Hotel and Lodging Insurance
Cottonwood, Flagstaff

Your front desk rarely closes. Guests check in at midnight, the pool opens at dawn, and the kitchen, laundry, and maintenance teams keep things running in between.

Butler-Leavitt & LGNA works with hotel and lodging owners and managers to identify the exposures that come with hosting the public and arrange coverage that fits how your property operates.

Who We Serve

Leavitt Group of Northern Arizona provides hotel and lodging insurance solutions for:

• Independent and Boutique Hotels
• Franchised and Branded Hotels
• Motels and Roadside Lodging
• Resorts and Destination Properties
• Inns, Lodges, and Bed and Breakfasts
• Extended-Stay and Suite Hotels
• Cabin and Cottage Properties
• Hotel Ownership Groups and Management Companies

We're More Than Insurance Agents. We're Your Partners in Protecting Every Room, Guest, and Stay.

Lodging properties carry a mix of exposures most businesses don't face all at once: guests sleeping on site, pools and fitness rooms, food and alcohol service, valuables left in rooms, and buildings that run 24 hours a day. Our team takes the time to understand your property, your amenities, and your guests so your insurance program reflects how your business actually operates.

Here's What Sets Our Team Apart

Lodging-Focused Coverage Reviews

A roadside motel, a downtown boutique hotel, and a resort with a spa and event lawn face very different risks. We help identify those exposures and arrange appropriate coverage.

Responsive Service

We respond promptly to certificate requests, franchise and lender requirements, and policy changes to help keep your property moving.

Flexible Options for Every Size Property

From a ten-room inn to a multi-property ownership group, we tailor coverage options to fit your operation and budget.

Northern Arizona Knowledge

We understand the exposures lodging properties face here: wildfire season, monsoon storms, winter freezes and snow load, seasonal swings in occupancy, and properties located far from emergency services.

Strong Insurance Company Relationships

We work with multiple insurance companies that write hospitality risks, so we can compare coverage terms and pricing on your behalf.

Trusted, Local Service

As part of Leavitt Group, one of the nation's largest privately held insurance brokerages, you get national strength with hometown service.

Your Guests Come for the Stay. We Help Protect What Makes It Possible.

Whether you operate a family-run inn or manage several branded properties, Leavitt Group of Northern Arizona helps lodging businesses protect what keeps their doors open: your people, your buildings, your guests, and your income.

How We Work With You:

We learn your property

Your rooms, amenities, staff, food and beverage operations, and the requirements in your franchise, lender, or management agreements.

We design your coverage

We compare insurance companies, coverage forms, and endorsements, and walk you through how each option responds.

We help you prepare for underwriters

Underwriters look closely at maintenance, security, and staff training. We help you present your property's risk controls clearly at renewal.

We review as you grow

We review your coverage with you as your rooms, amenities, renovations, and services change.

What Coverage Do Hotels and Lodging Properties Need?

Every property is unique, but most hotels and lodging businesses need protection for the same essentials: your guests, your employees, your buildings and contents, and the income your rooms generate.

General Liability

Helps protect your business from third-party claims of bodily injury or property damage, such as a guest who slips in the lobby, falls on an icy walkway, or is injured at the pool.

Commercial Property

Helps cover your buildings, furniture, fixtures, linens, kitchen and laundry equipment, and other business property after a covered loss such as fire, wind, or burst pipes. Insuring your property to its current replacement value matters, since construction costs change over time.

Business Income and Extra Expense

Helps replace lost income and pay for necessary extra costs when a covered loss forces you to close rooms or suspend operations while repairs are made. Waiting periods and time limits apply, so we review these terms with you.

Innkeepers Legal Liability

Addresses your legal liability for guests' property in your care, such as luggage, valuables in a front desk safe, or items in a storage room. General liability policies typically do not respond to these losses. Coverage may be written as its own policy or as a guest property endorsement to a crime policy.

Liquor Liability

If your property has a bar or restaurant, offers room service, or hosts events where alcohol is served, liquor liability helps protect you from claims that arise after alcohol is served to a guest. Arizona's dram shop statute can hold liquor licensees responsible in certain circumstances, such as serving someone who is obviously intoxicated or underage.

Workers Compensation

Covers medical bills and lost wages for employees injured on the job, from housekeepers and maintenance staff to kitchen and front desk teams.

Equipment Breakdown

Helps cover repair costs and related losses when mechanical or electrical equipment fails, including HVAC systems, boilers and water heaters, elevators, refrigeration, and commercial laundry equipment. Many standard property policies do not include this coverage unless it is added.

Cyber Liability

Hotels handle guest credit cards, reservation data, and personal information every day. Cyber coverage may help with costs tied to a data breach, such as notification, forensic investigation, and liability claims, depending on the policy.

Commercial Auto

Covers shuttles, vans, and maintenance vehicles your property owns, and can include hired and non-owned auto liability when employees run errands in their own vehicles.

Commercial Umbrella

Adds an extra layer of liability protection when a claim exceeds the limits of your underlying policies.

Other Coverage Options Worth a Conversation

Depending on your property and amenities, you may also want to discuss:

• Garagekeepers coverage if you offer valet parking or park guests' vehicles
• Employment practices liability, including options for third-party claims made by guests
• Crime coverage for employee theft and fraud
• Food spoilage and contamination for on-site kitchens and restaurants
• Spa and salon professional liability for personal services offered on site
• Abuse and molestation coverage where children's programs or similar services are offered
• Pollution liability for exposures such as mold, pool chemicals, and water systems
• Flood coverage, which is typically excluded from standard property policies
• Builders risk during renovations or property improvement plans
• Management liability (directors and officers) for ownership groups and management companies
• Employee benefits to help recruit and keep staff

Why the Fine Print Matters for Hotels

Two hotel policies with similar premiums can respond very differently to the same claim. Many insurance companies now exclude or limit coverage for certain hospitality claims, such as assault and battery or negligent security allegations, and some limit coverage for claims involving human trafficking allegations.

A lower quote may come with narrower coverage. We review these terms with you so you can see where your program stands before a claim occurs.

How Much Does Hotel and Lodging Insurance Cost in Northern Arizona?

There's no single estimate. Your premium depends on your property, your amenities, and your operations. Factors include:

• Your property's location and exposure to wildfire, storms, and freezing temperatures
• Number of rooms and square footage
• Age, construction, and condition of your building, including roof, electrical, and plumbing updates
• Fire protection, sprinkler systems, and security measures
• Amenities such as pools, hot tubs, fitness rooms, and spas
• Food and alcohol service, room service, and events
• Valet parking or shuttle services
• Number of employees and payroll
• Claims history
• Coverage limits and deductibles
• Franchise, lender, or management agreement requirements
• How long you have operated the property

We take the time to learn your property and explain how each factor affects your options.

Ready to Protect Your Property?

Don't let a single fire, injury claim, or equipment failure put your property at risk. Get a quote today and see how easy it is to get coverage designed around your rooms, your guests, and your team.

1. Submit a Quick Contact Form. Leave your contact information and details about your property. It only takes a minute, and we'll take it from there.

2. We Reach Out to Learn More. We'll contact you to gather any additional details we need about your property and operations.

3. We Shop the Market for You. We contact multiple insurance companies and compare coverage options that fit your property and budget.

4. You Choose with Confidence. We walk you through your options, explain the terms, and help you decide.

Have questions? Contact:

Shane Welker

Co-Owner, Insurance Agent

(928) 526-3223
Service Area: Flagstaff and Greater Arizona

Stephen Padilla

Co-Owner, Insurance Agent

(928) 526-3223

Frequently Asked Questions

• Does general liability cover a guest's lost or stolen belongings?

  Typically, no. Loss of guests' property in your care is usually addressed by innkeepers legal liability coverage, which can be written as its own policy or added to a crime policy. We can review whether your current program includes it.

• Does Arizona limit a hotel's liability for guest valuables?

  Arizona law can limit an innkeeper's liability for certain guest property when the property maintains a fireproof safe and posts the required notice. The limits do not apply when a loss results from the innkeeper's own fault or negligence. Talk with your attorney about your posting and safekeeping procedures, and talk with us about coverage for the exposure that remains.

• Do I need liquor liability if a third party runs the bar or restaurant on my property?

  It depends on your contracts and how alcohol is served. If an outside operator runs the bar or restaurant, ask for a certificate of insurance showing their liquor liability limits and whether your property is named as an additional insured. If your staff serves alcohol, including at events or through room service, we'll review liquor liability options for your property.

• Will my policy cover lost income if a wildfire or road closure keeps guests away?

  It depends on the cause and your policy terms. Business income coverage generally responds when a covered loss physically damages your property. Civil authority coverage may apply when authorities prohibit access to your property because of covered damage nearby, subject to distance requirements, waiting periods, and time limits. A general drop in tourism is usually not covered. We'll walk you through how your policy responds before fire season.

• Our franchise agreement and lender require specific coverage. Can you help?

  Yes. We review franchise, lender, and management agreement insurance requirements with you, help arrange coverage to address them, and provide certificates of insurance when you need them.

• If we offer valet parking, are guests' cars covered?

  Not under a standard general liability policy. Garagekeepers coverage addresses covered damage to guests' vehicles in your care, custody, or control. If you use an outside valet company, ask for a certificate of insurance showing their coverage and limits.

• Do I have to offer health coverage to my employees?

  Under the Affordable Care Act, employers with an average of 50 or more full-time employees, including full-time equivalents, in the prior year are considered applicable large employers and may owe a payment if they do not offer qualifying coverage to full-time employees. Seasonal staffing can affect the count. Our employee benefits team can help you review your options; your tax advisor can confirm your status.

• What types of insurance are important for the hospitality industry?
  Your business, its needs, and its risks are unique just like you. The coverage that best suits your business may vary from someone else's, but there are coverages everyone with a business in the hospitality sector should consider. These include: Liquor Liability If your business sells, serves, or distributes alcohol, you need liquor liability insurance. It can protect you against legal costs, property damage, medical bills, and drunk driving claims that may arise after your business serves or sells alcohol to a customer.
• How much does hospitality insurance cost?

  Unfortunately, there's no single estimate. You run a unique business with lots of different factors affecting your premiums. These factors include:

  • Your business's location
  • Additional services and activities offered
  • Square footage of your hospitality business
  • Presence of a pool
  • The type of food and drink you serve
  • How long your business has existed
  • Your hours of operation
  • The age of your building
  • Number of employees
  • Type of fire and security systems
• What other hospitality coverages should I consider?
  Hospitality insurance isn't limited to liquor and innkeeper liability and food spoilage insurance. There are many other coverages that can protect you if something goes wrong. Some additional coverages you should consider for your hospitality business are: Workers Compensation provides coverage for medical expenses, rehabilitation costs, and lost wages for employees who are injured or become ill at work. Medical If you employ more than 50 people full-time, you need medical insurance. However, if you do not employ more than 50 full-time workers, then medical insurance is not required. Commercial Auto insures vehicles that are owned, leased, hired or borrowed by businesses, whether they are associations, corporations, partnerships, or sole proprietorships. Commercial Property may include coverages such as builders risk, business income, extra expense, legal liability, and building and personal property. General Liability covers the cost of property damage or bodily injury that occurs on your business property or as a result of your products, services, or advertising. Cyber may cover actual costs associated with a data breach, liability for privacy breaches, asset recovery, business interruption costs, and costs associated with reputation management after a data breach. Employment Practices Liability coverage for claims by employees stating that their legal rights as an employee of the company have been violated. Umbrella provides additional liability insurance that goes into effect when a claim exceeds the limits of an associated policy.