenditure on clothes, jewelry, booking of venue, payments to decorators and the count of expense goes on.

Suddenly news comes about the unfortunate death of one of the family members in the bridegroom due to which the marriage has to postpone for uncertain months. Everybody will understand this unavoidable cause of the event, but who will compensate the financial loss of the father who spent lacs together for all these arrangements and finally the marriage is postponed. Who will manage to re-arrange the wedding? From where would the hapless father of the bride raise the money which was already spent in advance for the marriage? Really a tough situation, don’t you think so.

In the above case, the father did a very good thing by started investing from the birth of his child to reduce his financial burden, but he missed to take the repercussion of any unwanted cause seriously due to which the marriage could spoil and finally that is what happened with him. It would have very much possible to avoid such financial losses if the father would have planned for an wedding insurance as a priority expenditure for the marriage.

Just like any other insurance wedding insurance is exactly same whose prime objective is to covers your wedding and financially protects you against any unforeseen event.

What all does Wedding Insurance in India cover?

Wedding Insurance for instance covers against cancellation/postponement of marriage, personal accidents, food poisoning, fire, burglary etc.

Wedding Cancellation or Postponement: Cancellation or postponement of the wedding ceremonies due to fire and allied perils including earthquake, burglary & theft at the venue, death of the bride, groom and immediate family members.

Damage to Property & Personal Accident: Damage of property cover would include damage to the decoration at the home of the policyholder or at the venue due to fire & allied perils. In Personal accident cover the person including blood relation & relatives are covered against accidental death, permanent partial and permanent disablement.

Public Liability Cover: There is also a public liability cover in the wedding insurance plans wherein any compensation payable for damage to person or property due to food poisoning, accidents at the venue etc would be covered.

The insurance company also reimburses the expenses for printing the cards, advances given to book the wedding venue, advances to the caterer, decorator, as also for hotel room bookings and travel reservations. Jewelry, precious metals & stones, appliances also covered against thefts.

The wedding insurance plan comes as a package policy which covers cancelled/postponed, damage to property, personal accident, burglary, public liability etc in a single policy. One need not go in for all these covers. The insurance company offers a choice and you may opt for any or some of these covers. There will be separate premium amount for each cover which differs from company to company. While some insurers have pre-determined sum insured under each section, others give a free hand to the customer to decide the sum insured they want.

As per my information a wedding package policy with Bajaj Allianz that includes covers for wedding cancellation, property protection, personal accident, money and valuables for an amount of Rs 2 lakh each (totalling up to Rs 10 lakh) and a public liability cover (that insures your guests) up to Rs 10 lakh comes in a range of aprrox Rs. 2600 to Rs. 2900.

ICICI Lombard with higher sum insured of Rs 8-15 lakh too, under each head, example; covering for wedding cancellation alone for sum insured of Rs 5,00,000, will cost about Rs 5,000. A public liability cover of Rs 10, 00,000 with the policy will cost an additional Rs 10,000.

What is the claim procedure under Wedding Insurance?

For any insurance claim process, the compensation would be actual losses subject to the maximum of policy coverage (sum insured) amount. Following are the detailed process to be following while claiming such losses:

  1. First of all the Policy holder would intimate the insurance company about the loss.
  2. One receipt of such information the insurance company would send the surveyor to the site to verify and investigate about the event.
  3. Policy holder has to submit all the proof of expenses along with the FIR copy of the complaint registered in the police station in case of the theft/burglary.

Once the documents, bills has been submitted to the insurance company as well as surveyor’s investigation report has been sent to the insurance company, if there are no issues on documents and survey report, the claim amount will be sent to the applicant.

Few things to be noted carefully:

  1. Insurers have set limits for each item of expense incurred in a wedding so any amount of expenses cannot be claimed. It depends on the upper limit given by the insurer.
  2. While buying the policy, policy holder has to mention the family members name in the policy details.
  3. Any negligence, misconduct or insolvency will not be covered.
  4. Insurance company shall not be liable for material damage, or destruction of property caused intentionally by the policy holder or at policy holder’s direction.

There are so many other terms and conditions are the part of such insurance policies, you need to check these things before signing a contract so that you can avoid the future misunderstanding at the time of claim.

Today lack of awareness is one of the major reasons why these insurance plans have not been considered as a indispensable part of wedding budget. Even such wedding insurance plans are not being properly presented by insurance companies among the customers. There are several good wedding insurance plans are available with insurance companies that cover the entire marriage but they are not being presented adequately due to lack of knowledge among the agents. Insurance companies should  not only focus on higher revenue giving products, but also they should also look at promoting this type of products which has a large untapped market in India and necessity as well.

It is really an important type of insurance for those parents who are spending the life savings into their son/daughters marriage. If you really consider the large sums that are spent on marriage and keep the unexpected eventualities in mind which may ruin this auspicious occasion, then the getting a wedding insurance plan is a must for you. Don’t you think so?

Why do you need Wedding Insurance?

One thought on “Why do you need Wedding Insurance?

  • December 2, 2012 at 8:47 AM

    To be very frank I have never heard of such insurance. Thanks for the information. Its really very useful.


Leave a Reply

Your email address will not be published. Required fields are marked *

Read previous post:
How to file Income Tax Returns if the Taxpayer has expired?

There are several odd events due to which an assessee/taxpayer misses to file his/her income tax returns on time. He...