If you run a shore excursion, you want business from cruise lines. You want them to promote your tour to their passengers, which will yield more participants for your tours. On top of offering an extraordinary excursion, the cruise lines want you to have excursion insurance.

What Does Excursion Insurance Cover?

Excursion insurance offers three main areas of coverage:

• Contingent general liability: Covers bodily injury tourists might incur while on your excursion, as well as potential damage to their property.

• Contingent auto liability: Covers any damage to your vehicles, or vehicles you rent or hire, in excess of auto insurance coverage required by your locale.

• Contingent watercraft liability: Does the same for watercraft that you own, rent, or hire in order to facilitate your business.

Why Do the Cruise Lines Care if I Have Insurance?

Cruise lines want you to have this insurance because they do not want to be held liable should someone become injured or damage their property while on your excursion. Medical expenses, which may include air lifts if you are in a remote area, are expensive, as are additional food costs and airfare that may be required to get them back home should their injury prevent them from completing the cruise. Whether or not you have insurance, you are liable for these costs. However, if you have insurance, the cruise lines can pass the claim to your reputable insurer rather than their accounting department, and you can avoid bankruptcy.

How Do I Know I’ve Found a Reputable Insurance Provider?

1. Look at A.M. Best Ratings

When shopping for an insurer, you want to make sure that they are a reliable company that has enough equity to pay out when you make a claim. The best way to do this is to make sure they receive a high rating from A.M. Best, the leading insurance rating agency. By confirming that your insurance provider is financially viable, you are avoiding a potential disaster down the road.

2. Make Sure Your Policy Has World Wide Jurisdiction

Another important thing to look for is World Wide Jurisdiction. If a tourist gets injured on your excursion in Belize, they most likely will not attempt to sue from Belize. It is more likely that the lawsuit will originate from their home country. World Wide Jurisdiction means that your coverage applies to lawsuits filed from anywhere in the world, not just where you operate your tour. Without it, you may find yourself paying a premium for a policy that won’t pay out when you are sued from the US or Europe.

Bring in Business by being Protected

Having excursion insurance not only protects you; it protects the cruise line. When cruise lines consider advertising your business to their passengers, not having this coverage will destroy any potential relationship. When you are shopping around, be sure to find a policy with a high AM Best rating and World Wide Jurisdiction not just to make the cruise lines happy, but to protect yourself.