14 May Why Insurance Premiums are Skyrocketing in the Film & TV Industry

The business of storytelling has always carried risk — but in 2025, those risks are triggering sharp increases in insurance costs across the film and television industry. Whether you’re working with studio-level talent or indie crews, you’ve probably already felt the sting of rising premiums. Let’s break down what’s behind the price surge, which policies are getting hit hardest, and how smart producers are adapting.
________________________________________
🔍 What’s Driving the Rise in Insurance Costs?
1. Lingering COVID Fallout
• Pandemic-related shutdowns cost insurers billions.
• Communicable disease coverage is now rare and, when available, comes at a premium.
• Underwriters are still skittish about production delays from health risks.
2. Climate-Driven Location Risk
• Wildfires, floods, and hurricanes are pushing rates higher.
• Filming in California or other disaster-prone areas often comes with surcharges or exclusions.
• Insurers are now geo-scoring locations like a credit risk.
3. Civil Unrest & Global Conflict
• Protests, political instability, and war zones have made civil authority coverage nearly uninsurable in some areas.
• Travel and filming in parts of Europe, the Middle East, and even urban U.S. centers face tight restrictions.
4. Talent Risk (Yes, Your Star Could Cost You)
• The bigger the name, the bigger the risk if they fall ill, get injured, or become a PR liability.
• Cast insurance is now one of the most expensive lines of coverage.
• Aging stars or those involved in action-heavy scenes drive premiums even higher.
5. AI-Created Legal Headaches
• Using AI for voice replication, likeness, or scriptwriting is legally murky.
• Errors & Omissions (E&O) insurance now comes with AI-related exclusions or surcharges.
• IP lawsuits over AI-generated content are expected to rise, and insurers are pricing that in.
6. Workers’ Comp: The Hidden Budget Killer
• More claims, especially in non-union or freelance-heavy productions.
• Reclassification battles (contractor vs. employee) are leading to compliance nightmares.
• States like California and Georgia are leading in cost increases.
________________________________________
🧾 Which Policies Are Being Hit the Hardest?

• Production Package:  Increased theft, flood, fire, and location loss risks
• E&O (Errors & Omissions):  Copyright/IP liability tied to AI and content disputes
• Civil Authority Coverage:  Global unrest, shutdown orders, and denied access
• Workers’ Compensation:  Injury claims, legal disputes over worker classification
• Equipment/Inland Marine:  Losses during transit or due to extreme weather
• Cast Insurance:  Talent illness/injury, reputational damage

________________________________________
🎯 How Productions Are Adapting
In a tighter insurance market, producers are getting proactive:

• Bundling insurance through brokers to reduce total exposure and get better terms.
• Using captive insurance models to self-insure standard risks (mostly for larger studios).
• Avoiding high-risk shoot locations and moving productions to tax-friendly, climate-stable countries.
• Cutting back on stunts, complex set builds, or aging lead actors when budgets are tight.
• Shorter production schedules with tighter call sheets and leaner crews to reduce accident potential.
________________________________________
📌 The Bottom Line

Insurance is no longer just a line item on your budget — it’s a critical risk strategy that can decide whether your project moves forward at all. As creative risks grow and external threats multiply, savvy producers must bake insurance strategy into pre-production planning. Because in today’s landscape, if you don’t manage your risk upfront, you might never make it to post-production.
________________________________________
Need help planning your next production’s risk strategy? Contact Natasha Bobbit at 770-338-7392 for a free risk audit or quote review — because the best protection starts before the first scene.