How Much Is Lodge Insurance? 

For businesses that own or manage lodging properties, one of the first questions you should ask is how much is lodge insurance. In the case of lodges, the answer will depend on the type of lodging you own. Commercial auto liability, Worker’s compensation, and equipment breakdown coverage are some examples of the types of insurance you might want to consider. Read on to learn more about these important coverage types. When you’re looking for lodge insurance, make sure to choose the right type of coverage. 

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General liability coverage 

Hotel liability insurance is one of the most important types of coverage for hotel owners. This type of insurance will cover injuries, medical expenses, legal fees, and other costs that may arise as a result of a claim. Although it doesn’t cover every risk, it is essential for any hotel owner. Without it, a business owner could be out of pocket and be unable to pay the claims if something unfortunate happens. Here are some things to keep in mind about hotel liability insurance. 

Commercial auto liability coverage 

A lodge owner’s policy will include commercial auto liability coverage. However, the policy will only cover the vehicles listed on the policy. In case of a loss or total damage to a listed vehicle, a temporary rental vehicle will be covered. The replacement vehicle must be added within 30 days. The insurance policy will not cover vehicles owned by employees or those borrowed by lodge owners. Hired/non-owned coverage can be added to a general liability policy or business owner’s policy. 

Worker’s compensation coverage 

While obtaining lodge insurance, you should consider the cost of worker’s compensation coverage. In general, worker’s compensation policies cost a certain amount based on your experience modification or loss history. The EM represents your business’s past claims and safety records. On average, companies are assigned an EM of one. A high EM indicates poor safety records, while a low EM indicates good safety records. Experience modification can significantly affect your premium. 

Equipment breakdown coverage 

In many circumstances, having equipment breakdown coverage can be essential. A major air conditioning failure, for example, might require you to relocate to a different location for a period of time. Or, you might need a temporary rental unit when your printer goes down. In either case, your insurance will pay for these costs, up to the endorsement limit. In addition, you’ll have peace of mind knowing that your finances are protected if an unexpected breakdown occurs. 

Cost of a hotel insurance policy 

The cost of a hotel insurance policy varies based on the size, type, and age of the property. An old coastal inn might pay only $500 per year while a high-rise luxury hotel might have premiums that are over $1 million. The age of the hotel is another factor affecting the cost of insurance, as a newer hotel will be less likely to be damaged. The construction type may also affect the cost.