Campground Business Insurance

Best Insurance for a Campground

General liability insurance is — generally speaking — one of the most important insurance policies for campgrounds. 

Some of the risks general liability insurance covers are:

• Bodily injury
• Property damage
• Medical payments
• Legal defense and judgment
• Personal and advertising injury

General liability will cover many risks. However, it may not cover all the risks your business is exposed to. These risks may be covered by specialized policies including those that provide: 

• Commercial property coverage: This type of insurance protects the campground’s physical assets such as buildings, equipment, and fixtures from damage or loss due to covered events such as fire, vandalism, theft, or natural disasters.
• Commercial auto insurance: If the campground owns or operates vehicles such as golf carts, maintenance trucks, or vans, it may need commercial auto insurance. This type of insurance provides coverage for physical damage, liability, and medical expenses resulting from accidents involving company vehicles.
• Workers’ Compensation Insurance:  The campground may need workers’ compensation insurance to cover its employees. This coverage provides benefits to employees who are injured or become ill on the job. It can help cover medical expenses, lost wages, and other related costs.

Cost of Campground Insurance

The average campground in America spends between $450-$1,500 per year for $1 million in general liability coverage.

Check out the chart below for a snapshot of average general liability insurance expenditure across a variety of industries.

Several factors will determine the price of your policy. These include your:

• Location
• Deductible
• Number of employees
• Per-occurrence limit
• General aggregate limit

You may be able to acquire general liability insurance at a discounted rate by purchasing it as part of a business owner’s policy (BOP) rather than as a standalone policy.

A BOP is a more comprehensive solution that includes multiple forms of coverage, such as business interruption and property insurance.

Find the Best Rate

Discover the best coverage at the lowest rate in our cheapest business insurance review.

Common Situations That General Liability Insurance May Cover for a Campground

Example 1: If a visitor to your campground is injured due to poor maintenance or upkeep surrounding a fire pit and/or grill, you could be held liable for their injuries. General liability insurance would likely cover their injuries in a lawsuit.

Example 2: A camper takes their boat out on the water using the boat launch provided. But the boat launch wasn’t properly repositioned in the spring, and it damages their boat. General liability insurance will likely help to pay for the repairs.

Example 3: Many modern campgrounds feature supply shops and general stores for visitors to restock their supplies during their stay. If a camper slips and falls on a freshly cleaned floor, your general liability coverage would likely help to pay for their injuries.

Other Types of Coverage Campgrounds Need

While general liability is the most important type of insurance to have, there are several other forms of coverage you should be aware of. Below are some of the most common types of coverage:

Commercial Auto Insurance

All of the vehicles that are used in relation to your business must be covered under a commercial auto insurance policy. Personal insurance will not pay for any damages if you are involved in an accident while operating your business vehicle.

Workers’ Compensation Insurance

If one of your employees suffers an injury or becomes ill due to work-related duties, workers’ compensation coverage will cover their medical treatment and any other relative expenses. Most states require this type of coverage for both part-time and full-time employees.

Data Breach Insurance

When visitors register at your campground, they are trusting you with their personal and private information that may include their home address, credit card numbers, bank account information, and more. With the help of this important insurance coverage, you can help to protect your business and customers in the event of a computer breach that results in stolen data.

Commercial Umbrella Liability Insurance

This specialized insurance coverage is designed to kick in when your other primary policies have been exhausted. So if you end up facing a lawsuit that has already gone beyond the limits of your other insurance coverage, commercial umbrella liability insurance works to cover the remaining costs and damages.

Additional Steps To Protect Your Business

Although it’s easy (and essential) to invest in business insurance, it shouldn’t be your only defense.

Here are several things you can do to better protect your campground:

• Use legally robust contracts and other business documents. (We offer free templates for some of the most common legal forms.)
• Set up an LLC or corporation to protect your personal assets. (Visit our step-by-step guides to learn how to form an LLC or corporation in your state.)
• Stay up to date with business licensing.
• Maintain your corporate veil.