Hotels are unique businesses and thus face unique risks. Thankfully, there are many insurance policies that can be tailored to cover these risks. 

Dealing with employees, guests and guest information poses a lot of liability risk. There are three main liability coverages that hotels may need: 

• General Liability: General liability insurance covers accidents and non-professional negligent acts that result in bodily injury or property damage for a guest or other third party. An example would be if a suitcase is damaged on the way to its hotel room. 
  
  
• Employment Practices Liability: Employment practices liability covers lawsuits from employees for claims regarding certain employment practices. This includes sexual harassment, discrimination, invasion of privacy, emotional distress and more. 
  
  
• Cyber Liability Coverage: Hotels often store important information on their computer systems, such as guest names and credit card information. Cyberattacks are unfortunately common and it’s important to be prepared, even if the hotel has a strong firewall. Cyber liability coverage helps in the case of a cyberattack causing the breach, loss or damage of guest information. 

The physical assets of a hotel are just as important as the liability aspects. Guests expect their hotels to be clean and safe, and it’s crucial to keep it that way. Accidents happen, however. All property owned by the hotel can fall victim to accidental damage, leaks and the weather. To protect against these, many hotels carry: 

• Property Coverage: Property coverage provides compensation if the physical structure of the hotel and its contents are damaged due to fire, smoke, lightning, explosion, wind, hail, theft, vandalism and more. 
  
  
• Commercial Auto Insurance: Commercial auto insurance is required by most states. If your hotel offers shuttle services for guests, this insurance is necessary. It covers vehicles owned and used by the hotel with comprehensive, collision, uninsured/underinsured motorist, liability coverage and more depending on your policy. 
  
  
• Equipment Breakdown Coverage: Hotels have many pieces of equipment that help it operate. Refrigerators, freezers, stoves and ovens are all present in hotel kitchens. If they unexpectedly break down, equipment breakdown coverage can help cover the cost of repairing or replacing them.

There are additional, optional coverages available for hotels, as well. Less common coverages include: 

• Umbrella Liability: Umbrella liability insurance fills in the gaps that other liability insurances leave behind. 
  
  
• Flood Insurance: Floods are not often covered under normal property or comprehensive policies but can be purchased as a separate policy.