Campground and RV Park Insurance

Canadians love to go camping and RVing. According to the 2021 Canada edition of the Kampgrounds of America’s research report, 3.1 million Canadian households will go camping this year, and more than 500,000 Canucks will camp for the first time. Among those outdoor enthusiasts, an estimated 28% will pitch a tent at a private campground.

 Canadian RV owners are equally eager to get out of town and enjoy nature. The Canadian Recreational Vehicle Association says RV owners visit an RV park at least three times per year and estimates more than 14% of Canadian households own an RV. Among RV owners, 25% prefer camping in privately owned campgrounds.

 Campground and RV park owners face a complex set of risks. Whether arising from visitors, employees, or the environment, protecting your campsite or RV park and its amenities demands a thoughtful risk-management strategy.

 Zensurance is trusted by more than 100,000 entrepreneurs and business owners to protect their businesses with insurance policies designed to cover their unique needs.

Campground and RV park insurance is designed to cover the costs associated with damages to your property resulting from severe weather, as well as claims against your business alleging bodily injury or property damage. For example, if one of your visitors is injured or if their possessions are damaged on your property, you could be held liable.

Every seasonal or year-round privately owned campground or RV park features unique attributes. Assess the potential risks associated with the amenities and features your business provides to its visitors, including:

• Swimming areas (pools and beaches) as well as docks or inflatables you rent
• Boat rentals such as jet skis, canoes, kayaks, and paddle boats
• Fishing and fishing gear rentals
• Playgrounds, mini-golf courses, tennis courts, horseshoe pits, picnic areas
• RV hookups for sewer, water, and electricity
• Fireworks displays
• Horse or tractor hayrides
• A restaurant, bar, or general store
• Laundry and shower facilities

 Also, consider any coverage you may need for your business’s buildings, equipment, and contents.

 A comprehensive insurance package for campground and RV parks may include the following coverages:

• Commercial General Liability (CGL) Insurance: Commercial general liability insurance, best known as slip-and-fall insurance, protects you against the day-to-day risks that can happen when interacting with third parties, such as claims of bodily injury or property damage. It is a combination of several coverages designed to protect your campground or RV park and typically covers legal expenses and medical fees resulting from a lawsuit.

• Product Liability Insurance:Product liability coverage is usually included in a commercial general liability policy. It protects against claims alleging third-party property damage or bodily injury caused by a product you manufacture, distribute, rent, or sell to a consumer, including things such as watercraft or food.

• Cyber Liability Insurance: Cyber liability insurance is one of the most critical coverages to have for selling products online, especially if you’re storing your customers’ data. While your customers will visit your campground or RV park, if you offer customers the opportunity to make a reservation online that requires them to include personal or financial information, it is your responsibility to protect their data. Cyber liability insurance covers costs associated with electronic incidents, such as cyber-attacks on your computing systems.

• Commercial Property Insurance: Commercial property insurance protects your establishment, as well as its contents (including your inventory) from insured risks that occur beyond your control, like a fire, theft, or flood. Carrying commercial property insurance gives you the option of getting business interruption coverage, which reimburses the net income lost following an insured event. It may also cover overhead costs, employee wages, and other costs associated with temporarily closing your business. However, business interruption coverage does not cover income lost due to a pandemic, infectious disease, or government-mandated closure.

• Equipment Breakdown Insurance: Equipment breakdown insurance covers the costs to repair or replace professional equipment such as commercial kitchen appliances in an on-site restaurant or bar that break or are damaged because of a mechanical or electrical issue. You must have commercial property coverage to purchase equipment breakdown insurance. However, it does not protect your equipment from damage against external sources such as a fire or flood. It is commercial property insurance that covers damages from these types of perils.

• Commercial Crime Insurance: Commercial crime insurance protects against theft by employees, including any losses resulting from forgery or fraud. This type of coverage can be purchased as a standalone policy, or it can be added to your existing commercial general liability policy. There are two types of commercial crime coverages: 
  • Money and securities: covers losses due to burglary, robbery, or theft.
  • Employee dishonesty coverage: covers losses or liabilities resulting from fraudulent acts such as embezzlement.

A cost-effective and comprehensive campground and RV park insurance package is based on several factors, including the type of business and its size, amenities and services you provide, and the park’s location. The cost will also depend on the types of coverages you need and the coverage limits you choose.