For your best business protection and savings, we recommend bundling GL with some other important coverages on one Business Owners Policy!
Recording studios help aspiring artists make tracks that can be sold at music shops or released on online channels such as Youtube. The audio production studio industry has grown 3.7% year-per-year since 2018. US recording studios generate an estimated $19 billion in revenue every year.
Something bad can happen in your recording studio. It’s possible for some to slip and fall or even get electrocuted. Musical instruments might also get damaged. You need a good recording studio insurance policy. This article will look at things you should know, including:
The inclusions in a recording studio insurance package
Their coverage limits
The cost of premiums
The best companies for recording studio insurance
| CoverWallet | NEXT (Best) | Thimble | Hiscox | The Hartford | |
|---|---|---|---|---|---|
| Per occurrence limit | $1,000,000 | $1,000,000 | $1,000,000/$2,000,000 | $300,000/$1,000,000 | $1,000,000/$2,000,000 |
| Aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 | $300,000/$2,000,000 | $1,000,000/$2,000,000 |
| Products and completed operations aggregate limit | $2,000,000 | $1,000,000 | $1,000,000 | $1,000,000 | $1,000,000 |
| Advertising injury coverage aggregate limit | $1,000,000 | $1,000,000 | $1,000,000 | $1,000,000 | $1,000,000 |
| Tenant’s legal liability coverage limit | $100,000 | $100,000 | $5,000 | $100,000 | $1,000,000 |
| Waiver of subrogation included? | Yes | No | Included | Can be included | No |
| Hired/non-owned auto liability coverage included? | Yes | No | Excluded | Can be included | Can be included |
| Equipment breakdown floater included? | No | Yes | Yes | Can be included | Can be included |
A general liability policy is a primary inclusion in a music studio insurance package. This grants protection if customers and other parties decide to sue your business for bodily injuries, property damage, copyright infringement, or reputational harm.Â
This type of recording studio liability insurance has a $1 million-$2 million per occurrence limit that can be used to cover the medical treatment of the claimant, the cost of the damaged property, and legal expenses.
 Some examples where you can use general liability include:
A customer slips and falls on a mat in your recording studio
A potential client has their cell phone damaged by malfunctioning studio equipment
If you are leasing the property and a customer causes damage to the building, your financial responsibility could be covered
The general liability policy included in a recording studio insurance package offers these add-ons:
Tools and equipment coverage–Protects against financial losses if studio equipment gets damaged or lost due to theft, fire, vandalism, and other covered perils
Customer property coverage-This overrides the CCC exclusion and allows general liability policy to provide reimbursement in case customer property that’s left in your watch gets damaged or lost
No, the law doesn’t mandate you get general liability insurance. However, some clients may insist on you having it before they do business with you.
| CoverWallet | NEXT | Thimble (Best) | Hiscox | The Hartford | |
|---|---|---|---|---|---|
| Per occurrence limit | $1,000,000 | $1,000,000 | $1,000,000/$2,000,000 | $1,000,000 | $1,000,000 |
| Aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 | $1,000,000 | $1,000,000 |
| Name additional insureds? | Yes | Yes | Yes | Yes | Yes |
| Waiver of subrogation included? | Yes | No | Yes | Can be included | No |
| License defense coverage included | No | No | No | No | No |
| Deductible | $500 | $500 | $500 | $50/$10,000 | $500 |
A recording studio insurance program will offer professional liability insurance if the owner or employee helps clients record their music or other audio. Professional liability covers liabilities from negligence, mistakes, or errors that a business makes from its services. Some of the times you can use professional liability include:
The studio manager hooks up equipment wrong, causing the final recording of a client to be bad and lose money
If a client sues the recording studio for not honoring a verbal contract, professional liability could cover the legal fees of this lawsuit
Extended reporting period add-ons are great for the professional liability policy of the recording studio insurance program. If you have a lapse in your coverage, you can still get a response to your claims. Another great add-on is a prior acts option, which covers mistakes you made before your coverage started.
Professional liability doesn’t cover intentionally malicious acts. If you intend to deceive or defraud a customer, you will not receive coverage.
