Category

Hospitality & Restaurants

Hotel Casino Risk
Hospitality & Restaurants

Inside the High Stakes of Liability Risks for Hotel Casinos

Liability risks for hotel casinos run the gamut – from a third-party vendor’s wrongful actions to public security and safety during an event, cyber crime, and premises slips and falls – that can end up costing the house a fortune. Sean Young, Associate Vice President, Distinguished Programs, in his recent article, “Four Risks on Which Hotel Casinos Can’t Gamble,” in Hotel Business Review, explores these risks and the steps that operations should take to reduce their exposures.

In the article, Sean provides examples for each risk that could potentially financially upend a hotel casino. For example, a casino may be named in a lawsuit against a third-party transportation vendor involved in a vehicular accident in which several hotel passengers were injured. Making sure the hotel casino is named as an additional insured in each of its third-party vendor’s Liability insurance policies as well as requiring each vendor to carry high limits of liability coverage are key in mitigating a hotel’s exposure.

Sean also highlights the importance for hotel casinos to minimize the public security and safety risks that arise from their entertainment venues and event centers. The 2017 Las Vegas shooting at MGM Resorts International’s Mandalay Bay resort resulted in thousands of liability claims with a price tag of up to $800 million. Sean provides several steps to take to lower the risk profile of an entertainment venue and the types of issues insurance underwriters review. 

Cyber crime, which has hit every industry, is no stranger to the hospitality sector, including hotel casinos that possess critical personal identifiable information (PII). This data collected through customer credit card transactions, reward programs, and online casinos is what criminals are looking to get their hands on and exploit. Exposure to ransomware and cyber extortion is also on the rise. There are several security measures hotel casinos should be taking to prevent losses, along with purchasing Cyber Liability insurance to respond in the event of a data breach or other cyber-related attack.

As slips and falls top the list of claims made in the hospitality industry, Sean stresses the need for hotel casinos to implement and manage robust loss prevention measures throughout the facility including providing ongoing employee education and training and ensuring ADA compliance.

Distinguished Programs specializes in providing hotel casinos with high-limit Umbrella insurance, designed to address catastrophic liability losses. Limits are available up to $250 million. Additionally, we offer risk mitigation and management services to help insureds prevent and minimize potential losses.

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small business insurance
Real Estate, Hospitality & Restaurants, Community Associations

Risk Management Programs Critical to Help Keep Small Business Insurance Costs in Line

How much small business insurance costs depends on many different factors, including the type of operation and its location, its exposures, the industry served, claims history, etc. The coverage features and policy terms in an insurance program, along with its policy limits, of course, also affect the cost of coverage.  Additionally, today’s firming insurance market is impacting the cost of insurance across the board, including in all industry sectors.

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tamper-resistant receptacles
Hospitality & Restaurants

Child-Proofing Hotel Guest Rooms: Ensure Your Clients are NEC-Compliant

The National Electrical Code (NEC) issued an update in 2017 requiring all new and renovated hotel guest rooms and suites to have tamper-resistant receptacles (TRRs) placed on all outlets. TRRs are designed to prevent electrical hazards, particularly for young children who tend to stick things into outlets. This most recent update by the NEC expands its requirement of TRRs from homes to other types of new and renovated properties, among them hotels and motels.

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Business Interruption for Restaurants
Hospitality & Restaurants

Business Interruption for Restaurants: Opening the Doors After a Loss

After Super Storm Sandy hit the East Coast five years ago, many restaurants suffered devastating property damage. But even more restaurants experienced significant business interruption losses including those resulting from downed power lines and outages. In addition to securing responsive Commercial Property insurance to step in to help a restaurant rebuild after a property damage loss, ensuring that Business Interruption coverage is included as part of a comprehensive program can be the difference between closing down for good or hanging up the welcome sign again.

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Risk of Legionella at Hotels & Resorts
Hospitality & Restaurants, Risk Insight

Water Management: Keeping Hotel Guests & Employees Healthy and Safe from Legionella

The Legionella outbreak this past summer that killed one person and resulted in 12 lab-confirmed cases of Legionnaires’ disease and 63 reported probable cases from people who either stayed or visited an Atlanta, Georgia hotel is a reminder of how deadly and costly an outbreak can be for hotels and resorts. The Atlanta hotel is in litigation with people affected by the outbreak. The lawsuit accuses the hotel of failing to either adopt or follow a water management plan to prevent the spread of the Legionella bacteria.

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cyberattacks
Hospitality & Restaurants

Hotels Are a Target for Cyberattacks

The last thing your hotel guests want to discover is that your computer system suffered a cyber breach and all their personal information was leaked. The hospitality industry continues to be a target for cyberattacks due to the wealth of e-info it amasses—credit cards, names, addresses, just to name a few. When a cyberattack hits, the damage can go from bad to worse: from stolen data and locked software to costly fines and major damage control of a brand name. The threat of cybercrimes is so high that we’ve developed three useful white papers to share with your insureds.

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uncovered exposure
Hospitality & Restaurants, Risk Insight

Top uncovered exposure for a hotel may surprise you

Slip-and-fall injuries are undoubtedly the most common claims in the hospitality sector. But there is another hazard that is making a serious comeback—and is often an uncovered exposure in policies, resulting in costly losses. That risk is legionella, which can be found in water systems, like showers, pools, and fountains, and new bacterial outbreaks have been making headlines nationwide.

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restaurant umbrella
Hospitality & Restaurants

ProHost USA Acquired By Distinguished Programs

Our restaurant program just got a new addition to its menu! Distinguished Programs is excited to announce the acquisition of ProHost USA, a leading specialty insurance program in the hospitality industry. Based in Minneapolis, ProHost has a strong 30-year track record of providing tailored packages for family, fine dining, and fast casual restaurants as well as start-ups, wine bars, and caterers!

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hotel security
In the Press, Hospitality & Restaurants

Hotel Security Improved Since Vegas

Hotel security protocol has upped the ante in the nearly year and a half since the Mandalay Bay mass shooting in Las Vegas, which claimed the lives of 58 concertgoers at a nearby musical festival. Brooks Chase, president of Distinguished Specialty, was featured in Resort Trades, where he spoke to the changing landscape of the hospitality industry in the wake of violent events.

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hotel risks
Hospitality & Restaurants

Top 3 Emerging Hotel Risks – Hotel Executive

Over the last decade, it’s become clear that hotel risks have evolved dramatically. Through unfortunate events like the Las Vegas shooting and different movements that have emerged, we’ve learned that hotel owners and operators must develop a dependable plan around how they’ll protect their guests, their data, and their employees along with their data.

To combat recent threats and worries, hotel management must step up to the plate and seriously consider what precautions and procedures their company is willing to enforce to reduce potential risks.

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