Amusement parks are an excellent way for everyone to enjoy the  hot summer months. No matter the age, anyone can have a good time at an amusement park as it offers wholesome and safe entertainment for social groups, teenagers, couples, birthday parties, and even married adults.

Running an amusement park business can be very lucrative given the high demand. However, the business faces various risks that could see you face lawsuits. Amusement park insurance covers any claims your amusement park business faces. This guide discusses this insurance policy in detail and helps you understand why you should get it. 

Amusement Park Insurance

Amusement park insurance protects your business in the wake of property damage and injury. When a third party files a lawsuit against your water park business, water park insurance that includes general liability coverage will help cover all the resultant costs. This goes a long way in saving you money. Without amusement industry insurance policy that covers general liability at the very minimum, your business risks losing thousands of dollars in damages and court settlements. 

Getting a customized insurance policy for your leisure business, such as amusement arcade and horse business insurance, will help you mitigate the risks associated with lawsuits and other expenses. Without it, you could lose your income and your company's reputation due to damaging lawsuits. 

Apart from covering legal expenses, this insurance policy also provides property damage protection. Besides, some plans might cover advertising injury claims as well as medical payments. This means that when a third party takes you to court, the insurance will incur the costs of mounting legal defense. Therefore, if you own a theme park, you should also own a theme park insurance policy that includes general liability coverage for your amusement business and prevent the risk of financial losses. 

Related: Zoo Insurance

Scope of Amusement Park Insurance

When running an amusement park business, you face a wide range of risks. Luckily, getting amusement park insurance covers your business against a wide range of claims. Here are some of the claims covered by this insurance policy. 

Slips and Falls

Generally, amusement and water parks are susceptible to liability claims. This means that the rate amusement park businesses face liability claims is high. For instance, your amusement park business could be held responsible if one of the guests suffers an injury after tripping and falling. 

In worst cases, the family of a drowning victim could sue your business for damages.and an amusement park insurance will protect you and your business. This means you won't have to spend your money dealing with court proceedings and other legal expenses. 

Ride Related Injuries

Amusement parks have rides where people, particularly children and teenagers, have fun. When a ride malfunctions and causes serious injuries, you could be held liable. This is more likely to be the case if it is determined that you didn't perform timely inspections. 

In that case, your business will be deemed negligent and ordered to pay damages to the victim. Without an insurance policy, you will have to pay that money from your pocket. 

Keep in mind that court settlements mostly range in hundreds of thousands. This could hurt your amusement park business significantly. Amusement park insurance covers such claims and settles the medical expenses. Remember that you could also face lawsuits if you don't post adequate warnings regarding the risks in your park.

Related: Golf Course Insurance

Advertising

Physical injuries and property damage aren't the only liabilities amusement parks face. Picture this; you launch an advertising campaign that features your new logo that resembles another park. After releasing the ad, you get a lawsuit from the owners of the other park for trademark or logo infringement. Amusement park insurance helps protect against such claims and helps your business save money. 

Why Do Amusement Parks Need Insurance?

People visit amusement parks to enjoy a break from their studies or work. While this seems straightforward with no risks whatsoever, amusement parks face a wide range of risks. Some of the risks are similar to those faced by any other business, while others are unique to this particular venture. 

Your amusement park business could face severe financial losses after a natural disaster such as a hurricane, earthquake, or severe flood. Without insurance cover, you could be forced to close down your business due to the devastating damages. This is why you need amusement park insurance that can help you get back on your feet after such losses. 

Acts of theft and vandalism could be minor and easy to recover from, but, in some cases, criminal acts could leave your amusement park business on the verge of collapse. Securing your business with amusement park insurance will cover such cases and prevent financial losses. Furthermore, your employee could sustain serious injuries while doing repairs in the swimming pool or cleaning, especially if they don't have appropriate swimming skills...

When the employees file a lawsuit against you, your business risks losing a lot of money in court settlements. You will also be required to pay the medical expenses. Note that any third party could also file a claim against you. For example, a vendor or service contractor could sue you for injuries sustained at your amusement park. 

All these examples show the importance of getting comprehensive amusement park insurance. You can't risk losing a lot of money by operating without insurance. Amusement park businesses face wide risks, meaning it won't take long before you face a lawsuit. Without insurance cover, your business will have to shoulder the financial burden of various claims. This could result in damaging financial consequences.