Abram Interstate Insurance Services, Inc., CMGA

Helping Independent Insurance Agents Since 1996

CA Hotel/Motel Industry Experiencing Steady Increase | Commercial Insurance Product Highlight

Published on April 2, 2018

hotel motel insurance wholesale California Abram Interstate Broker

It’s no secret that California is a vacation destination for millions, even for us who live here!

Of the 268 million tourists that vacationed in California in 2017, about 75% of those were Californians (18% were Americans from other states, and 7% were international travelers). But even with that being the case, revenue is revenue, and so many overall people vacationing/touring in California has made it the number 1 tourism destination in the country. According to Visit California‘s president and chief executive, Caroline Beteta, our tourism industry is 2.5 times larger than Florida’s. 

That’s just the beginning of the good news for the hotel/motel industry, especially (but not only) in Southern California. According to the LA Times, the hotel/motel industry is seeing steady growth and reaching new records in the past years:

L.A. County’s average hotel occupancy rate reached 81.3% last year, surpassing 80% for the first time in county history, with a record 29.2 million hotel room nights sold countywide, the tourism board said.

“These remarkable achievements mark a sixth straight year of industry milestones, reaffirming tourism as a powerful driver of economic growth for Los Angeles,” said Ernest Wooden Jr., chief executive of the Los Angeles Tourism and Convention Board.

hotel insurance motel CA California wholesale broker Abram Interstate CMGABut again, it’s not just LA. Statewide the hotel/motel industry is a lucrative, growing sector of our California economy right now. According to Visit California’s Lodging Report from last month

  • Statewide hotel occupancy averaged 70 percent through February 2018, a 0.8 percent decrease year-to-date.
  • Average daily rate was $159.96 per night, up 2.6 percent year-to-date.
  • Revenue per available room (RevPAR) averaged $111.93, a 3.4 percent gain from 2017 year-to-date. 
  • Average U.S. occupancy increased 1.0 percent year-to-date.

 

The bottom line is that the lodging industry is on a hot growth pattern right now which means there are more hotels & motels now that need insurance, and you’re the insurance agent that can get it for them through Abram. 

AND, by binding hotel/motel policies you may even win your own vacation! See details below.

 

Hotel/Motel Insurance Highlights

 

Hotel/Motel Risks May Qualify for our CL Incentive! Prizes include a 3-day Cruise, Hot Air Balloon Flight, & more!

LEARN MORE HERE!

Coverages:

  • General Liability
  • Commercial Property for buildings, business personal property, and loss of earnings
  • Inland Marine Coverage for Equipment and Tools – scheduled/unscheduled options available
  • Damage to Premises Rented to Insured
  • Additional Insureds Coverage available
  • Direct Damage Endorsement with 32 additional coverages available

Target Risks:

  • Hotels
  • Motels
  • Bed & Breakfasts
  • Tourist Courts
  • Cabins
  • Amenities may include restaurants, pools, fitness centers, banquet halls, etc.

Complete Your ACORD 125, 126 & 140 HERE

Submit Completed ACORDS to apps@abraminterstate.com


Abram Interstate Insurance Services, Inc. is a California wholesale insurance broker (CMGA) that has licensing and expertise to place business in both admitted and non-admitted markets for personal lines insurance and commercial lines insurance in California and surrounding areas.

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