Hospitality Insurance

Hotels, Resorts, and Insurance for the Hospitality Industry

There are many insurance needs required by the hospitality services industry, some of which could possibly be overlooked. The necessity of providing a safe and comfortable experience for families and individuals, some perhaps on a business trip, others vacationing with loved ones, but they all deserve the same level of care and attention when it comes to their needs and desires.

Many insurers devote a lot of time packaging insurance for the hospitality industry that will address the many unique risks faced by owners. There are significant legal issues facing the operators and owners of these businesses and all attempts are made to quell their fears by helping them to deal with the inherent exposures of the business. There are insurance agents and brokers who specialize in this industry and whose aim is to avoid selling hospitality insurance coverage with gaps that could leave policyholders uninsured or, potentially, under-insured and facing devastating consequences.

Concerns for hotel owners are in abundance

With so many people using computers while staying in hotels, the possibility of cyber crimes taking place, and data breach issues, are something that hoteliers have become painfully aware of, along with theft and burglary (as in the case recently of Kim Kardashian), as well as crimes involving physical injury, pollution liability, auto liability and so much more. There is coverage available to deal with all issues associated with running a business of this sort and it’s crucial to have coverage in place in the event of a claim or the possibility of lawsuits.

Problems may stem from improper coverage

Unfortunately, many hoteliers are not aware of many of the risks facing them and need help ensuring that they obtain the many policies that will help to properly insure their businesses. Most have little knowledge of the impact of exclusions and limitations that may be contained in some policies. A thorough review of their current portfolio will help to find these gaps and get them the broadness of coverage desired and ensure that they are fully covered.

The rewards of this industry go hand in hand with the challenges of running a successful hospitality venue. Your employees will reflect just how good your services are and help to secure repeat business for the years ahead. Securing the right coverage in regards to insurance for the hospitality industry is the first important step in this process.

Albuquerque Insurance Agency and Hospitality Exposures and Risks

Many in the hospitality industry are subject to risks and exposures in their daily operations.

Restaurants must address those risks generally associated with their line of work. The operational risks associated with these facilities include slips and falls, which are a common problem both for customers and employees. Patrons who are allowed to drink too much alcohol, or minors who are unintentionally served alcohol can present problems with the law and may result in lawsuits.

In addition, workers may injure backs, cut fingers, or be burned by hot liquids. Many operational risks associated with restaurants can be controlled through sound such as risk management strategies, such as rigorous cleanliness practices, employee education on safety practices, and protective devices, and sprinkler systems for cooking equipment. Still, without a sound coverage plan from an albuquerque insurance agency all of your planning and hard work could be for naught.

Strategic risk is more complex

Strategic risks include management decisions regarding new products, and emerging competition and planning issues. These are areas that need a great deal of focus and a sound strategy to deal with issues arising from these areas. Any Risk to reputation can be associated with almost any peril or event that occurs.

Recent outbreaks of food-borne illnesses have devastated food suppliers and restaurant chains even when it has only affected one location. Proper cleanliness is critical, but restaurants will also need to develop plans to quickly address unexpected disruptions. Maintaining (or regaining) customer confidence requires careful planning and communication.

Risks involving growth and expansion

You may decide to open a new restaurant, but this decision requires researching local economics, demographics, and changing customer tastes. Only then can you implement a change in direction that may increase productivity. As the industry continues to grow, you’ll likely face increased competition. In an effort to attract new customers and maintain current customers, you may venture into entertainment and catering. Theme restaurants have really gained popularity in recent years.

Restaurants are also faced with general economic risks such as unemployment, inflation, and changing population demographics. Highway construction, natural disasters, and weather conditions can all affect a restaurant’s financial stability.

You should consider risk management practices along with any strategic goals but an Albuquerque insurance agency can help determine what coverage will protect you in any scenario.