Why you really need Hospitality and Hotel Insurance

Workers’ compensation insurance covers medical expenses or reimbursement of lost wages to the employees due to an on-the-job accident.

From knife slips to ladder falls, employees make mistakes and fall prey to unpredictable accidents during catering events. Your catering business is liable to pay the medical costs and reimburse the employee for the loss of wages. Therefore, adding this policy to your catering business insurance is a must.

If your business owns a vehicle for business purposes, commercial auto insurance is a requirement. It bears the cost of third-party claims on bodily injury and damage of property.

Hotels usually own vehicles to pick up and drop off their guests while caterers’ own vehicles that transport their food. In the event of an accident, the business will be liable for any damage caused to all parties involved. This may be included in your catering trailer insurance. Some caterers even opt for mobile catering insurance since they operate from their vehicles.

Commercial property insurance covers damages to business-owned properties caused by perils such as vandalism, fires, theft, explosions, and burst pipes.  This policy provides equipment breakdown coverage for your business.

Casinos and hotels attract affluent people willing to spend, and they also attract thieves. While casinos see a lot of incidents of cheating; HG claims there are more accounts of theft than any other crime. Therefore, commercial property coverages are a must for your hotel business insurance. 

Commercial general liability insurance (CGLI) covers third-party damages caused by the operation or within the premises of the company. The policy covers claims such as bodily injury, property damage, and defense against legal actions.

Caterers usually operate in different hotels and event locations. Any damage caused by servers during an event could get the company in a messy lawsuit. For instance, if a server breaks a one-of-a-kind vase, CGLI could prove to be a big help.

Event insurance coverages can also come in handy for damages that CGL doesn’t cover during the hotel events. 

Employment practices liability insurance (EPLI) covers any claims against the business for illegal practices, including wrongful termination, sexual harassment, and discrimination. This policy is also known as employers’ liability insurance.

Due to a simple misunderstanding, employees could file a case and hold your establishment liable for such illegal practices. EPLI covers claims in these scenarios.

From cyber theft to data breaches, cyber liability insurance covers all risks of technology usage in a company.  

Hotels, motels, caterers, and casinos depend mainly on technology to keep track of guest information and enter payment details. Deloitte’s US Travel and Hospitality Outlook claims that in 2017 the hotel industry earned $185 billion in revenue. It’s quite apparent why the industry would be vulnerable to cybercrimes. Therefore, you may want to add a cyber liability policy to your hotel insurance programs. 

Commercial umbrella insurance extends the liability coverage over the conventional liability policies, such as commercial auto, property, and general liability.

For example, if a guest in your cruise ship falls and suffers from a brain hemorrhage, the claim may exceed the limit of your commercial general liability. In this case, getting an umbrella coverage helps in covering the remaining charges.

According to the dram shop law, businesses that sell alcohol are liable for any damage or injury drunk patrons cause. Therefore, such companies require liquor liability coverage, also known as dram shop insurance.  

One of the most profitable restaurants, Tao Las Vegas, earns 75% of its income from alcohol sales, according to Chron. Despite the high revenue opportunity, liquor liability can be a considerable risk for your hotel.  

There are countless environmental risks associated with owning, developing, constructing, and operating a facility. For these risks, pollution liability insurance covers claims from third parties against bodily injury or property damage.

Hotels, motels, and casinos commonly purchase pollution legal liability insurance to protect them from mold and air quality claims. The policy covers the cost of investigation, remediation, business interruption, and defense against legal claims.