Hoteliers know that there is plenty of risk in their industry. Hotels are exposed to multiple varied risks because they have a lot of property, welcome many guests, and often employ a large workforce. For many good reasons, it is essential to secure the right hospitality insurance that covers common risks. To help you understand your highest exposures and how insurance can help, be sure your policy addresses these concerns.
Hospital Insurance Coverage Must-Haves
- Cyber Threats and Breaches
Hotels are now in the age where they send data electronically, receive online payments, and handle a vast amount of sensitive information. Mishandling a customer’s credit card number or employee data can have serious consequences. As soon as that information falls into the wrong hands, all your credibility is lost. Ransomware attacks can target electronic locks on hotel room doors, too, believe it or not. Hospitality insurance policies that cover cyber liability coverage may help protect against both online attacks and data breaches. This coverage can help to pay for ransomware demands, compensate affected guests, and cover legal expenses associated with covered incidents.
- Slips and Falls
With lots of people milling around your hotel, it’s important to keep it clean and free from obstacles. However, accidents happen. There is bound to be a time when a guest is injured on the property, whether they were running down the stairs and fell, they slipped on a wet floor, or otherwise. While some guests shrug off the incident and walk away uninjured, there are others that suffer from more significant injuries or are more assertive and blame your hotel.
If your hotel is found to be responsible for a guest’s injury, you may need to pay for medical costs, pain and suffering, lost wages, rehabilitation expenses, and more. Even if your hotel was not responsible, you may still face legal fees. General liability insurance helps your hotel face these costs. This is a coverage that your hospitality business cannot go without.
Even with a 24-hour reception desk, burglaries still occur at hotels. The hospitality industry is not immune to having property stolen or vandalized. Burglars may break into rooms, guests may take items from rooms, and vandals may deface common areas. When these situations do occur, your commercial property insurance can help your hotel recover. Covering theft and vandalism, make sure that this coverage protects your hotel’s building, secondary structures, equipment, and fixtures.
- Intoxicated Guests
Guests who have had too much to drink are at a greater risk of getting injured and injuring others on your property. Drink guests may also get into fights with others, cause sexual assault, or get into an accident while driving to buy more alcohol. Although intoxicated guests can be held responsible for their actions, your hotel may also be held liable if it served or sold the guests any alcohol. If your hotel offers alcohol, you need liquor liability coverage. This is specific coverage designed to protect against certain incidents involving intoxicated individuals.
ABOUT RMS Insurance Brokerage, LLC
Work with the right insurance agent to secure reliable hospitality insurance that addresses hotel concerns and risks. At RMS Insurance Brokerage, LLC, our expertly crafted policies are written specifically for the hospitality industry. We offer custom-tailored solutions to meet any venue’s specific needs. For more information, contact our knowledgeable experts today at (516) 742-8585.