Company insurance is intended to safeguard the financial assets of a business owner and is a vital investment for a campsite.
This article will discuss the primary insurance coverage for campsites, general liability insurance, as well as additional policies that are appropriate for this industry.
Campground General Liability Insurance
Every firm, regardless of sector, has risks that should be insured. General liability insurance is the most frequent and comprehensive form of coverage that company owners purchase.
General liability insurance covers the following risks:
Physical harm
Damage to property
Medical expenses
Legal defence and decision
Personal and commercial harm
While general liability insurance is not legally needed for companies, operating without it is exceedingly dangerous. If your company is sued, you might face costs in the hundreds of thousands of dollars (or more). The only way to avoid this sort of catastrophe from destroying your organisation is to have an adequate general liability insurance coverage in place to assist pay for these losses.
Common Situations That A Campgroundy’s General Liability Insurance May Cover
Example 1: If a visitor to your campsite gets harmed as a result of inadequate care or upkeep around a fire pit and/or grill, you may be held accountable. In the event of a lawsuit, their general liability insurance would most likely cover their injuries.
Example 2: A camper launches their boat from the designated boat launch. However, the boat launch was not correctly moved in the spring, resulting in damage to their boat. Repairs will most likely be covered by general liability insurance.
Example 3: Many contemporary campsites include supply shops and general stores where guests may refill their goods. If a camper slips and falls on a newly cleaned floor, your general liability policy will most likely cover their injuries.
Of course, this is not an entire list of risks covered by a general liability insurance policy, and certain situations may result in a specific peril not being covered. To minimise coverage gaps, it’s always better to speak with your agent about the terms of your policy.
General Liability Insurance Cost
The typical campsite in the United States pays between $450 and $1,500 per year for $1 million in general liability insurance.
The cost of your coverage will be determined by a number of variables. Among them are your:
Location
Deductible
Employees’ number
Per-occurrence restriction
The overall aggregate limit
You may be able to get general liability insurance at a lower cost if you buy it as part of a business owner’s policy (BOP) rather than as a separate policy. A business interruption policy (BOP) is a more complete option that covers numerous types of coverage, such as business interruption and property insurance.
Other Types of Coverage Required by Campgrounds
While general liability insurance is the most crucial, there are various different types of coverage to be aware of. Other forms of insurance that all campsites should have are as follows:
Insurance for Commercial Vehicles
All cars used in the course of your company must be protected by a commercial auto insurance policy. If you are involved in an accident while driving your company car, your personal insurance will not cover any losses.
Insurance for Workers’ Compensation
If one of your employees is injured or gets sick as a result of their job, workers’ compensation will pay their medical care and any other connected expenditures. This form of coverage is required in most states for both part-time and full-time workers.
Coverage Options for Some Campgrounds
In addition to the insurance listed above, your campsites may need other forms of coverage based on specific elements of your activities. Some of them may not apply to you, so be sure to ask your agent whether policies are appropriate for your company.
Insurance for Data Breach
Visitors who register at your campsite entrust you with sensitive and private information such as their home address, credit card details, bank account information, and more. With the assistance of this critical insurance coverage, you can help to secure your company and consumers in the case of a computer breach resulting in stolen data.
Umbrella Liability Insurance for Businesses
This specialty insurance coverage kicks in when your other major plans have been exhausted. If you wind up facing a lawsuit that exceeds the limitations of your other insurance coverage, business umbrella liability insurance will pay the remaining expenses and damages.
Additional Security Measures for Your Company
Although investing in company insurance is simple (and necessary), it should not be your first line of defence. Yes, insurance will reimburse your company for cash losses incurred as a result of an occurrence, but it is much preferable to avoid losses altogether.
With this in mind, here are a few steps you can take to better secure your company:
Make use of legally binding contracts and other business agreements. (We provide free templates for several of the most often used legal forms.)
To safeguard your personal assets, form a limited liability company (LLC) or a corporation. (To discover how to incorporate an LLC or company in your state, see our step-by-step tutorials.)
Keep your company licences up to date.
Streamline the internal procedures of your company. This will eliminate unneeded variables from routine activities and establish a secure, consistent environment in which to do business.
If your company is an LLC, you should check into LLC insurance.