Top 5 Most Common Summer Claims for Cape Cod & Islands Business Owners
Summer on Cape Cod and the Islands is unlike anywhere else. The streets fill up, restaurants are packed, boats are booked, hotels reach capacity, and local businesses prepare for their busiest (and hopefully most profitable) months of the year.
But with more customers, seasonal employees, unpredictable weather, and increased activity comes something else…increased risk.
From a slip and fall on a busy patio to a power outage that wipes out thousands of dollars of inventory seizing business operations for weeks, one unexpected claim can quickly impact your bottom line.
2. Food Spoilage & Lost Income From Power Outages
Cape Cod and the Islands are no strangers to summer storms, high winds, and unexpected power outages. For restaurants, cafes, and markets, losing power can mean losing thousands of dollars in refrigerated inventory.
Example Claim:
A busy seasonal waterfront restaurant loses power after a severe summer thunderstorm. The outage lasts long enough that seafood, meat, and other refrigerated items must be thrown away. The restaurant also has to close temporarily, losing valuable revenue during peak season.
Coverage That May Help:
Depending on the policy, Spoilage Coverage may help replace lost inventory, while Business Income Coverage may help cover lost revenue if your business is forced to close due to a covered loss.
How to Reduce Your Risk:
- Consider investing in a commercial generator
- Maintain refrigeration equipment regularly
- Have an emergency response plan for outages
- Review your limits before your busiest months
3. Boat & Watercraft Liability Claims
For businesses built around the water, summer brings increased activity — and increased exposure. Charter boats, sunset cruises, rental companies, and other marine businesses face unique risks that a standard business policy may not cover.
Example Claim:
A company offering sunset boat cruises experiences an accident when a passenger gets injured while boarding the vessel. The customer files a claim against the business for their injuries.
Coverage That May Help:
A specialized Marine Insurance Policy, such as Marine General Liability or Commercial Watercraft Coverage, may help protect against certain boating-related accidents, injuries, and liability claims.
How to Reduce Your Risk:
- Follow strict passenger safety procedures
- Properly train all crew members
- Perform regular vessel maintenance
- Review your marine coverage before the season begins
5. Burglary & Theft
More visitors can mean more opportunity for theft. Retail stores, boutiques, and businesses carrying valuable inventory often face increased theft exposure during the busy summer months.
Example Claim:
A retail store on Main Street in Nantucket that sells luxury watches experiences a break-in after hours. Several high-value pieces are stolen, resulting in a significant inventory loss.
Coverage That May Help:
Commercial Property Insurance may help cover stolen business property and inventory, depending on your policy limits and coverage details.
How to Reduce Your Risk:
- Install security cameras and alarms
- Use smart locks and proper lighting
- Secure high-value inventory
- Review your inventory limits before peak season
