Why do I need insurance for my martial arts school?
Liability insurance is essential for martial arts experts who plan on opening their own studio or school because, as with any business, there are several risks and variables you need to protect yourself from. For example, an instructor or a student could injure themselves demonstrating/learning a new kick. Or perhaps they miscalculate the kick and not only hurt themselves but also damage your studio’s wall. Maybe a student loses their balance and falls onto some equipment, injuring themselves and causing damage.
Whatever the case may be, you could find yourself paying thousands of dollars in lawsuits or fixing/replacing broken equipment or damages to your studio. Having a martial arts studio insurance policy can protect your livelihood from financial loss or bankruptcy.
What are insurance coverages available for martial arts school insurance?
You will generally find several coverages in your typical martial arts studio insurance policy, including the following:
Professional Liability Insurance
Professional liability insurance, also known as errors and omissions insurance, is essential for martial arts studios. It protects your business against claims of misconduct, negligence, failure to deliver a service or inadequate work. Professional liability covers:
- Errors, mistakes and oversights
- Failure to meet deadlines
- Failure to deliver your product/service as advertised
- Professional negligence
- Failure to meet a standard of care
- Breach of contract
Commercial General Liability Insurance
Commercial general liability protects you, your business and your employees from legal liability against third-party bodily injury or property damage claims that occurred at your martial arts studio or school. It covers the costs of medical bills, legal fees, and repairs or replacements. This insurance policy also protects you against any advertising and reputational injuries (e.g., slander, libel, copyright infringement).
Commercial Property Insurance
Commercial property insurance protects your studio or school and the contents inside (e.g., equipment, inventory, etc.) by covering the financial loss from such perils as:
- Property damage due to natural disasters, flood, fire, vandalism or theft.
- Property damage or theft of electronics, equipment, company documents or employees’ personal belongings.
- Inventory theft by employees.
Commercial property insurance can also include business interruption, which protects your business should you be unable to work due to an illness or injury and have to shut it down temporarily. This helps offset ongoing costs from income losses, such as bills, employee wages, etc.
Cyber Insurance
Cyber and privacy liability insurance protects your business by covering damages and legal claims if your customers’ personal information is leaked or stolen due to a data breach or theft. As more and more studios are offering virtual classes, this has become an essential insurance policy for martial arts studios to have.
Participant Accident/Liability Coverage
In the event that a student is injured during a training session and there is no fault or liability found, this policy will provide accident and medical coverage. It includes:
- Accidental death and dismemberment
- Accident para-medical expense
- Permanent and total disability
- Weekly accident indemnity
Tournament (Special Event) Liability Insurance
Martial arts tournaments are exciting. Friends and families love to gather together to watch their loved ones compete. But hosting a tournament brings new risks that your studio may not regularly face. Special event insurance is vital for any studio that plans to host martial arts tournaments. This short-term policy provides coverage for any third-party bodily injury and property damage that occurs during the event. It also provides coverage should you decide to host the tournament at a larger rental space. Moreover, this policy is also beneficial if you decide to host an end-of-the-season party or graduation ceremony.
