How to Handle Hotel Insurance Claims in Texas

Nov 30, 2022

Commercial Insurance

How to Handle Hotel Insurance Claims in Texas

What happens when you operate a hotel and rock stars show up to trash it? It's happened before and it's not the kind of publicity a hotel needs. Such news might attract the band's fans to create more chaos rather than pay for rooms. Here's what you need to know about how hotel insurance in Texas works so you can make successful claims when a guest wrecks your property.

What to do when your hotel guests turn unruly?

Hotel management must take action when guests become loud and unruly. Disruption can cause other guests to complain and write bad reviews online about their experience at your hotel. If you've got a band practicing music loudly or throwing a noisy, wild party, it can lead to angry confrontations with guests.

While part of the solution may involve using hotel security, you should also consider discussing the issue with your hotel insurance provider. Make sure you have the right coverage in case wild partiers damage your hotel property. There are various types of business insurance to consider, as each plan has its own detailed requirements. Your standard business plan only covers so much, so you may need to add extensions to your coverage.

Types of insurance you need for your hotel business

A hotel business needs a variety of liability coverage to protect against common risks alone, such as someone falling and getting injured on your property. The right insurance coverage can save your management from dealing with headaches and costs related to property damage and bodily injuries.

Here are the three most common types of hotel insurance that protect the value of your assets:

  • Commercial property insurance - This coverage pays for damage caused by guests. It covers situations involving damage to hotel assets such as bedding, carpets, and appliances. So if a guest breaks mirrors and windows, this coverage will pay to restore the room.

  • Business liability insurance - If an out-of-control band member causes damage to the property of a guest or visitor, this coverage pays for it.

  • Business personal property insurance - When hotel furniture, an appliance, or other company asset is stolen or vandalized, this plan will pay for replacements.

Tips to reduce hotel insurance claims

Here are some additional tips to improve the hotel experience and cut down on hotel insurance claims.

  • Make security your number one priority

    Invest in modern security systems that deter crime, such as robust deadbolt locks, video surveillance equipment, and bright lights at night. It further helps create a safer environment when you have security personnel on duty at night.

  • Encourage hotel staff to report suspicious activities

    Hotels can be places where criminals on the run hide from authorities. They also attract wealthy entertainers with drug and alcohol problems while on tour.

  • Train your staff for the worst

    The staff should be trained to spot suspicious emails from hackers to guard against a cybersecurity breach. If word gets out that a controversial entertainer is staying at your hotel, it can attract hackers and stalkers.

  • Consider friendly customer service to be a requirement for success

    Drunk rockers might rebel against the hotel if they suspect your staff is mistreating them. Keeping communication friendly makes the situation less likely to escalate into revenge-driven chaos.

  • Monitor hotel activity continuously with strategically-installed video cameras

    Have front desk personnel log any strange characters or events that might interest authorities.

Cover your hotel with Bema Insurance

Searching for appropriate and affordable hotel insurance in Texas can be time-consuming. The key to selecting the most meaningful insurance is to work with insurance experts who network with several other insurers. Contact us at Bema Insurance today to simplify the process of getting the right coverage for your hotel business.

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