Dance Instructor Insurance: Cost, Coverage & Providers
Nancy Fernandez is a Credit Card and Insurance Expert at Fit Small Business, specializing in business credit cards and business insurance.
Because there isn’t a single policy to cover all their risks, dance instructors need multiple dance studio insurance policies. In most cases, instructors can obtain bundled insurance coverage under a business owner’s policy (BOP) to get comprehensive protection for their most likely losses. BOPs for dance instructors start at $300 annually.
Dance studio owners may be required by landlords to get building tenant insurance but might not be required to add any other policies. However, they still face exposures in several areas, such as student and employee injuries, and clients often prefer to work with businesses that are properly insured. For this reason, dance instructors need a combination of policies to cover their biggest risks. For example, dance studio insurance often includes general liability, renters insurance, property coverage, and workers’ compensation.
Whether you own a dance studio or are an individual dance instructor, getting coverage that protects your interests is important. Insurance companies, such as The Hartford, can help you decide on the right coverage for your business with a quick, no-obligation application. In only a few minutes, you can have the coverage you need and the confidence to turn the music up and dance.
Dance Instructor & Dance Studio Insurance Costs
Because instructors need multiple policies, it’s important to add up the costs. Dance instructors and studio owners get the best price if they bundle coverage by purchasing a BOP from a provider that allows industry-specific add-ons. Starting at around $400 annually, BOPs generally cost less than liability and business property policies purchased separately.
Dance studio insurance costs vary widely from state to state. These are typical starting costs for policies based on a 2,000-square-foot gym with one desk clerk and $100,000 in fitness and business equipment.
Dance Instructor & Dance Studio Insurance Costs & Deductibles
Insurance Type | Typical Premium Cost | Coverage Amount | Deductible |
|---|---|---|---|
BOP | $400 to $3,500 | $1 million liability + $30,000 property | $500 |
Professional Liability Policy | $450 to $1,200 | $1 million | $500 |
Workers’ Compensation | $500 to $3,000 | $1 million | $500 |
Commercial Auto Insurance | $3,840 to $,4200 per vehicle | $250,000 | $500 |
Several factors can impact the cost of dance instructor insurance, including:
- The value of property and equipment: If you teach dance classes at clients’ homes and have no equipment, property insurance costs are much lower than if you have a large studio full of specialized and costly equipment.
- Your experience: Your history of professional experience in the field of dance, along with any record of past claims, affects professional liability policy costs.
- Employees: The more workers employed at your studio, the higher the costs of workers’ compensation coverage.
If you offer a broad spectrum of fitness services at your studio―or subcontract to others who do―including them may mean that some insurers will decline to cover your business. But don’t get frustrated: be honest with your agent so they can find the right policy to cover your needs.
Tip: While bundling numerous policies usually provides the most affordable dance studio insurance, it is best to shop around before doing so. Work with a broker or shop the internet to get quotes from small business insurance companies. Make sure to compare different policy premiums, limits, and deductibles to get the most comprehensive insurance at the optimum total price.
What Dance Studio Insurance Covers
Dance studio liability insurance covers the potential accidents that lead to other people’s bodily injury, property damage, and financial loss. Dance instructor insurance may also cover professional liability such as causing an injury by incorrectly teaching a dance move—for example, a swing dance jump students are not prepared to do.
Other policies are designed to cover damage to a business’ personal property and buildings as well as business interruption and employee injuries.
The primary areas dance studio insurance covers include:
- Injuries to consumers and clients due to slip-and-fall types of accidents
- Personal property damage to clients whose items are damaged or broken
- Damage or loss of the studio location or physical assets as a result of fire, theft, vandalism, and other similar incidents
- Lawsuits against dance studio instructors claiming that poor professional advice or lack of services rendered resulted in financial or physical harm to clients
- Injuries and lost wages for employees hurt while working in the studio
There are many facets to business insurance needs, particularly with exercise locations like dance studios. One dance studio might not need the same business insurance coverage as another. Some may elect higher coverage for once-in-a-lifetime accidents but feel that smaller claims don’t need coverage and elect bigger deductibles to save costs.
Tip: Always read insurance policies carefully to confirm you’re fully covered for losses in different situations. For example, many dance instructors use their personal vehicles to travel to their rented studios or their students’ homes and assume that their individual auto insurance will provide coverage. That usually isn’t the case as personal auto policies usually exclude commercial driving.
What Dance Insurance Doesn’t Cover
Every insurance policy has exclusions, and dance studio insurance is no different. Policies vary among insurance carriers, so be sure to check exclusions when purchasing the policy so that you know what to expect from your coverage. In most cases where claims are denied, it’s because the studio owner didn’t choose the right policy or coverage. Doing your homework ahead of time saves a lot of headaches and frustration.
Types of situations that dance studio insurance doesn’t cover include:
- Unlawful actions, including false statements and guarantees: Telling a student, “You will be on Broadway in a year, guaranteed” is a guarantee.
- Privately labeled products and clothing: Selling any supplements or dance clothing under your own name requires a different insurance policy, including a different risk class or a provider who will tailor the policy.
- Limitations on programs for minors: Allowing kids under the age of 18 may result in restrictions or exclusions.
- Additional services and classes: Martial arts, drama, yoga, and crafts classes may be excluded unless specifically added on.
- Student injury during class: Dance injuries are normally excluded unless added specifically with medical payments coverage.
Tip: If you are thinking of offering additional classes in your studio, such as fitness, Pilates, or yoga, you may need a separate insurance rider for these activities to be covered. Pricing for additional coverage may vary depending on the level of risk and how frequently these classes are being offered.
Use as much detail as possible when completing applications to make sure you get the right quote and ensure claims are covered. If you are unsure, give your insurance provider a call to confirm what is covered and what isn’t.
Types of Dance Instructor Insurance & Dance Studio Insurance
Dance instructors must protect themselves from many types of claims and lawsuits. While general liability claims are the most common, professional liability and workers’ compensation claims can quickly bankrupt a small business that doesn’t have the right insurance policies.
Most Common Types of Dance Studio Insurance
Type of Insurance | What It Covers |
|---|---|
BOP | General liability and property damage claims |
Professional Liability Policy | Claims arising from an instructor’s professional advice or teaching |
Workers’ Compensation Insurance | Injuries to studio employees |
Commercial Auto Insurance | Damage to vehicles and liability in auto accidents |
Accident Coverage | Pays limited health costs, normally the deductible, for students injured while performing |
BOP
A BOP is a policy every dance instructor needs. This policy groups two of the most important types of coverage: general liability and property coverage. A dance instructor needs a general liability policy in case a non-employee gets hurt in the studio. The property coverage in a BOP pays to repair or replace damaged buildings or equipment.
For example, if a student slips in the changing room, a BOP would cover their medical bills or damaged property. The policy would also pay for your legal fees if the student sued.
Tip: It is best to read through your liability insurance policy to know the definition of an insured person. While employees are usually covered, many policies do not provide insurance protection for independent contractors. If your instructors are independent contractors and aren’t covered, they would need to show proof that they have their own insurance.
Professional Liability Policy
There’s a risk that dance instructors could be sued for giving advice to clients if the client sustains an injury as a result. For instance, if an instructor advises a student to go on a diet that lands the student in the hospital, a professional liability policy covers associated claims.
As a dance instructor, having a professional liability policy can help cover gaps if your student names you in a lawsuit and the overall company policy cannot cover you. Even if the coverage is extended, your legal defense is best served with your own policy.
For example, if an instructor makes a misleading statement about services, professional liability covers resulting losses. Another instance where professional liability coverage would be needed is when an instructor is sued for bad advice on nutrition or dangerous instruction.
Workers’ Compensation Insurance
Many dance studios employ multiple instructors or support staff, such as receptionists or cleaners. Throughout the United States, companies that employ others are generally required to buy workers’ compensation coverage in case employees are hurt on the job.
The rules differ by state—for example, Texas doesn’t require coverage, and some other states don’t require you to purchase a policy until you have several employees. However, having a policy ensures medical costs and disability benefits are paid to injured workers. If a studio employee slips and falls, workers’ compensation insurance covers the resulting costs.
Commercial Property Insurance
Dance instructors who own the property where they conduct their lessons need commercial property insurance to cover their building and its contents, such as furnishings and equipment. When there is damage to building contents in the event of a fire, theft, or natural disaster, commercial property insurance pays the insured value―less the deductible―to have the items replaced or repaired.
Some people believe that their property is already insured in their general liability coverage—especially when they see “property damage liability.” This is not the case, as property damage liability only covers damage to other people’s property. If you want your property like furnishings, furniture, and equipment secured in the event of loss or damage, then you would need commercial property insurance.
Tip: If you opt to rent a space for your studio, your policy should include not just yourself, but also the owners of your rented studio. Contracting with schools may also require specific policy language and coverage limits, so talk to an agent to make sure that you understand your policy.
Commercial Auto Insurance
If you travel to different locations to provide instruction or transport students in company vehicles, such as vans to take students to dance competitions, it’s important to have commercial auto insurance. Your policy covers lawsuits if you cause an accident, and you can add coverage for damage that occurs to your vehicle while driving for work.
Instructors who drive to off-site locations to teach need commercial auto insurance in case of an accident. If your car has any advertisements on it for your dance studio, it is wise to talk to your insurance agent regarding any potential lawsuits that might result from an auto accident, even a nonwork-related one. People may sue your business just because they see the business name and assume it has more money than an individual.
Accident Insurance & Medical Payments
Accident insurance and medical payments are often excluded from dance studio insurance unless elected as an additional rider. This coverage pays for the medical expenses of someone injured while performing a physical activity in a nonnegligent incident.
An example of a covered medical expense is a dancer coming down from a jump and twisting her ankle. If the instructor didn’t give incorrect advice, then this isn’t a professional liability claim, nor is it a slip-and-fall that would be covered by general liability. Without medical payments coverage, the student may need to sue the studio if they can’t afford her health insurance deductible.
Dance Instructor Insurance Providers
Different types of dance studios have different risks to address when it comes to insurance. While you may be able to cover all of your dance studio’s insurance needs through national carriers, there may be some special circumstances where you need a smaller boutique insurance provider.
Top Dance Instructor Insurance Providers
Provider | Best For |
|---|---|
Dance studios that teach lessons and perform exhibitions at local events | |
Mixed-use dance studios of all sizes with dance, art, and exercise classes | |
Individual dance instructors who work at multiple studios or give private lessons | |
Studios with extensive children’s programs and after-school program contracts | |
Dance studios owners who also offer yoga or tumbling lessons |
The Hartford
The Hartford is a small business insurance leader offering policies across the country. With a reputation for innovation, The Hartford has built a BOP that is not only affordable but also has more coverage options than its competitors.
The Hartford is the right choice for dance studios where lessons include exhibitions at local events like schools and local fairs. Dance instructors can get comprehensive coverage that includes medical payments for students injured during lessons.
CoverWallet
CoverWallet is an online insurance broker that shops and places business insurance for companies across the country. This provider partners with more than two dozen top-tiered insurance carriers to make sure every small business owner can find the right coverage for the right price.
CoverWallet is the best choice for a dance studio that offers a wide range of dance classes in the studio and at external locations while also using their studio for art, drama, and exercise programs. Since CoverWallet has access to so many carriers, it can get policies perfectly tailored to its clients.
Hiscox
As a small business insurance specialist, Hiscox understands the unique risks faced by specific industries, including dance studios. This knowledge allows Hiscox to provide customized coverage to its clients in the dance studio industry. Moreover, dance instructors or studio owners can pay their annual premiums in monthly installments at no additional charge.
Hiscox is the right choice for individual dance instructors seeking to protect their personal business interests or who need to show certificates of insurance to studios they contract with. Hiscox’s ability to price sole proprietor policies in a range that is affordable for many budgets has made them the leader for independent contractor insurance.
Nationwide
Nationwide is a national carrier that offers personal insurance lines, such as auto and home coverage, as well as extensive options for small business insurance. Nationwide helps business owners protect their business property, including the building, assets, and supplies, and also provides general liability and business interruption insurance.
Nationwide is a good option for studio owners who offer children’s programs in a primary studio or third-party location like a school. If you want a comprehensive policy covering many of the risks faced as a studio owner, including protection for accidents on your premises as well as those off-site, Nationwide is the right choice for you.
Sadler Sports & Recreation Insurance
Sadler Sports & Recreation Insurance is a specialty insurance broker that covers higher-risk types of businesses where injuries are more likely. They offer bundled programs that often include general liability, business property, and special industry-specific inclusions such as medical payments.
Sadler Sports & Recreation Insurance is the right choice for studios that do more than just dance lessons and need a policy that won’t exclude programs like yoga, tumbling, or drama lessons. As a specialty provider, Sadler Sports & Recreation builds policies specifically designed for the unique needs of dance, fitness, and sports operations.
Bottom Line
Dance instructors and dance studio owners need to protect themselves against all possible sources of loss with comprehensive dance instructor insurance. With the right policies, you’ll be protected if employees are hurt, property is damaged, or if you’re sued.
If you’re a dance instructor or studio owner, The Hartford can offer you the right coverage for the right price. As a premium small business insurer, The Hartford specializes in finding the perfect policy tailored to your business needs.
