Ensuring Your Hotel or Resort is Properly Insured

How confident are you that your hotel or resort insurance adequately covers your operational risk? As you are fully aware, the hotel and resort industry brings a very specific set of potential risks and liability exposure. With appropriate insurance, however, these risks and exposures can be significantly mitigated and managed for your ongoing business success.
Your resort or hotel will require many particular components to keep you protected from the associated risk factors. How confident are you that you have adequate protection on your property right now? Have a look below to learn more about typical hotel and resort insurance, where you may find coverage gaps, and how to get the best possible coverage for your business.

Hotel & Resort Insurance Basics

A typical hotel and resort insurance package will likely include the following components:
Liability Insurance

• Third Property Damage & Bodily Injury Claims Protection
• Personal Injury Protection for Non-Bodily Claims
• Medical Liability for Related Injury Treatment Costs
• Contract Liability – Written & Oral
• Advertising Liability (e.g. Protection from Slander or Libel)
• Guest Property Liability Claims
• Professional Liability for Hotel Services

Property Insurance

• Accounts Receivable for Destroyed Payment Data
• Cleanup of Discharge from Cooking Fire Protection Equipment
• Signs, Landscaping, Fences & Related Outdoor Components
• Power Failure Provisions(e.g. Payments for Spoiled Food)
• 2015 SEOGuests’ Personal Property
• 2015 SEOEquipment Expenses due to Property Damages
• 2015 SEOResort/Hotel Computers, Media & Devices

While these are frequently included in many standard policies, always check to see exactly what is covered in your own policy. Furthermore, make it a point to determine what isn’t covered as well. Knowing this fact can help you close the gaps and get supplemental or additional coverage that your hotel or resort may need.

Additional Liability Options for Hotels & Resorts

• Business Income Losses: You may want to include this option for situations where you could have a measurable income loss. This may include problems that prevent guests from staying at your property, or other issues that affect your revenue.
• Commercial Automobile: If your hotel or resort uses any type of commercial vehicles, such as airport transportation, this liability insurance should likely be included.
• Crime-Based Insurance: This coverage can add an additional layer of protection for damages or losses as a result of crimes committed on your property.
• Liquor Liability: If your resort serves liquor, included liability coverage can keep you protected from damages and losses related to this component of your business.
• Commercial Umbrella: This option will keep you covered for any type of catastrophic problem that may extend beyond the scope of your normal policy.

Finding the Right Hotel and Resort Insurance Solution for You

While there are many ins-and-outs of resort and hotel insurance, one aspect is common throughout this area. When you’re determining your specific needs, you must pay attention to everything that your specific operation encompasses. Even just one oversight could inevitably lead to a significant amount of losses or additional costs.
When you work with a trusted insurance source, you can expect a more comprehensive approach to your insurance determination. This type of dynamic will give you peace of mind that your risk will be mitigated as much as possible. Even better, it will help you rest easier knowing that you won’t have any gaps in your coverage that you may have missed otherwise.
All information provided in this blog is for informational purposes only. The sources used are presumed accurate. CITA Insurance Services, Brown & Brown Program Insurance Services, Inc. and Brown & Brown, Inc. will not be liable for any errors, omissions, losses, injuries or damages arising from its display or use and will not assume responsibility for any misguided information. No guarantees are implied.