Bouncy castles are a lot of fun, but the laughter can quickly turn to tears. If you run an inflatables business or are planning an event with a bouncy castle, bouncy castle insurance is a must-have. With a robust policy in place, you’ll have peace of mind that you’re protected financially from claims for compensation for injuries. It also offers financial reassurance for other claims for damage to property and theft. Our complete guide tells you what to look out for when you buy bouncy castle insurance and how to get the best price deal.
When bouncy castle fun turns to tragedy
Every year there are around 10,000 injuries reported as a result of bouncing on an inflatable. Unfortunately, these can be very serious. In 2018, eight children were hurt when an inflatable slide collapsed in Surry. Even more recently, it was reported that a three-year old girl was injured when a gust of wind sent two bouncy castles flying in Yorkshire.
Who needs bouncy castle insurance?
You need insurance if:
1) You have a bouncy castle or other inflatables that you hire out to the public.
2) You may also need it if you’re organising an event where you’ll have a bouncy castle. For example, this could be an event like a school fair, country show, or a children’s party.
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1) Why public liability insurance is a must for bouncy castle operators
Anything involving jumping around has the potential for causing injury. Unfortunately, these injuries can be serious and also result in you being sued. If you hire out a bouncy castle, public liability insurance is a must. It covers your legal costs if a claim is brought against you for any damage to property. In addition, you’ll be covered if someone is injured by something to do with your business.
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Don’t scrimp when it comes to public liability insurance. If something goes wrong on the bouncy castle, the injuries sustained could be serious. That can mean expensive compensation claims. Bear in mind that more than one person can be hurt, resulting in multiple claims. So you need to be sure you have enough coverage to protect your business. A minimum of £2million is recommended, but you may opt for more depending on the size of bouncy castle that you have and if you have more than one.
2) Public liability insurance if you’re organising an event with a bouncy castle
If you’re organising an event that will feature a bouncy castle, you may need public liability insurance. Even if the business that you hire the bouncy castle from has insurance, you can still be considered liable for injury and damage. For example, if you’re considered responsible for everyone using the inflatable, you’ll be liable for any injuries they sustain while using it. Don’t spend out on insurance unnecessarily though. Check with the person you’re hiring your bouncy castle from. Ask if their insurance also covers you, the customer, for any injuries sustained or damage caused.
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Don’t just take the word of the bouncy castle hire company that you don’t need insurance. Words mean nothing if there is a claim. For your peace of mind, you should ask to see a copy of the insurance policy so you can be sure it’s included. If you’re still not sure, speak to an insurance broker like Park Insurance. It’s better to be safe than sorry.
3) Personal liability insurance if you’re having a party at home with a bouncy castle
Personal liability insurance is the domestic version of public liability insurance. You should consider it if you’re hiring a bouncy castle for a party at home and inviting guests, as you can be held liable if someone suffers an injury.
For example, normally there is a limit to the number of children who can use a bouncy castle at any one time. If this is exceeded and an accident occurs, you could find yourself being sued. Personal liability insurance eliminates this financial risk as it covers all your legal costs.
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Personal liability insurance may already be part of your home insurance policy. Don’t assume that it is though, or you could find yourself substantially out of pocket. Speak to your insurance broker to double-check.
Also, don’t just assume that guests to your home won’t sue you if something goes wrong – they may need the money to cover the cost of treatment or time out of work. With the right insurance, you’ll be able to make sure that anyone injured in your home gets the financial compensation they deserve.
4) When do you need to have employer’s liability insurance?
You’re legally obliged to hold employer’s liability insurance if you employ any members of staff, even if they only work part-time. Failure to have this essential insurance can result in stiff fines that could be devastating to your bouncy castle business. By law, you’re required to have at least £5 million cover. The amount a business needs will depend on the size of the company and the risks being faced. Most bouncy castle or inflatables businesses are relatively small, so £5million-£10million cover might be sufficient.
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You may think that you don’t need employer’s liability insurance if your bouncy castle business is a family business and you only employ close family members. That’s because it is assumed that they won’t make a claim against you. But remember: if something does go wrong and they’re hurt by something connected to the business, they won’t be able to sue for compensation. That means they could sustain life-changing injuries but have no financial help to deal with it.
5) How can you shield yourself financially from lost revenue?
If you make your profit by attending fairs and shows, you rely on the event going ahead. Sadly, there are lots of reasons why events are cancelled at the last minute, from low ticket sales to poor weather. And that can leave you and your business in the lurch with no way to make money and a big problem for your cash-flow.
You can plan ahead to eliminate this business risk. If the event you’re planning to attend is cancelled, event cancellation insurance can cover you for expenses or lost revenue.
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If you don’t need event cancellation insurance, make sure you buy a tailored bouncy castle insurance package. That way you won’t be paying for anything you don’t need.
6) Protect yourself from times when you can’t work with business interruption insurance
Summer is your busiest time. But what if your bouncy castle is damaged unexpectedly and you can’t operate? Or what if you are unwell and you’re unable to work during these lucrative months? Business interruption insurance and personal health insurance make sure you can still pay the bills. They will cover you for your lost potential income if you can’t work.
7) Next, don’t let thieves stop you working
Bouncy castles are expensive, which makes them a popular target for thieves. Your bouncy castle could be stolen from your business premises or if it’s left in a field at an event overnight. You could even find that a customer steals your bouncy castle. However your inflatable is stolen, it means you won’t be able to trade and that’s bad news for your business. Insurance lets you replace stolen equipment quickly so you can get back to work sooner.
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Insurance will normally pay for a replacement bouncy castle of the same age and condition. If you want new for old cover, make sure you speak to your insurance broker.
8) Don’t let damage stop your business
Damage to your bouncy castle can be deliberate or accidental. For example, if a child gets on wearing shoes and a buckle causes a tear. Insurance protects you. It means you can repair or replace the inflatable quickly and without hassle.
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If it’s not financially viable to repair the inflatable, your insurance will pay for a replacement. As above, insurance will normally pay out for a replacement bouncy castle of the same age and condition. If you want new for old cover, make sure you speak to your insurance broker.
9) Look for bundle-value deals for insurance
When you’re buying insurance, you can sometimes save money by bolting on extras. For example, if you have a van to transport your inflatables, you’ll need commercial van insurance. If you use your family car, you’ll need to tell your insurance company that you use it for business purposes, or your insurance could be voided. Some car insurance companies won’t cover you for transporting goods associated with your business at all. You might find it more cost-effective to get specific commercial insurance.
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If your car or van breaks down, you could miss a gig and the chance to make money. Include breakdown insurance with your vehicle insurance for peace of mind so you can get back on the road quickly. Bear in mind that many of the events you go to may require you to travel over fields.
10) Use a specialist bouncy castle insurer to be sure of a good deal
Bouncy castle insurance can be tricky to find on the high street. Be sure that you’re getting the level of cover you need (with no nasty surprises in the small print). Use a specialist insurance provider with good experience in the industry. Another benefit of speaking to an expert is that they can help you to decide what areas of cover you do and don’t need.
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Not every insurer wants to take on the risk of a bouncy castle business.
11) Tailor your insurance to get the best price
If you have one bouncy castle that you hire out at weekends your insurance needs will be very different from someone with a large, national entertainment and inflatables business. Make sure your insurance policy is tailored to your personal needs. That way you’ll get the financial peace of mind you need, and you won’t pay for insurance cover that isn’t relevant to your business.
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If you’re not sure what level of cover you need, speak to an expert. An independent insurance broker like Park Insurance can give you free advice, which could save your business a lot of money.
12) Stay claim free for low-cost premiums
The best way to keep insurance costs down is to pay strict attention to safety. This includes regular maintenance and inspection of your equipment to ensure it’s fit for use. This can help you to stay claim free, which will keep future premiums down.
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As well as regularly checking that the equipment itself is safe, you should also think about the conditions. For example, never operate your inflatable in adverse weather such as high winds. You can check the weather forecast in advance but also be confident to stop operating during an event if you feel that weather conditions have become dangerous. You might lose some cash in the short-term, but it could end up saving your business a lot of money.
13) Shop around for cheap insurance
Next, take some time to shop around when you’re looking for bouncy castle insurance. Just like car or home insurance, the cost of bouncy castle insurance varies between different providers. To be sure you’re getting the best price, shop around by contacting as many different insurance providers as you can.
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Remember, the cheapest deal might not be the best deal for your business. Make sure you read the small print to check that you’re getting the level of cover you need. If something important has been left out, it could end up costing your business more in the long-term.
14) Call Park Insurance for great value insurance
If you don’t have time to shop around, or are not sure where to go or what to ask for, don’t worry. Get in touch with our bouncy castle insurance specialist team at Park Insurance. We have many years of experience finding great value insurance and understand your business needs. We’re independent, so we’re free to shop around to find you the best price, and as one of the UK’s biggest insurance brokers, we have strong buying power that enables us to negotiate hard on your behalf. Call us on 0117 955 6835 or complete the form below to get a quote.