How can you protect your hospitality business?

Hospitality is a large area that includes enterprises such as cafés, restaurants, bars, clubs, tour operators, hotels, and various types of lodging providers, among others. While maintaining a lucrative hospitality business is possible, there are a variety of potential problems that might negatively impact the company's bottom line. Because of this, it is crucial that hotels and other hospitality businesses have adequate coverage through their insurance policies.

COVID-19 has had a substantial impact on numerous hospitality enterprises, resulting in revenue losses, layoffs of employees, and even insolvency in certain cases. While hospitality insurance may appear to be difficult or restrictive at first glance, there are several perks and solutions available to help you stay in business.

A few examples of the options you'll find in most policies are as follows:

Features of Hospitality Insurance

Standard cover

General Liability 

If you own or operate a business of any kind, you will require General Liability Insurance coverage. A General Liability Insurance policy protects the insured against financial loss resulting from bodily injury or property damage occurring on the insured's premises. This often covers the expense of defence. The most typical types of claims we encounter are those involving a slip-and-fall on the insured's property. This would be covered by your General Liability Insurance policy if you have one.

Liquor Liability 

Dram Shop Laws are now in effect in 43 states, as well as the District of Columbia. Liquor Liability Insurance is required by law for any business or corporation that sells or serves alcoholic drinks, including beer and wine, and is required to have this insurance. Liquor Liability insurance is similar to General Liability insurance in that it provides coverage for bodily injury or property damage caused by an intoxicated person who has been served liquor by the insured. In the nightlife and hospitality industries, this type of insurance is critical, and without it, your company is putting itself at great financial danger.

Assault & Battery 

The majority of the claims that we get in the Nightlife and Hospitality Industry come under the category of Assault and Battery. In the event of an attack or violence, this insurance will cover third-party liability. Coverage is provided from one customer to another or from one employee to another.

Commercial Property Insurance

      I.         Building Coverage. This encompasses the structure of the building as a whole, including the foundation. If you own the building in which your company is located, you will be required to get this insurance. If you rent the space where your business is located, you should check with your landlord to make sure they do not demand you to carry Building coverage as well.

     II.         Business Personal Property (BPP). This includes anything inside the building that can be physically removed from the premises. It is critical for business owners to understand the worth of their materials in order to ensure that their assets are effectively protected.

   III.         Business Income (BI). After a covered property loss, Loss of Income insurance will give compensation to an insured if they are forced to move their business for an extended period of time. These funds will be used to assist pay for specified ongoing expenditures that are covered by the policy, such as payroll expenses, taxes, and mortgage payments, among other things.

KEL Insurance

KEL Insurance had its start in the Nightlife & Hospitality Industry in New York City. The Hospitality Industry continues to be one of the most challenging industries in which to get quality insurance, and we happen to be experts at finding it for our clients in this industry.