With the arrival of warmer weather comes a time of year when many special events and festivals fill up community calendars. From food festivals and downtown block parties to celebrations of community heritage and holidays, many of South Carolina’s cities and towns have made names for themselves with the special events they plan and host. Even so, any event that draws a crowd can lead to some out-of-the-ordinary risk exposures for cities and towns, so officials and staff need to plan ahead to control the liabilities associated with events.
These are some general guidelines to keep event attendees, volunteers and vendors safe and to protect the city from liability exposure:
Determine how the event site will be controlled.
Event planners should consider everything from ensuring that any road to be used in an event is adequately and safely blocked off to vehicle traffic, to complying to the accessibility requirements of the Americans with Disabilities Act, to performing background checks on volunteers, and managing onsite consumption of alcohol.
They also need to think about how they will address the potential carrying of firearms by people who attend the events. The SC Attorney General’s office has found that the most recent state laws on the issue mean that local governments may restrict open carrying of firearms on public property — other than in a building — only during permitted events, and may not restrict concealed carrying even during such events. When municipalities choose to restrict the open carrying of firearms at an event, they must post signage indicating that open carrying is prohibited.
Clearly define the city’s role in the event.
It's also important to clearly establish the city's role in a public event. Is the city directly managing the event by exercising primary control over staff or a hired contractor for event services? Is the city a sponsor of the event, or is another organization, such as a service or civic organization, working on behalf of the city? The city's liability depends on what role it takes.
Develop a special events policy that outlines what activities are allowed.
The special events policy should also address if or how the city's name will be used in promotions, what coverage and limits of insurance are required, and what services will be provided and required.
Have a special events committee or coordinator help the city identify and address risks.
The committee can help develop effective risk controls, and can help decide what resources, special services or staffing may be required to handle the event safely. Parades in particular bring a specific set of risks, especially with vehicle and pedestrian collisions, and need to be carefully planned and coordinated ahead of time.
Make sure the city has proper insurance.
Require third parties, contractors and vendors to provide a certificate of insurance, name the city as an additional insured, and sign a hold-harmless and indemnity agreement. Get the certificate of insurance directly from the insurance agent. Require a $1 million minimum for general liability insurance for businesses and organizations participating in the event.
If a city property is rented for an event that isn’t sponsored by the city, require a $1 million minimum for general liability insurance.
Do this by obtaining a certificate of insurance. The SC Municipal Insurance Trust and SC Municipal Insurance and Risk Financing Fund offer GatherGuard, which provides low-cost general liability insurance for event rentals of a venue, protecting both the event host and the municipality as an additional insured entity.
Get a waiver or pre-event release from individuals participating in any sporting or participatory event.
Conduct facility or site inspections before and after an event to help prevent premise liability claims.
When hiring a contract event coordinator or contractor to handle a city-sponsored special event, the municipality should vet and screen the contractor to ensure the contractor has the experience and expertise to oversee the event. The city should obtain a copy of the contractor's certificate of insurance before the event and call to verify coverage with the issuing agent the day before the event.
Be careful not to exercise too much control over the event and the contractor, as this could result in the event no longer being considered to be managed independently.
Be on the lookout for activities that aren't covered by the city's insurance policy, and make sure that the contractor's policy covers activities excluded by the city's insurance.
Here are some activities commonly excluded by liability coverage:
- Bungee jumping and similar amusement devices
- Fireworks displays
- Skateboarding
- Parachuting and hang gliding
- Airplane, helicopter or ballooning rides and shows
- Archery
- Mechanical amusement devices
- Zoos
- Traveling carnivals and circuses
- Rodeos
- Trampolines and rebounding equipment, commonly known as bounce houses
- Concerts organized and promoted by third parties
For questions about managing special events risks, contact losscontrol@masc.sc.