Insurance for tourism businesses

While it's true that all business owners need to make sure they have adequate insurance coverage in all aspects of their business, you may not have considered the fact that there are certain types of insurances specific to the tourism industry.

Owning a tourism business can expose you to a range of risks you may not even have thought of, any one of which can ruin your business. So it's important to know what these risks are and how you can cover yourself against them.

Besides insuring the property and vehicles owned by the business, there are three main types of tourism insurance:

General Public Liability Insurance

General Public Liability Insurance covers your liability against potential injury inflicted on other persons, including your guests. It includes damage to their property while in your care or on your premises as a result of your proven negligence

Passenger Liability Insurance

Passenger Liability Insurance covers your liability against potential injury if you are in an accident while transporting passengers (whether on land, sea or air). The amount of cover will depend on various factors, such as the size of the vehicle, and can include road-side assistance, hire of another vehicle, etc

Professional Indemnity Insurance

Professional Indemnity Insurance indemnifies you against all sums you may become legally liable to pay if a customer sues you as a result of neglect, error or omission and /or breach of contract in the conduct of your business. This can include costs and expenses in the investigation, defence or settlement of any claim

There are various insurance brokers that specialise in insuring tourism businesses, so speak to someone who is an expert at dealing with your specific set of circumstances and needs. Not covering yourself for these liabilities could spell the end for your business should something untoward happen, so don't risk it in an attempt to save money.

The content in this article was sourced from the Southern African Tourism Services Association (SATSA).

About SATSA:

Established in 1969, SATSA is a non-profit, member-driven association representing the region’s tourism private sector, including:

  • Accommodation establishments

  • Airlines

  • Attractions

  • Coach operators

  • Conference organisers

  • Marketing organisations

  • Tour operators

  • Vehicle hire companies

At SATSA, we strive to maintain our three key qualities in all the work we do: credibility, value and authority. SATSA further provides support to members who require key services and benefits on a local and regional level, and at international trade shows. The organisation also lobbies issues associated and affecting the inbound tourism industry.

For more information, contact:

Website: http://www.satsa.com/

Tel: +27 (11) 886 9996

Email: pa@satsa.co.za

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