Ski Resort Insurance Policy Information
Ski Resort Insurance. Eager winter-sport enthusiasts flock to ski resorts in large numbers every year. These self-contained facilities meet all their guests needs during their stay.
Ski operations are designed to provide recreational downhill or cross-country skiing experiences to their patrons. Lessons may be offered to beginners. The facility may serve concessions or provide locker rooms for members or guests.
Sporting goods may be sold on premises, or repair services offered. The resort may offer lodging as well.
The financial condition of the operation should be considered because of the potential for high swings in profitability due to weather conditions.
Visitors can enjoy skiing, snowboarding, and other winter sports while staying at a cozy lodge, of course, but also often cinemas, theaters, swimming, and hot tubs. In addition, ski resorts rely on valuable equipment such as ski lifts, and will have top-notch first aid facilities.
While there is no question that owning and managing a ski resort can be a profitable and exciting endeavor, it is equally clear that the unpredictable mountainous terrain and inexperience of many guests poses some unique hazards, as well.
This is why it is essential for ski resorts to protect themselves from a multitude of unforeseen circumstances, by arming themselves with top-quality insurance. What types of ski resort insurance policies might be needed? Find out more here.
Ski resort insurance protects recreational downhill or cross-country skiing operations from lawsuits with rates as low as $87/mo. Get a fast quote and your certificate of insurance now.
Below are some answers to commonly asked ski resort insurance questions:
- What Is Ski Resort Insurance?
- How Much Does Ski Resort Insurance Cost?
- Why Do Ski Resorts Need Insurance?
- What Type Of Insurance Do Ski Resorts Need?
- What Does Ski Resort Insurance Cover & Pay For?
What Is Ski Resort Insurance?
Ski resort insurance is a type of insurance that provides coverage for ski resorts and their operations. It covers a range of risks and exposures, including ski slopes and ski lifts, rental equipment, and guest lodging facilities.
The insurance may also include liability coverage for accidents and injuries that occur on the property, as well as coverage for damage to the buildings and equipment. The coverage may also include protection for business interruption, such as lost income due to weather events or other factors that may cause the resort to close.
How Much Does Ski Resort Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small ski resorts ranges from $87 to $129 per month based on location, number of slopes, revenue, claims history and more.
Why Do Ski Resorts Need Insurance?
Like any other commercial venture, ski resorts are vulnerable to a variety of risks. Some of the perils a ski resort may be confronted with are of such a universal nature that they could strike any business, regardless of their branch of commerce. Others are more industry-specific.
Nothing can prevent an act of nature, such as an earthquake or severe ice storm, for example - and such events could cause disastrous property damage that results in ever-increasing costs as it simultaneously disrupts your business.
Theft, including of digital assets such as customers' credit card data, and vandalism are two further examples of serious perils that could impact a ski resort.
A guest could file a lawsuit after they are injured within the resort as well, alleging that something a ski resort did, or failed to do, was responsible. Employees, too, may sustain work-related injuries.
These and other perils easily result in costs of such a magnitude that they threaten the future of a ski resort.
Thankfully, a whole industry exists to help businesses recover from severe setbacks that they could not manage on their own - by investing in solid ski resort insurance coverage, a skiing operation can focus on providing their guests with an amazing experience, knowing that their insurance has their back if the worst were to happen.
What Type Of Insurance Do Ski Resorts Need?
Every ski resort is different. The location, the characteristics of the surrounding terrain, their amenities, and their capacity are just some examples of factors that make a ski resort unique, and these same variables also influence the precise types of coverage a ski resort will need.
That is why it is so important to consult a seasoned commercial insurance broker who is deeply familiar with your field as well as your individual business. Some key examples of the kinds of ski resort insurance that should be considered, meanwhile, are:
- Commercial Property: If an event beyond your control, such as an act of nature, vandalism, or theft, causes property damage or loss, this type of insurance helps cover the resulting costs. Keep in mind that these policies do not only insure your physical buildings, but also outdoor assets and smaller physical assets such as furniture and computers.
- General Liability: This kind of insurance provides coverage in case of third party bodily injury and property damage claims. It covers attorney fees as well as settlement costs and other legal expenses.
- Environmental Liability: Also known as pollution insurance, this type of ski resort insurance coverage protects you in the event of allegations that your ski resort caused harm to the environment. Such claims easily become drawn-out and costly, and given the increased use of snow cannons by ski resorts, is especially important for this branch of commerce.
- Equipment Breakdown: Should a crucial and costly piece of equipment break down and require repair or replacement, this type of insurance will help you cover the costs.
- Workers Compensation: This form of coverage protects both employees and employers. If an employee is injured at work, their medical bills and any lost income are reimbursed. In the process, the employer is protected from related litigation.
While these forms of insurance will go a long way toward protecting your business, keep in mind that other kinds of ski resort insurance coverage may be needed as well. To find out more, talk to a commercial insurance agent.
Ski Resort's Risks & Exposures
Premises liability exposure is high due to the number of guests on premises and the type of operation. The operation should meet all life safety codes to assure guest safety. To prevent trips, slips, and falls, the lodge must be well maintained with floor covering in good condition. The number of exits must be sufficient and well marked, with backup lighting in case of power failure.
Stairways, elevators, railings, and floor coverings should be in good condition. Exits should be clearly marked and free of obstacles. Adequate lighting should be available in the event of a power outage. Parking lots and sidewalks need to be in good repair with snow and ice removed promptly.
The maintenance and operation of the ski slopes and ski facilities present tremendous liability hazards. Lifts, tows, and other equipment require regular maintenance and inspection.
Ski instructors should be properly educated and trained to facilitate training of children as well as adults. The ski rental operation is a major concern as guests may be injured should the equipment fail. The ski slope operation needs careful review as guests may fall, slide off into crevasses, run into trees or other obstacles on the slopes, or be injured or killed in the event of an avalanche.
Transportation to medical clinics or hospitals may be difficult, particularly when there is severe inclement weather preventing access to roads. The facility should have EMTs or other emergency personnel on premises to address injuries, and a disaster plan in place for search and rescue missions.
Personal injury losses may occur due to alleged wrongful eviction, invasion of privacy, or discrimination.
Products liability exposures can be high if the skiing operation has a restaurant or lounge or sells new or refurbished ski equipment. Employees should be trained in the proper handling of consumables to prevent foreign objects in food, food poisoning, or the spread of other transmissible diseases.
Other product liability exposures can arise from vending machines or gift shops.
Liquor liability exposures can be high if employees are not properly trained to recognize the effects of excessive alcohol consumption. Employees must be trained to verify the age of guests ordering alcoholic beverages and refuse service to underage guests. Inebriated guests should not be permitted to access slopes.
Workers compensation exposure can be high. Cleaning and maintenance operations can result in lung, eye, or skin irritations and reactions. Slips and falls, back injury, hernia, sprains, and strains from lifting or working at awkward positions are common. The parking lot and sidewalk snow removal may be handled by employees or outside contractors.
If employees are responsible, there are potentials for strains and falls. Food preparation operations can result in cuts, scrapes, and burns. Drivers can be injured in over-the-road accidents.
Interaction with guests can be difficult. Employees should be trained in dealing with rowdy guests. Ski operations include snow maintenance crews, ski instructors, and ski patrol for emergencies.
All of these are exposed to adverse weather conditions, avalanches, falls from heights, and hazardous terrain. There should be a formal safety procedure manual, with all rules and regulations stated and enforced.
Property exposures can be high due to the multiple sources of ignition. Electrical wiring, plumbing, and heating systems must be adequate and meet current code. Ski operations are often located in rural areas at a distance from fire departments.
Firefighting activities can be hampered, especially during inclement weather when roads may be impassable. Fire detection and suppression systems should be in place to permit an early response to a fire.
Lodges and restaurants should be sprinklered. All cooking equipment must be properly controlled and maintained. Fire extinguishers should be available throughout the facility and properly tagged. Flammables, such as ski wax, cleaning supplies, and repair operations, should be kept separate and stored appropriately.
Ski operations include stocking, renting, and repairing ski equipment, and using machinery to produce and control snow. All machinery must be inspected and maintained regularly. Business interruption exposure can be substantial due to lack of backup facilities and the seasonality of skiing operations.
Equipment breakdown exposures include breakdown losses to the heating systems, cooking equipment, hot water systems, electrical control panels, snow-producing equipment, and other apparatus. Breakdown and loss of use could result in a significant loss, both direct and under time element, because operations are seasonal.
Crime exposure is from employee dishonesty and money and securities. Background checks should be conducted on all employees. Cashiers' drawers should be kept stripped with regular deposits made throughout the day.
A minimal amount of cash should be kept overnight. Monetary transactions must be monitored and audited on a regular basis to prevent employee theft. All ordering, billing, and reimbursements should be separately monitored functions. Records should be reconciled on a regular basis. All rental equipment must be maintained and must be inventoried frequently.
Inland marine exposure is from accounts receivable if the facility bills for services, computers, contractors' equipment for machinery used to maintain the slopes, and valuable papers and records for contractors', guests' and suppliers' information.
Bailees exposure results from the handling of guests' property, such as those left for service or repair, or property left in locker rooms.
Commercial auto exposure is low if limited to hired non-owned for employees running errands. If the facility offers pickup and delivery of guests, the exposure increases substantially as it includes driving on poorly-maintained roads in inclement weather.
Hands-free two-way communication devices should be used to track vehicle locations. Any driver should have an appropriate driver's license and acceptable MVR. Vehicles must be maintained and records kept in a central location. Valet services present garagekeepers exposures for damages to guests' vehicles.
What Does Ski Resort Insurance Cover & Pay For?
Ski resorts are vulnerable to a wide range of potential lawsuits due to the inherent risks of skiing and snowboarding. Some of the most common reasons why ski resorts are sued include:
- Skiing accidents: When skiers or snowboarders get injured on the slopes due to collisions with other skiers, objects, or due to the failure of the resort to properly maintain the slopes.
- Equipment failure: When skiers or snowboarders suffer injuries due to faulty or malfunctioning equipment that the resort rented or provided.
- Negligence of staff: When staff at the resort fail to maintain or inspect the equipment, fail to properly instruct guests, or are otherwise negligent in their duties, resulting in injury or harm to guests.
- Hazardous conditions: When the resort fails to properly mark or warn of hazardous conditions such as icy patches, rocks, or other obstacles.
- Premises liability: When guests slip, trip, or fall on resort property due to the resort's failure to properly maintain the premises or provide adequate warnings.
Insurance can protect ski resorts from these types of lawsuits by providing various forms of coverage. For example, liability insurance can cover claims arising from accidents and injuries caused by the resort's operations or premises. Property insurance can cover damage to the resort's buildings, equipment, and other property. Workers' compensation insurance can provide coverage for employees who are injured while working at the resort. Umbrella insurance can provide additional coverage beyond the limits of other policies.
Here are a few examples of how insurance can help pay for a lawsuit against a ski resort:
A skier breaks his leg after colliding with another skier on the slope. The injured skier sues the ski resort for negligence, alleging that the resort failed to properly maintain the slopes. The ski resort's liability insurance would likely cover the cost of defending the lawsuit and paying any damages awarded to the injured skier.
A snowboarder rents equipment from the resort and suffers a head injury due to a faulty helmet. The snowboarder sues the resort for product liability. The resort's product liability insurance would cover the cost of defending the lawsuit and paying any damages awarded to the injured snowboarder.
An employee at the ski resort fails to properly mark a hazardous condition on the slope, and a skier suffers a serious injury as a result. The injured skier sues the resort for negligence, and the resort's liability insurance would cover the cost of defending the lawsuit and paying any damages awarded to the injured skier. The resort's workers' compensation insurance would cover the cost of any medical treatment and lost wages for the injured employee.
Overall, insurance is a crucial component of a ski resort's risk management strategy, as it can provide financial protection in the event of a lawsuit or other unforeseen circumstances.
Commercial Insurance And Business Industry Classification
- SIC CODE: 7999 Amusement And Recreation Services, Not Elsewhere Classified
- NAICS CODE: 713920 Skiing Facilities, 721110 Hotels (except Casino Hotels) and Motels
- Suggested Workers Compensation Code(s): 8017 Store - Retail NOC, 9052 Hotel - All Other Employees & Salespersons, Drivers, 9058 Hotel - Restaurant Employees, 9102 Park NOC - All Employees & Drivers, 9180 Club - Shooting & Drivers
Description for 7999: Amusement And Recreation Services, Not Elsewhere Classified
Division I: Services | Major Group 79: Amusement And Recreation Services | Industry Group 799: Miscellaneous Amusement And Recreation
7999 Amusement And Recreation Services, Not Elsewhere Classified: Establishments primarily engaged in the operation of sports, amusement, and recreation services, not elsewhere classified, such as bathing beaches, swimming pools, riding academies and schools, carnival operation, exposition operation, horse shows, picnic grounds operation, rental of rowboats and canoes, and shooting galleries. Establishments primarily engaged in showing or handling animals at shows or exhibitions are classified in Agricultural Services, Industry Group 075.
- Aerial tramways, amusement or scenic
- Amusement concessions
- Amusement rides
- Animal shows in circuses, fairs, and carnivals
- Archery ranges, operation of
- Baseball instruction schools
- Basketball instruction schools
- Bath houses, independently operated
- Bathing beaches, public
- Betting information services
- Billiard parlors
- Bingo parlors
- Boat rental, pleasure
- Boats, party fishing: operation of
- Bookmakers, race
- Bowling instruction
- Bridge club, nonmembership
- Bridge instruction
- Cable lifts, amusement or scenic: operated separately from lodges
- Canoe rental
- Card rooms
- Carnival operation
- Cave operation
- Circus companies
- Concession operators, amusement devices and rides
- Day camps
- Exhibition operation
- Exposition operation
- Fairs, agricultural: operation of
- Fireworks display service
- Fishing piers ant lakes, operation of
- Fortune tellers
- Gambling establishments not primarily operating coin-operated
- Gambling machines, except coin-operated operation of
- Game parlors, except coin-operated
- Games, teaching of
- Gocart raceway operation
- Gocart rentals
- Golf courses, miniature operation of
- Golf driving ranges
- Golf professionals not operating retail stores
- Golf, pitch-n-putt
- Gymnastics instruction
- Handball courts, except membership club
- Horse shows
- Houseboat rentals
- Hunting guides
- Ice skating rink operation
- Judo instruction
- Karate instruction
- Lifeguard service
- Lotteries, operation of
- Lottery club and ticket sales to individuals
- Moped rental
- Motorcycle rental
- Natural wonders, tourist attraction: commercial
- Observation tower operation
- Off-track betting
- Pack trains for amusement
- Parachute training for pleasure
- Picnic grounds operation
- Ping pong parlors
- Pool parlors
- Racquetball courts, except membership clubs
- Rental of beach chairs and accessories
- Rental of bicycles
- Rental of golf carts
- Rental of rowboats and canoes
- Rental of saddle horses
- Riding academies and schools
- Riding stables
- River rafting, operation of
- Rodeo animal rental
- Rodeos, operation of
- Roller skating rink operation
- Scenic railroads for amusement
- Schools and camps, sports instructional
- Scuba and skin diving instruction
- Shooting galleries
- Shooting ranges, operation of
- Skating instruction, ice or roller
- Skeet shooting facilities, except membership clubs
- Ski instruction
- Ski lifts, cable lifts, and ski tows operated separately from lodges
- Ski rental concessions
- Slot-car racetracks
- Sporting goods rental
- Sports instructors, professional: golf, skiing, swimming, etc.
- Sports professionals
- Swimming instruction
- Swimming pools, except membership
- Tennis clubs, nonmembership
- Tennis courts, outdoor and indoor operation of, nonmembership
- Tennis professionals
- Ticket sales offices for sporting events, contract
- Tourist attractions, natural wonder commercial
- Tourist guides
- Trampoline operation
- Trapshooting facilities, except membership club
- Waterslides, operation of
- Wave pools, operation of
- Wax figure exhibitions
- Yoga instruction
Ski Resort Insurance - The Bottom Line
To protect your operations, employees and patrons, having the right ski resort insurance coverage is essential. To learn what options are available to your business, how much coverage you should invest in and the premiums - speak to a reputable commercial insurance broker.
Additional Resources For Arts & Recreation Insurance
Read up on small business arts and recreation commercial insurance.
- Amusement Parks
- Archery Ranges
- Athletic Fields
- Billiard And Pool Halls
- Bowling Alleys
- Cave Tours
- Dance Studio
- Disc Jockey DJ
- Drive-In Theaters
- Entertainers And Performers
- Event Planning
- Fairs And Fairgrounds
- Film Production
- Fine Art
- Guides & Outfitters
- Handball & Racquetball Courts
- Horse & Dog Racetracks
- Indoor Sports Complexes
- Interior Decorator
- Interior Design
- Motorsports Racetracks
- Photo Booth
- Recording Studio
- Recreation Centers
- Riding Stables
- Roller Sakting Rinks
- Shooting Ranges
- Skeet & Trap Shooting Ranges
- Ski Resorts
- Talent Agency
- Tennis Centers
- Video Arcades
- Wedding And Special Event
- Specialty Arts And Antiques
- Specialty Clubs And Leisure Time Activities
- Specialty Entertainment
The arts and recreation industry is a vital part of our society and culture, providing entertainment and enjoyment for people of all ages. However, as with any business, there are inherent risks and potential liabilities that can arise. This is where insurance comes into play.
One of the main reasons the arts and recreation industry needs insurance is to protect against financial losses due to accidents or injuries. For example, if a performer is injured while rehearsing or performing, their medical bills and lost wages could be significant. Without insurance, the cost of these expenses could potentially bankrupt a small arts organization.
In addition to protecting against accidents and injuries, business insurance can also cover damages or losses due to weather events, natural disasters, and other unexpected circumstances. For example, if a theater is forced to cancel a performance due to a power outage or extreme weather, insurance can help cover lost income and expenses.
Another important aspect of commercial insurance for the arts and recreation industry is liability coverage. This type of insurance can protect against legal claims and lawsuits if someone is injured or becomes ill while attending an event or using facilities. For example, if a patron slips and falls at a theater, they may file a lawsuit against the venue for damages. Liability insurance can help cover the costs of legal fees and any settlement or judgement.
Overall, the arts and recreation industry needs insurance to protect against financial losses and legal liabilities that can arise in the course of business. Without commercial insurance, small arts organizations and recreational facilities could be vulnerable to financial ruin in the face of unexpected events or accidents.
Minimum recommended small business insurance coverage: Business Income with Extra Expense, Employee Dishonesty, Money and Securities, Accounts Receivable, Commercial Articles Floater, Computers, Valuable Papers and Records, General Liability, Employee Benefits Liability, Umbrella Liability, Hired and Non-owned Auto Liability & Workers Compensation.
Other commercial insurance policies to consider: Building, Bailees Customers Floater, Money and Securities, Cyber Liability, Employment-related Practices Liability, Business Auto Liability and Physical Damage and Stop Gap Liability.