BED AND BREAKFAST INSURANCE
The World Cup proved to the outside world that the hospitality industry in South Africa is alive and well and growing exponentially. Bed and breakfast establishments have given the hotel industry a serious run for their money and have become income earners for many families who were affected through retrenchments.
A lot of the owners of BnB establishments do not fully understand the implication of inadequate BnB insurance and perhaps overlook aspects like loss of revenue. They are aghast when told that their personal policies do not cover these liability claims. And loss of Revenue has some very specific risks. For instance what would happen if a murder took place at the establishment? What impact would that have on reservations? Consider the
complications if there was a death of one of the partners? How would that affect the business? Another risk is “forcible and violent entry” – most owners will tell you that it’s almost impossible to comply with this condition as guests come and go and leave doors unlocked or even open. Think about possible theft by guests – which sadly does happen.
Bed and Breakfast Insurance, BnB Insurance, BnBSure Insurance
If you provide bed and breakfast for up to 6 guests then you need a BnB insurance policy which includes public liability for your guests and which will cover the following
• Contents (without a violent and forcible entry requirement) including both personal and business in the same policy
• Business interruption (not only for Fire and Allied peril, but also for Interruption caused by: Cancellation of event; shark attack; death of key person; cancellation beyond control; food poisoning and more).
• Bilking (when a guest leaves and does not pay the bill)
• Guest effects
So to sum up: In running a B&B or guesthouse there are some very specific risks and those risks need to be catered for by this specific bed and breakfast insurance.