The Fyre Festival fallout continues to spread as the company CEO was recently arrested. He allegedly defrauded investors who bought into Fyre Media Inc which is the company behind the festival. Now the festival’s disastrous lesson might have a negative impact on all festivals going forward.
Bloomberg has published an article examining the impact on the insurance industry that Fyre might have. Festivals need to carry insurance for a variety of reasons, cancellation, injuries, weather, etc. The way the Fyre Festival blew up in such an epic proportion frightens the insurance industry. Now, lesser known festivals without the pedigree of a global conglomerate company like Live Nation or AEG behind them might struggle to get insurance. If those companies can’t get insurance, the smaller festivals may not be able to get off the ground in the first place. Check out the full article below.
Source: Bloomberg