UK Hotel Insurance Quotes
Hotel Insurance
Business insurance for hotels and guest accommodation, covering your buildings, contents and stock, your guests’ property, your public, employers’ and products liability, and your room revenue if you cannot trade.
Why compare hotel insurance with us?
- Compare buildings, contents, stock and liability cover for your hotel
- Suitable for hotels, guesthouses, B&Bs, inns and serviced apartments
What is hotel insurance?
Hotel insurance is a package built for guest accommodation that brings the covers a hotel needs into one policy, protecting the buildings, contents and stock against fire, flood, escape of water, theft and accidental damage. It adds liability to guests for loss of or damage to their belongings under the Hotel Proprietors Act 1956, public liability for guests and visitors, products liability for the food and drink you serve, employers' liability for your staff, and business interruption to replace lost room revenue if you cannot trade after an insured event. Cover is arranged around your rebuild sum insured, the number of rooms and the facilities you run, with options for a bar, restaurant, spa, pool, functions and loss of licence. For most hotels it is the single policy that keeps rooms open and the business trading when something goes wrong.
Hotel insurance covers a wide range of guest accommodation because the risk itself varies so much. A boutique city hotel, a coastal guesthouse, a country house hotel with a wedding barn, a coaching inn with a busy bar and a block of serviced apartments all sit within hotel insurance, but each carries a different underwriting picture. Insurer appetite varies by the facilities on site, the guest numbers and the location, which is why specialist broker placement matters more than a mainstream off-the-shelf quote.
Policies are usually built up from the covers each property needs. Buildings, contents and fit-out, furniture, fixtures and fittings, linens and stock form the core, then the liabilities are added on top. Every hotel that welcomes guests should hold public liability for injury to a guest or damage to their property, commonly starting at £2m and rising to £5m or £10m, and employers' liability is a legal requirement the moment you take on housekeeping, kitchen, reception or bar staff. The exact mix is priced against the real property rather than treating every hotel the same way.
Brokers on our panel underwrite hospitality risks every day. They understand why the rebuild value, the number of rooms and the annual turnover drive the premium, how a licensed bar, a restaurant kitchen, a spa or a pool change the exposure, why business interruption should reflect seasonality and the time it would take to reopen rooms, and the tighter appetite for late-night bars, listed buildings and flood-risk sites. They price the policy against how you actually trade rather than a fixed online figure.
Related hotel cover
How hotel insurance works
Tell us about your hotel
Your rebuild sum insured, the number of rooms, annual turnover, the facilities on site, number of staff, location, seasonality and any past claims. The more accurately you declare these details, the tighter the quotes the specialist underwriting panel can send back.
Compare specialist hotel quotes
Your details go to brokers who underwrite hospitality risks daily. They price buildings, contents and stock, public and employers' liability, guests' property, products liability and business interruption against your specific hotel and the way you trade.
Choose your cover and stay protected
Pick the policy that fits your hotel. Core buildings, contents, stock and liability cover, with business interruption, guests' property, loss of licence and bar, restaurant, spa or pool cover added where you need them.
What does hotel insurance cover?
Hotel insurance brings the covers a guest-accommodation business needs into one policy, across its premises and contents, its guests, its liabilities and its income. These are the six cover lines a hotel policy is built around.
Buildings and contents
The building itself if you own the freehold or are responsible under a lease, plus the furniture, fittings, linens and equipment (FF&E) throughout the hotel, insured to a declared sum.
Guests' property liability
Loss of or damage to a guest's belongings while they stay with you, reflecting the duty a hotel owes its guests over their property.
Public liability
Claims from guests and visitors injured on site, from slips and trips to stairs, pools and spas. Cover is commonly arranged at £2m, £5m or £10m.
Employers' liability
Covers claims from housekeeping, kitchen, reception and bar staff injured or made ill through their work. Required from your first employee, at £5m minimum and usually arranged at £10m.
Restaurant, bar and stock
Food, drink, bar and cellar stock against spoilage and loss, plus products liability for what you serve, covering allergens and food-safety claims.
Business interruption and loss of licence
Replaces lost room revenue and covers extra costs after an insured event, plus loss of licence where you run a licensed bar or restaurant.
Ready to protect your property, guests and income? Compare hotel insurance quotes to see cover tailored to your hotel.
What hotel insurance does not cover
A hotel policy is built around the rebuild value you declare, the number of rooms, the facilities you run, how the property is secured and the covers you choose to add. Once a loss falls outside those declared limits, the policy stops paying out. Knowing where the cover ends matters as much as knowing what it includes, particularly because an understated rebuild sum, undeclared facilities and optional covers left off the policy are among the most common reasons a hotel claim is reduced or declined.
Wear, tear and gradual damage
Loss caused by ageing, general deterioration, poor upkeep, slow-acting causes, rot, damp and corrosion falls outside the cover. Hoteliers are expected to keep the building, guest rooms, kitchens and equipment in good order. Insurance covers sudden and unforeseen events, not the slow results of neglect.
Money beyond the agreed limit
Cover for reception and bar takings, cash and card receipts is capped, with separate limits for money on the premises in and out of trading hours, in a locked safe and in transit to the bank. Takings above those limits, or money left at reception overnight rather than secured, are not met. Bank regularly and keep cash within the agreed sums.
Guests' valuables above the safe limit
Liability to guests for their belongings under the Hotel Proprietors Act 1956 is capped, and high-value items such as jewellery, cash and laptops are usually only met to a set amount unless deposited in the hotel safe. Losses above those limits, or valuables the guest chose not to lodge for safekeeping, may not be paid. Offer a safe and display the statutory notice.
Cyber and booking-system losses unless added
A standard hotel policy does not cover cyber crime, a hacked booking or card system, ransomware, data breaches or the loss of guest records held online. As more hotels take reservations and payment through their own site and third-party platforms, this is a growing gap. Cyber cover can be added as a separate section where you need it.
Spa, pool and treatment liability unless added
Claims arising from spa treatments, beauty and therapy services, saunas, a swimming pool or a hot tub are not always met by a base policy. If you run these facilities, the exposure needs to be declared and the relevant treatment and pool liability added, rather than assuming it sits within standard public liability.
Seasonal closure and unoccupied periods
If the hotel closes out of season or stands empty beyond the period the policy allows, cover can be restricted, with theft, escape of water and malicious damage often falling away while it is unoccupied. Seasonal hotels should declare their closed months and agree the security and inspection conditions rather than assuming full cover continues.
How much is excluded differs widely from one insurer to the next and from one hotel to another. Always check the policy wording carefully on money limits, guests' property limits, security conditions, seasonal closure terms and optional covers before buying. For cover against claims from guests injured in your hotel, see our public liability insurance guide.
Hotels and accommodation we cover
Hotel insurance is arranged around the building, the facilities and the way the business trades, so the cover fits the risk. These are the kinds of guest accommodation a package is built for.
Hotels and boutique hotels
Full-service properties with rooms to let, and often a restaurant, bar or spa on site.
Guesthouses and B&Bs
Smaller owner-run accommodation serving breakfast, with a handful of guest rooms.
Inns and coaching inns
Rooms above a bar or restaurant, blending hospitality with the licensed trade.
Serviced apartments and aparthotels
Self-contained units let by the night or for longer stays.
Country house and family-run hotels
Larger buildings with grounds, often hosting events and weddings.
Hostels and budget accommodation
Shared and private rooms with a higher, faster guest turnover.
Ready to see prices for your property? Compare hotel insurance quotes and find cover built around the way you trade.
What affects hotel insurance costs
Hotel insurance premiums vary widely from one property to the next. A small seaside guesthouse sits in a very different bracket to a country house hotel with a restaurant, spa and wedding licence. The figure moves with the rebuild value of the building, the number of rooms and your turnover, the facilities you run, the staff you employ, where you trade and how well the property is protected against fire and theft. Understanding which of these factors drives the premium puts you in a better position to ask the right questions before buying.
Set the rebuild sum insured to the full cost of rebuilding the hotel, and declare your room numbers, turnover and every facility accurately at quote stage. Insurer appetite for hospitality risks differs more than most owners expect. Some insurers will not write listed buildings, late-night bars or hotels with a pool or spa. Others specialise in exactly those risks. A specialist broker knows which insurer fits which property, which is why the same hotel can produce quotes 30 to 50% apart across the market. Get the rebuild figure right too, because an understated sum insured triggers the average clause and cuts every claim payout proportionally.
MMC Hotel Insurance Specialists, FCA-authorised (reg. 916241)
Facilities on site
What you run alongside the rooms shapes the risk. A bed and breakfast, a hotel with a busy commercial kitchen, a licensed bar, a spa, a swimming pool or a wedding and events venue each carry a different fire, liability and food-safety profile. The more facilities on site, the wider the cover and the higher the premium.
Rebuild value and turnover
The single biggest price factor. Cover rates on the full cost of rebuilding the hotel, replacing the contents, furniture, fixtures, fittings, linens and stock, and on your annual turnover. The larger the property and the higher the room revenue, the more the policy costs, so set the sums insured to reflect the real figures.
Rooms and staff
The number of bedrooms and how many people you employ feed straight into the premium. Employers' liability becomes a legal requirement the moment you take on housekeeping, kitchen, reception or bar staff, and more rooms and a larger team lift both the employers' and public liability exposure the policy has to cover.
Location and postcode
Local crime rates, coastal and river flood risk and the surrounding area all feed directly into rating, which is why a city-centre hotel can cost many times more than a rural inn. In the highest-risk postcodes, a history of theft or flooding brings larger premiums and, in some cases, higher excesses.
Claims history and seasonality
Previous theft, fire, flood, guest injury or liability claims load the premium and can bring higher excesses or exclusions. A clean record over recent years keeps the cost down. If the hotel trades seasonally or closes out of season, those months also shape the rating, so declare them.
Security and fire protection
A monitored intruder alarm, CCTV, a linked fire alarm and detection system, sprinklers where fitted, fire doors and good-quality locks on all final exit doors all reduce the premium. Meeting an insurer's minimum security and fire clauses also keeps theft and fire cover valid at claim time.
Every hotel is rated on its own rebuild value, rooms, facilities, location and security setup. Compare hotel insurance quotes to see how your property, facilities and security shape the premium across our specialist broker panel.
How much does hotel insurance cost?
There is no fixed online price for hotel insurance. What you pay depends on your property, and a specialist prices it against the risk. The table below shows the main factors that move a hotel premium up or down.
| Factor | Why it matters |
|---|---|
| Rebuild value and turnover | A larger building and higher room revenue mean more to insure. |
| Rooms and staff | More bedrooms and more staff raise the liability exposure. |
| Location | City-centre, coastal and flood-risk sites cost more. |
| Facilities | A bar, restaurant, spa or pool widens the cover and the risk. |
| Seasonality | Seasonal trade and closed months shape the rating. |
| Claims history | Past claims raise the price. |
A rough guide: a small guesthouse with a few rooms sits at the lower end, while a larger hotel with a restaurant, bar, spa or events on site sits much higher. There is no fixed online price, it is quoted by a specialist against your own rebuild value, rooms, facilities and cover.
How hotel insurance works.
Three short steps take you from a few details about your hotel to quotes from specialist hospitality insurance brokers.
Tell us about your hotel
Share your rooms, facilities such as restaurant, bar, spa, pool and events, plus staff and the sum insured you need.
Get matched with specialists
We match you with specialist hospitality brokers who understand hotels and guest accommodation from the ground up.
Compare and get covered
Compare quotes side by side and get your hotel covered on terms that suit the business and its day to day running.
Quotes from specialist UK hospitality brokers, with no obligation to proceed.
Hotel cover options and legal requirements
Some parts of a hotel policy are a legal duty and others simply protect the business you have built. This section sets out the main covers a hotel needs, from employers' and public liability to guests' property, buildings, stock, room revenue and loss of licence, and shows where the law sets the rules rather than leaving the choice to you. Open any section below to see what each cover does and when it applies.
Employers' liability: a legal requirement
Employers' liability insurance becomes a legal requirement the moment you take on staff, whether that is housekeeping, kitchen, reception, bar or waiting staff, and whether they are full time, part time, seasonal or a family member on the payroll. The Employers' Liability Act 1969 sets a minimum of £5m of cover, and most hotel policies arrange £10m as standard. It pays compensation and legal costs if a member of staff is injured or made ill because of the work they do for you.
The duty applies even to a single seasonal room attendant. Trade without valid cover and you can be fined up to £2,500 for each day you are uninsured, and the certificate has to be available to your staff. See our hotel insurance guide for how staff cover fits into a hospitality policy.
Public liability for guests and visitors
Public liability covers claims from guests and visitors who are injured, or whose property is damaged, because of your hotel. A guest slipping on a wet floor, falling on the stairs or hurt at the pool or spa is the classic example. Cover for hotels commonly starts at £2m and rises to £5m or £10m, and a corporate client, tour operator or landlord will often ask for a set limit.
It is not required by law, but few hotels trade without it, and guests and booking agents expect it as a matter of course. The right limit depends on how busy the hotel is, the facilities you run and the value of the contracts you deal with.
Products liability for food and drink served
Products liability responds if the food and drink you serve causes illness or harm, from food poisoning to an undeclared allergen in a dish. A busy restaurant, bar or breakfast service carries real exposure, and a claim can arrive some time after the meal was served.
For most hotels products liability sits alongside public liability under a single combined limit. Sound food safety, allergen labelling and supplier records help you demonstrate due diligence and trace an ingredient back to its source if a claim is ever made against you.
Buildings, contents and stock cover
This cover protects the building where you own the freehold or are responsible under a lease, together with your contents, furniture, fixtures, fittings, linens, kitchen and bar equipment, and your food, drink and cellar stock, against fire, flood, theft, escape of water and accidental damage. The buildings sum insured should reflect the full cost of rebuilding, and contents and stock should be set at their replacement value.
Seasonal peaks matter: stock can rise around a busy summer, a festive period or a wedding season. See our hotel insurance guide for how buildings, contents and stock limits are set.
Guests' property under the Hotel Proprietors Act 1956
Under the Hotel Proprietors Act 1956 a hotel can be held responsible for the loss of or damage to a guest's belongings while they are staying. This cover meets that liability, from a bag taken from a room to a coat lost from the lobby, and reflects a duty that a standard business or home policy does not deal with.
Higher-value items are usually only met in full where the guest deposits them in the hotel safe, and displaying the statutory notice at reception sets out the limits that apply. Offering a safe and following the Act is what keeps this cover working at the point of a claim.
Money cover for reception and bar takings
Money cover protects cash, cheques and card receipts taken at reception and the bar, both on the premises during and outside trading hours and while the takings are being carried to the bank. Different limits usually apply to money in a locked safe, money in the till and money in transit.
Some policies also cover assault of the person carrying the takings. Following the cash-handling and banking routines set out in the policy is what keeps this cover valid at the point of a claim.
Business interruption for lost room revenue
Business interruption replaces the room revenue and trade a hotel loses when it cannot take guests after an insured event such as a fire or flood. It covers lost gross profit and the extra costs of getting back to normal, for example rebooking guests or running from part of the building, over an agreed indemnity period.
Because hotels trade to a season, the indemnity period should be long enough to rebuild, refurbish and win back bookings through at least one full peak, and the sum insured should reflect a busy year rather than a quiet one. Setting either too short is one of the most common gaps in a hotel policy.
Loss of licence and facilities cover
If your hotel has a licensed bar or restaurant, loss of licence cover responds where the justices' licence is lost or not renewed through no fault of your own, meeting the drop in trade and the fall in the value of the business that follows. It sits alongside cover for the wider facilities you run, from a bar, restaurant and spa to a pool, gym and functions, weddings or events on site.
These facilities need to be declared so the policy reflects them, since the Insurance Act 2015 makes undisclosed material facts grounds for a claim to be reduced or avoided. Telling the broker exactly what you run, and how often you host events, is what keeps the cover matched to the hotel.
Each cover meets a different need, and some are set by law rather than left to choice. Compare hotel insurance quotes to see how buildings, liability, guests' property and room revenue cover are arranged for your property across the MyMoneyComparison.com broker panel.
Who needs hotel insurance?
Almost anyone running guest accommodation needs hotel insurance, but the policy looks different depending on how you hold the building and the facilities you offer. A standard business or home policy will not include guests' property liability, pool and spa cover, or room-revenue business interruption. Employers' liability becomes a legal requirement the moment you take on staff.
You own and run the hotel, so the policy has to protect the property itself. Buildings at full rebuild value sit alongside contents, guests' property and the complete liability set.
Running the hotel under a lease shifts the focus to what you own and earn. Contents, stock, liabilities and business interruption lead, while the building is often the freeholder's responsibility.
Smaller owner-run properties still carry real exposure. Contents, public liability, guests' property and business interruption sized to a few rooms keep a quiet year from turning costly.
Higher-value interiors and extensive grounds raise the stakes, and any weddings or events you host should be declared so the liability cover follows the guests.
Food, drink and wellness facilities add their own risks. Expect products liability, loss of licence and the pool or spa public-liability exposure on top of the core cover.
Self-contained units work more like lettings than rooms. Cover spans contents, public liability and business interruption across every apartment you operate.
However you hold the building and whatever you offer guests, the cover should match how the hotel actually trades. Compare cover for your hotel to line the policy up with your property, facilities and rooms.
Hotel insurance vs a standard business or shop policy
A hotel is a guest-accommodation business, so it needs cover that a general business or shop policy simply does not include. Running a hotel on generic cover leaves clear gaps, and those gaps are the most common reason a hospitality claim is reduced or declined. Each tile below shows a hotel-specific need, what proper hotel insurance includes, and what a standard business or shop policy typically leaves out.
Guests' property liability
Hotel insurance covers loss of or damage to guests' belongings under the Hotel Proprietors Act 1956, which places a legal duty on you for property brought onto the premises.
Pool, spa and leisure liability
Hotel insurance rates and covers pools, spas and gyms on site, along with the added risk they bring. Generic cover assumes there are none of these facilities on the premises.
Restaurant and bar products liability
Hotel insurance covers the food and drink you serve, including allergens and food-safety exposures. A basic business or shop policy may exclude this entirely.
Loss of licence
If the hotel has a licensed bar or restaurant, hotel insurance can cover loss of the premises licence and the income tied to it. Generic cover does not respond to this at all.
Room-revenue business interruption
Hotel insurance replaces lost room revenue after an insured event and allows for seasonality in your trade. A shop policy is built around retail takings, not rooms.
Public liability for guests on site
Hotel insurance rates the higher footfall, stairs and facilities of a hotel and covers guests at £2m, £5m or £10m. A home policy provides personal liability only.
Cover the gaps a standard business or shop policy leaves open. Compare hotel insurance quotes built around the way your hotel actually trades.
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Specialist hotel insurance comparison since 2013
Since 2013, MyMoneyComparison.com has helped UK hoteliers find cover without the runaround. Whether you run a boutique city hotel, a coastal guesthouse, a coaching inn with a busy bar, a country house hotel with weddings on site or a block of serviced apartments, our specialist broker panel underwrites hospitality businesses every day. Compare specialist hotel insurance from a panel that understands buildings, contents and stock, public liability, employers' liability, products liability, guests' property, business interruption and the full range of UK guest accommodation risks.
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Everything You Need to Know
Detailed answers to help you understand more about hotel insurance.
What is hotel insurance?
Hotel insurance is a business package that protects a hotel and how it trades: the buildings and contents, the liabilities you owe to guests, visitors and staff, guests’ belongings while they stay, and the room revenue and trade you lose if you cannot open. It brings the covers a hotel needs into one policy.
Is hotel insurance a legal requirement?
Hotel insurance itself is not compulsory, but employers’ liability is a legal requirement the moment you employ anyone, from housekeeping and kitchen to reception and bar staff, at £5m minimum and usually £10m. Public liability is not required by law but is expected given the number of guests and visitors on your premises.
What does hotel insurance cover?
The buildings and contents, public liability, employers’ liability and business interruption as the core, plus guests’ property liability, restaurant and kitchen risks, money and takings, and any pool, spa or gym you run. You build the package around the size of the hotel and the facilities you offer.
Do I need employers' liability for my hotel?
Yes, the moment you take on any staff, including part-time, seasonal or agency housekeeping, kitchen, reception and bar workers. The law requires at least £5m of employers’ liability, usually arranged at £10m, and you can be fined up to £2,500 for each day you are uninsured.
What is guests' property liability (Hotel Proprietors Act 1956)?
Guests’ property liability responds when a guest’s belongings are lost or damaged while they stay with you. It reflects the innkeeper’s duty of care set out in the Hotel Proprietors Act 1956, which can make a hotel responsible for a guest’s property, so this cover sits alongside your public liability.
Does it cover my restaurant, bar and kitchen?
Yes. If you serve food and drink, cover extends to your restaurant, bar and kitchen, including products liability for allergens and food safety should a meal make a guest unwell. Where you hold a licence, you can also add loss of licence cover in case your alcohol licence is withdrawn.
Does it cover a pool, spa or gym?
Yes, but a pool, spa, sauna or gym raises your public liability exposure, so it must be declared and rated by the insurer. Once it is on the policy, injury to a guest using those facilities can be covered, and insurers may set conditions around supervision, signage and maintenance.
What is business interruption cover for a hotel?
Business interruption replaces the room revenue and trade you lose, and covers extra costs, if an insured event such as a fire or flood stops you taking bookings. Because hotel takings swing with the seasons, set the sum insured against your busiest trading period so a peak-season closure is not underinsured.
How much does hotel insurance cost?
There is no fixed price. Your premium reflects the rebuild sum insured of the buildings, the number of rooms and your turnover, the facilities you run such as a restaurant, bar, pool or spa, staff numbers, location, seasonality and your claims history. The way to find your figure is to compare quotes on your own details.
Does it cover weddings, functions and events?
Yes, if you declare them. Weddings, conferences, private functions and events held on site add public liability exposure from larger numbers of visitors, so tell your insurer about them and they can be covered. Letting the insurer know how often you host events keeps the policy responding when a claim arises.
Does hotel insurance cover public liability?
Yes, public liability is a core part of a hotel policy. It covers you if a guest or visitor is injured on your premises, for example a fall on the stairs or an accident by the pool, or their property is damaged, with limits commonly set at £2m, £5m or £10m to reflect the higher exposure of a hotel.
Why use a specialist hotel insurance broker?
Hotels vary widely by size, facilities and how much they trade, so a specialist hotel and hospitality broker can match the buildings, liability and business interruption covers to how your hotel actually operates and reach markets a price-comparison motor journey cannot. MyMoneyComparison.com compares quotes from FCA-regulated UK brokers.
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