Covering Your Parking Services From Liability

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There are thousands of accidents that occur each year in parking lots, creating injuries to pedestrians and customers or damaging parking structures, other vehicles, or third-party owned property. Valet parking service is a great selling point for your hotel or restaurant that reduces some of these exposures, but this service opens your company up to several liabilities. Carrying valet insurance can reduce how much money your company will spend on out-of-pocket costs to address these liabilities.

Two Options to Consider

If you are going to use your own employees to handle valet needs, it is the most cost-effective move for your company. However, it presents the biggest risk. Give the employees sufficient training and choose drivers that have excellent records. Make sure you have general liability and garage auto insurance in place for this choice.

Choosing a third-party company, such as a professional valet service, reduces a lot of the risk with your parking service. Primarily, it reduces the risk of property damage that has been caused by employees. The company you have contracted with takes the responsibility of paying for damages. You still need insurance to protect your parking area, but not to cover the contract employees.

Carefully consider which option is best for your company when thinking of adding valet services to your operations. You have more control over your employees by keeping the service in house, but it presents the most risk.