Some time ago, I shared a story about an actual General Liability insurance claim. One of my clients spilled coffee on the carpet of an apartment, and the coffee leaked through the ceiling. Insurance covered the damage to the gentleman’s clothing in the apartment downstairs, but the damage to the carpet was not. The reason for this is because the insured did NOT have coverage for Third Party Property Damage.
I wrote a previous blog about Third Party Property Damage, and how it’s different from General Liability, but to delve into it further, I would like to provide a specific example of a Third Party Property Damage claim.
Third Party Property Damage covers damage done to the location where you are filming. Most people think that their General Liability policy covers this damage, but General Liability Insurance only covers damage done to the property that is NOT in your care. As soon as you take control over the location, you need to have Third Party Property Damage coverage to insure it.
True Story of a Third Party Property Damage Claim
One such claim occurred on the beautiful campus of the University of Washington. I had a client who was filming in the library which many students refer to as “The Harry Potter Library.”
The room has high vaulted ceilings and dozens of beautiful stained glass windows. My client began filming at night, as that was the only time the university let them film. However, they wanted to make it look like it was still daytime. So, they shined some bright lights through the windows. When they finished their filming, they turned off the lights and went home.
Unfortunately, the sudden change in temperature between the hot lights and the cold Washington air caused several large cracks to form on the glass window. This type of damage is the perfect example of why you need insurance because there’s no way you could see this coming. Nobody even TOUCHED the window and all of a sudden they had an insurance claim worth several thousands of dollars.
Thankfully, the insured carried coverage for Third Party Property Damage, and the university received quick payment for the replacement windows. Soon afterward, the insured was able to continue his shoot.
So remember the next time you’re filming at an expensive home, fancy university, or any other high-value location: You need to purchase Third Party Property Damage if you’re going to cover that location.
Call me and let me show you how I can be of assistance!
Luke Gelineau
