06 Aug Amusement Park Operators Could Be Facing Greater Liability

Insurance for Amusement Park Operators

One of the biggest liabilities your amusement park or recreation business could face is customers who are injured or endangered due to one of your rides. Tennessee, in response to several amusement park-related injuries in 2016, has recently passed legislation through their house and Senate that, if it is signed, will increase the number of mandated inspections and let injured patrons pursue legal action against the owner and operator of the ride. The safety of your customers is paramount, and protecting your business from the financial burden of repairing rides and answering third-party claims should also be your goal before the summer season starts.

What type of excess liability coverage can best protect your amusement park business if this new legislation is signed into law?

• Excess or umbrella liability insurance. Your business’s insurance has coverage limits, and third-party claims regarding injury are the sort of major claims and lawsuits that can quickly exceed those limits. Protect your business’s assets in the event of a major claim by raising your coverage limits in the eventuality of a customer’s injury through negligent operations or rides that have fallen into disrepair.
• Property insurance. Increased inspections mean that your rides and equipment would be inspected more often and potentially more stringently, with new requirements and an increased range of factors taken into consideration. Stay ahead of inspection notices and failing or unsatisfactory ratings by inspecting your own equipment. Property insurance can help you cover costs related to the repair of damaged rides and the loss of parts so that your park stays safe and your business’s finances do, too.

If your park is based in or may travel to Tennessee, the legislation may be signed and apply to your business. If you would like to learn more about increased risks to your business through legislation or industry standards, or you’re considering modifying your insurance coverage to better suit your business, please contact Evolution Insurance Brokers here.