THE 80s were in full swing when we decided to get into the nightclub insurance business.

‘Why then?’ we hear you ask.

Well, we were all pretty insurance-minded to begin with and then we heard that song by Wham (no, not Wake Me Up Before You Go-Go).

The one that goes: ‘Club Tropicana, drinks are free, Fun and sunshine – there’s enough for everyone.’

A great celebration of nightclub fun, you might think.

It also sent a shiver down our spines. Free drinks? What if an unsuspecting reveler chugs down the free booze, is sick and puts in a claim? What if Club Tropicana doesn’t have the proper public liability cover in place? They’ll have to play for the claim out of their own pocket. They’ll have to call a halt to the free drinks, not to mention the boast of ample ‘fun and sunshine.’

We knew something had to be done, so we set about putting together the best nightclub insurance policies on the market at prices that wouldn’t break the bank – okay, so maybe Club Tropicana had to knock the free drinks on the head, but they did make a great saving on employers’ liability cover and got excellent legal cover thrown in too.

With over 25 years experience in the insurance business, there isn’t much we haven’t seen (that includes the dodgy haircuts and questionable fashion).

We also know the main reasons why insurance companies will turn down nightclub insurance claims.

Insurance will form a large part of your annual budget, so don’t waste money by taking out a policy which will ultimately prove worthless when you need to make a claim.

One of the most common reasons for insurers not paying out on a claim is because the nightclub owner has not given all the relevant information needed when taking out the policy.

When filling out the application form, make sure you answer every question as accurately and honesty as possible. Unfortunately, saying ‘I forgot’ isn’t going to cut it with an insurer who is deciding whether to write you a cheque for potentially thousands of pounds.

You may think that your previous business interests don’t matter. However, if you fail to let your insurer know that you were once the director of a business, they may not look to favourably on a claim once you all of sudden remember that time you sat on the board of a now defunct company.

Naturally, as a business owner, you’ll always be looking at ways of cutting your costs. However, when it comes to nightclub insurance, you can’t afford to cut corners. If you underinsure your business, you may find that an insurer may dramatically reduce the value of any future claim or even flat out refuse to give you a penny.

In a bid to reduce insurance premiums, some nightclub owners may insure their business for an amount which is much lower than it is worth.

Underinsuring won’t only affect future claims, it could put your whole business into jeopardy.

If you are unsure about how much your nightclub is worth, get it valued before you take out nightclub insurance so you’ll have an accurate idea of the amount to insure for.

Insurers are quite interested in history, although they’re not really into visiting Stonehenge or reading up on the Battle of Hastings. They’ll always ask you if you’ve had any previous claims, usually within the last five years.

Again, you’ll need to be up front and honest and let them know about your claims history, otherwise they could reject any future claims.

Avoid heartbreak further down the line by getting your nightclub insurance right. Call us on 0207 731 3700 and speak to our VIP experienced team today.