Understanding Special Production Risks Like Planes, Boats & Animals

By Christie Mattull

Planes, trains, boats and sometimes, animals, too. When you’re doing something creative like shooting a movie, these elements can, individually or together, be scripted into the action. They may or may not require special insurance coverage. But a careful review is needed to uncover potential exposures and prepare you for their costs.

The No. 1 rule in production insurance is easy: Don’t mess with the creative. Finding ways when, for example, the producers of a movie decide to film real, large, exotic animals (think giraffes, hippos, etc.) stampeding through a real building requires tactfully explaining the large exposure to the client about the importance of taking on both animal mortality and additional liability protection.

The use of animals, planes, watercraft and the like are considered special production risks, and are important to be aware of when considering insurance coverages, as missing them can lead to potentially big exposures. A good practice is to review budgets and scripts, and double-check references.

These types of props don’t always require special coverage, but it’s important to know about them and how they’re actually being used so that sufficient coverage of the right sort is written. Among the most common:

• Aircraft. This can get complicated. Is the aircraft just sitting, engine off, with actors being shown getting on and off? Is the engine on, and the plane is just sitting? These are critical points in knowing whether to trigger aviation liability coverage. And, even if the plane is being rented, and the owner will provide insurance, the production should still secure it, too, for their own exposure if there’s pilot error or poor maintenance. The involvement of the director adds another exposure layer. If he’s on the plane as a passenger to evaluate a shooting site, the owner’s insurance is sufficient. But if the director is directing the pilot on where to go and has a cameraman on board shooting, too, aviation coverage is necessary.
• Watercraft. Are you using a 17-foot sailboat or a 150-foot yacht? What’s its value? Will it be used on a lake or on the ocean? These are among the considerations when a boat becomes part of the action. The general liability policy will usually cover boats up to 26 feet, and the production policy package can be amended to cover physical damage. The coverage amount, however, must be negotiated. Production insurance doesn’t necessarily cover all maritime exposures – individual watercraft coverage may be called for depending on the size of the boat and where it is being used. Even if it never moves from the dock, and is considered a prop, not a watercraft, there are exposures. And, another word to the wise: jet skis are considered watercraft, too, another exposure to be aware of.
• Railroads. The first step is to review the contract with the railroad company to see what’s required in terms of protection. General liability excludes work done within 50 feet of the railroad. If the railroad requires protective liability, the production needs to get separate railroad protective liability coverage. The train cars themselves might also merit coverage, but that would be more likely for a private railroad with vintage cars than for Amtrak.
• Animals. There are various risks when animals get in on the act, making it important to extend the liability policy to include animals. Some of the animal contracts may require animal mortality coverage, another important consideration given the added exposure for highly trained animals.

In the entertainment business, the savviest players factor production risks and ways to mitigate them into their plans. Sometimes there isn’t enough play in the premiums to cover the added exposures that the special risks may entail. Sometimes the solution is to go with higher deductibles. But being aware of the heightened exposures with such special production risks is the critical starting point.

HUB International’s team of Entertainment Insurance experts are ready to guide you on all the risk considerations that should be factored into planning for any type of production. Contact us today.