When you opt to insure your hotel or leisure business with Insure 24-7, you are choosing a broker with years of expertise, experience and in-depth knowledge of your business. We know that no two hotels are the same; they will differ in size, clientele, location, amenities and ultimately, insurance requirements.
Insure 24-7 won’t just sell you a standard hotel insurance policy, we will provide you with the right level of cover to giving both you and your clients peace of mind and protection.
We have access to specialist markets that most brokers do not communicate with which allows us to provide you with an insurance quote that is bespoke as your business.
With any hotel insurance quote you should be considering five points:
After you have the fundamentals covered you then need to look at and understand any additional services that you offer that may require insurance, e.g. if you offer excursions you will need appropriate vehicle insurance.
Hotel insurance will depend on the sums insured and the level of risk. A multi roomed high-class establishment offering catering and outdoor pursuits will no doubt cost more than a 3 room bed and breakfast.
You could purchase an insurance policy that covers the bare minimum, but that isn’t what insurance is for; this is your livelihood and should be protected accordingly. Inadequate insurance could see any claim pay-out severely reduced or completely declined, not to mention legal action that could be taken against you by your employees and guests.
There are ways to reduce your insurance premiums which should be identified and highlighted to any potential insurer by your broker such as;
Hotels come in many forms, if you offer additional activities or consider your business to be more than ‘just a hotel’ then you will probably need specialist cover. Examples of hotels that require specialist insurance are those that offer additional activities and services, for example;
|· Paintball||Conferencing Facilities|
|· Weddings, Christenings, etc||Motor sports, quad bike and go karting|
|· Golf courses||Spas and leisure complexes|
|· Clay pigeon shoots||Fishing and water sports|
|· Cycling||Nightclubs and Bars|
|· Casinos||Concerts, shows and events|
|· Country clubs||Hotel Chains|
|· Listed buildings||Holiday parks|
Public Liability: Compensation for losses will be paid for utilising your public liability insurance, these will be losses and injury to third parties and their property. You may not think this is necessarily your problem, but it is your responsibility to ensure that your property is properly maintained and that risks are minimised. Cover for public liability typically starts at £2m but you may be required to hold more cover if you offer a range of service, or your council may insist upon it as part of your licensing agreement.
Employer’s Liability: This is a legal requirement if you have employees, similar to public liability, this insurance gives protection for your employees should they become injured at work. The cover will typically start at £5m.
Buildings Insurance: Will cover you for rebuild costs, obviously the larger the premises and the higher the specification will dictate how much cover you will likely need to hold. If you decide to self-insure the building, ensure that you factor in amenities, outbuildings and access
Average Clause: this is a clause to be aware of to prevent you from purposely underinsuring in an attempt to save money. For example, if your premise is worth £1m but you decide to only insure the premises for £500,000. If the building completely burnt down you would quite rightly assume to only receive the £500,000 that you insured, however, the same ratio could apply if the building only partial burnt down e.g. £500,000 worth of damage was caused, you would likely only receive £250,000
Business Interruption: This insurance coverage will pay you your outgoings such as wages and rent should your business be severally interrupted and unable to make an income. It is important to factor in what indemnity period you want. For example, if the premises need to be completely demolished and rebuilt, how long would this process take? Remember to factor in time for planning and consents to be given, as this will take longer than you think!
Contents Insurance: If it isn’t fixed to a wall, floor or ceiling then it’s classed as contents. You will want some form of insurance for decoration, furniture and stock but also remember your guest’s contents too. This insurance coverage will pay out in the event of a theft, fire or another insurable event.
Always check your policy wording, you may think you have cover until you try to make a claim, then find out you are not!
Accidental damage: You will more than likely be insured for fire and damage from burst water pipes on your buildings and contents policy but that probably won’t extend to accidental damage. If your premises are fitted out with expensive items such as paintings, carpets, elaborate curtains and high tech TVs, then you will probably be advised to look into accidental damage cover.
Theft by violent or forced entry: This is another misconception with hotel insurance. If a thief breaks in through a window or locked guest door, then you will probably be insured. However, due to the nature of hotels, the front door is usually unlocked and wide open. Thieves could walk straight through your front door and remove stock, electronics, cash from tills and computer equipment. Unless you meet strict security guidelines, you will probably be uninsured for this event.
If you would like to get hotel and Leisure insurance or require some expert advice about contractors insurance requirements, then give us a call today on 0330 555 6000 or alternatively use our online quote system.