Ice Skating Companies Need Business Insurance

Company insurance is intended to safeguard the financial assets of a business owner and is a necessary investment for an ice skating business.

This article will discuss the primary insurance coverage for ice skating enterprises, general liability insurance, as well as additional policies that are appropriate for this industry.

Ice Skating Companies Need 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.

GENERAL LIABILITY INSURANCE MAY COVER COMMON SITUATIONS FOR AN ICE SKATING BUSINESS

Example 1: A client slips and fractures her arm in the rink and chooses to sue your company. While your firm may be exonerated in the end since clients accept some risk when they go ice skating, it is still prudent to engage an attorney to defend yourself. Your general liability insurance will cover the expenses of your legal defence, including the cost of a settlement if one is required.

Example 2: A client enters the toilet and slips in some standing water, shattering his wrist. He requests that your firm cover the cost of his medical care. This cost would most likely be covered by general liability insurance.

Example 3: A rival ice rink writes you a letter claiming that your new emblem is too similar to theirs. A competitor launches a lawsuit against your firm. Your legal defence expenditures, as well as any settlements, would be covered by your general liability insurance coverage.

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

Ice skating enterprises in the United States typically pay between $400 and $1,100 per year for $1 million in general liability coverage.

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 Ice Skating Businesses

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 ice skating enterprises should have are as follows:

Insurance for Workers’ Compensation

Employers in most states are required to have workers’ compensation insurance. Your employees will be protected under a workers’ compensation coverage if they are injured while doing work-related responsibilities. The coverage will cover medical expenses and missed income for workers who are unable to work due to job-related ailments.

Insurance for Commercial Property

You put a substantial amount of money into starting your ice skating company. It would be costly to replace your equipment if you lost most or all of it in an unforeseen disaster, such as a fire. Your property is secured with commercial property insurance. As long as the damage was caused by a covered occurrence, you may make a claim and get assistance with replacement expenses.

Coverage Options for Some Ice Skating Businesses

In addition to the insurance listed above, your ice skating company may need other forms of coverage based on particular features 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.

Umbrella Insurance for Businesses

In most circumstances, your general liability insurance will cover your liabilities, but your policy limitations may be exceeded—for example, if you lose a significant lawsuit. If your general liability insurance limits are surpassed, an umbrella policy will kick in, preventing you from having to pay for the losses out of cash.

Insurance for Business Interruption

If your firm needs to shut temporarily due to a fire, tornado, or other insured calamity, business interruption insurance can assist compensate lost income. This form of coverage is often included as part of a company owner’s policy.

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.