How does the No-Show coverage work?
Series - Meet the Members of the Powerful Triad of Audiovisual Insurance.
Hello!
Today we have a very interesting subject to share on this #MondayBlog!
Do you know the Audiovisual Production product well? Do you know what each coverage is for?
Well, if you don't have this knowledge yet, today is the day to learn a little more about this insurance. And if you already know, let's remember and solidify some important points.
In June, we had the post “Audiovisual insurance and project budget. Do you know the relationship between them?” on #MondayBlog.
In this post we address the issue of budget and its influence on some key coverage of audiovisual insurance. Today, the goal is to start talking about what we affectionately call the “The Powerful Triad” for audiovisual production insurance.
For those who don't know, this triad is formed by the coverage of No-show, Support and Extra Expenses. And all of them are coverages known as Diverse Risks and are based on the budget/cost of your project.
However, we will start with the No Show coverage. And we are sure that you have no idea how many advantages and possibilities this coverage has and how it can be used to save your production from major financial losses.
Without further ado, let's get to our main topic for today!
What is No-Show coverage?
The No-Show is a coverage that covers financial losses that may occur during its production due to the absence of a key person for the operation of the project.
Who should be considered a key person in a project?
Usually the most suitable people for this coverage and who have this characteristic are the directors and/or main actors.
Under what conditions can this coverage be triggered?
This coverage can be triggered if the person indicated in the coverage cannot continue filming, or is unable to film for a period due to death, illness, kidnapping, any bodily injury and even if a family member of that person, of the first degree, is stricken with a serious illness, may die or have an accident.
Everyone agrees that in any of the situations mentioned above, it is impossible or unlikely for anyone to be able to work.
Important care for people insured in No-Show
Before classifying a professional as fundamental in a given project, it is important to know if this person usually practices any activity that is considered high risk and that could result in temporary absence or even prevent him from continuing on the project.
If the person designated in the coverage did not inform you of the risk, and you did not inform the insurer, if she is injured, the financial loss for the paralyzed days will be all yours, as the insurer considers situations of this type as excluded risk.
Let's give you a true example of something that happened a few years ago. An audiovisual insurance was taken out and an actress was nominated for the No-Show coverage. In the middle of the project, the actress had a horrible accident, outside of filming. In fact, she was doing a play at the same time she was shooting the project, and she forgot to tell the production that in this play she was hanging from a steel cable, which broke in mid-flight, and she and the actor with whom she performed at said play fell on top of the audience.
Thankfully none of them had serious injuries, but this actress was unable to film for a week. Every producer knows what 7 days off means in financial terms. In this case there was no insurance coverage, but the joint work of the production with her broker and the insurance company were able to minimize the problem, the production was advised to film all the scenes in which the actress was not part of the period in which she was incapacitated, which resulted in less harm for everyone.
There are so many other exclusions, so keep an eye out and talk to Prospecto, we'll help you understand all the important points of this coverage before you decide who this fundamental person is.
Additional No-Show Coverage
The No-Show coverage was already pretty strong, but the insurance market tends to adjust and evolve with time and experience. This happens with any line of insurance. And it was no different in the audiovisual.
The No-Show got some additional coverages that made this coverage even more perfect!
Today, you can request the inclusion of the following coverages:
Additional Coverage for Ignored Pregnancy: the coverage works like this, the person you placed as insured in the no-show coverage did not know they were pregnant when they signed the contract with your production, however, because of this pregnancy the actress is prevented from completing or performing her role, whether for particular reasons of the pregnancy, or due to the birth of the baby. At this point, having purchased this additional coverage will be a huge relief.
Additional Coverage for Undeclared Person: This coverage is just wonderful. Because it guarantees coverage for financial losses due to the absence of someone from the cast or production team who was not included in the No-Show coverage. Either because of forgetfulness or because it didn't seem like a possibility. However, this undeclared person is important, and can be missed tremendously if he or she cannot move forward with the project.
Additional Coverage for Essential Person: an essential person, in this coverage, is someone essential to the financing of your production. In other words, we are talking about the commercial side of production. This coverage is directly linked to project financing and distribution.
If you have a person responsible for financing and the distribution contracts for your production, and the absence of said person could lead to financial damage and even loss of contracts, this coverage is a good option.
Additional Coverage for Animal Essential to Production: if you are going to do a project with pets, or if your project has a puppy, cat, parrot, which are part of the main scenes, this cover is for you. In the event that this animal is unable to continue filming, becomes ill, gets injured, suffers an accident, or dies, the coverage will be activated to mitigate the financial losses resulting from this loss of animal cast.
What did you think of this coverage?
Maybe you don't know it, but the Non-Appearance of key people is the cause of around 20% of shooting stoppages and their losses consume around 55% of the cost of their production.
Some examples of claims:
A director suffered a serious illness and production had to be suspended for 9 days, resulting in a financial loss of 1 million euros at the time.
Another production was stopped briefly when a family member of the main actress died, this brief break cost 200 thousand euros.
A director fell on the train on his way to the production site and broke his femur and suffered other minor fractures. This accident happened on the first day of shooting. Because of this accident, filming was postponed for 6 months with a loss of 1.8 million euros.
In the month of July of this year, we had several news of cancellations and/or stoppages of productions due to No-Shows, some of these cases we have already discussed here on #MondayBlog.
Let's remember?
1- Rogério Samora, 62, suffered a heart attack while recording a scene from the soap opera “Amor Amor”, in Lisbon.
2- Henrique Fogaça was injured on the MasterChef Brasil filming set and the day's filming was cancelled.
3- Korean actor Ji Chang Wook was diagnosed with Covid-19 and because of that, filming of the new Netflix series in which he is the main actor has been delayed.
There are many other examples of claims linked to the absence of someone fundamental to the filming continuity of the production.
Therefore, dear producer, there is an advice from Prospecto Seguros, include this coverage in your project's insurance.
If you have any questions, we are here to help you.
We look forward to seeing you in our next #MondayBlog!
Have a great week, lovers!
Prospecto Seguros
Learn more:
Claims that made the news in July 2021
Audiovisual Producion
Drones
Equipments
Errors and Omissions
Life and Personal Accidents