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6 Best Insurance Policy for Bounce House Business

A bounce house business is indeed a viable enterprise especially if you are eager to benefit from the steady income the industry provides. The average cost of a single bounce house is around $1,779 with $100 – $200 profit for each unit you sell.

Aside from that, bounce house centers charge around $5 – $20 for each person looking to enter its center. Owing to that, if your center can draw in around 200 to 300 kids in one month, then you will probably be making a monthly income of around $1,000 to $6,000.

There are also businesses that rent bounce houses and also make good money doing so. For instance, if the average bounce house rental cost $150 per week in the United States, then your rental business will be expecting around $600 per month.

If you can afford to rent out 10 bounce houses in a month, it sums up to around $6000 as your business monthly income. Generally, bounce house businesses are a top option as long as you have the capital to make the investment.

Regardless of the kind of bounce house business you intend to start, it is recommended that you obtain adequate bounce house insurance to ensure that you can safeguard your business from potential lawsuits. According to experts, the primary thing you need is a general liability for bodily injury and property damage.

Ensure to take your time to analyze your risks and ensure that the policies you purchase will extensively protect your business.

Don’t also forget that your liability will take into consideration those who are actually operating your equipment. For instance, if you intend to run a rental business where your clients have to handle the equipment, it is imperative you have a waiver that the client or homeowner is expected to sign.

Note that this makes them liable for any injuries that occur under their watch. Ensure to reach out to an experienced attorney to customize it to align with your needs and your particular state or city guidelines.

Best Insurance Policy for Bounce House Business

Truth be told, the exact insurance policies you need will depend on the sort of bounce house business you intend to start. However, since adequate insurance is necessary for this line of business, here are basic options to consider;

  1. General Liability Insurance

This is one of the most important policies to consider regardless of the sort of bounce house business you intend to start. Note that this insurance safeguards your bounce house business from personal injury lawsuits as well as property damage lawsuits.

It ensures that you won’t have to bother if someone files a personal injury lawsuit or property damage lawsuit. This policy provides from $1 million up to $2 million for you to reimburse the victim, attorney fees, and other legal costs.

  1. Product Liability Insurance

Although this is most often included in general liability insurance; however, it is possible to obtain it as a stand-alone policy. The essence of this policy is to safeguard you from a property damage lawsuit or personal injury lawsuit may be because the bounce house has manufacturing issues, design mistakes, and improper labeling.

It is recommended that you confirm first from your carrier if the general liability insurance features product liability coverage. Have it in mind that having product liability coverage is very necessary if you’re selling bounce houses.

  1. Professional Liability Insurance

This is another very vital policy for a bounce house business. Have it in mind that every bounce house retail business is expected to disclose the potential risks of using their products, particularly when it has to do with children. In the same vein, every bounce house center will also need to have a staff who is tasked with assisting or watching out for mishaps while the children are jumping around.

In this line of business, note that non-disclosure, failure to make assistance available, or laxity in looking after the kids can be a premise for professional negligence. This is where this insurance becomes very necessary since it covers such issues.

  1. Workers’ Compensation Insurance

In most states, this insurance is considered necessary and it is for businesses that have employees. The essence of this coverage is to cover the expenses that come with treating employee injuries sustained while doing work-related tasks. Aside from that, it will also cover the lost wages that the worker must have suffered when out of work due to the injury. You should really consider this policy even if your state doesn’t mandate it on businesses.

  1. Commercial Umbrella Insurance

Although not a necessity, it can become very vital, especially in a case where the limits of your general liability insurance have been exceeded. Have it in mind that this insurance policy is meant to provide coverage at any time your general liability insurance policy has been exceeded.

Over the years and for many businesses, this policy has proven to be a lifesaver, especially in a situation where the company is held liable for something overly expensive.

  1. Commercial Auto Insurance

This is very important especially if you have vehicles used by your business to ensure smooth operational processes. Have in mind that it is important you protect the vehicles you use to deliver the bounce houses to your clients. Most often, states demand that commercial vehicles are covered by insurance, both to protect you and your employees, along with others on the road.

Note that if an accident involving your vehicle occurs, the policy will cover the expenses or the repair/replacement of the vehicle, other vehicles involved, as well as medical bills of the injured.

How Much Does Bounce House Insurance Cost?

It is important to note that how much your insurance cost will vary based on certain factors. When you contact a provider, they will have to take into consideration the size of your bounce house business, the services you render, your operational processes, as well as other factors that are significant in the bounce house industry.

Nevertheless, to ensure you obtain the right insurance to guarantee the safety of your business, expect to spend around $1,800 – $2,500 a year. Once your business starts to grow and you start employing more workers or adding new equipment, you will have to consider additional policies such as workers’ compensation as well as a commercial auto package.

Insurance Companies that Offer Bounce House Insurance

Truth be told, one of the issues you will encounter when obtaining insurance for your business will be finding the right company that will meet your insurance needs. Note that the last thing you would want is to obtain a policy only to find out you really aren’t covered when you go to make a claim. Nevertheless, here are the top companies to consider;

  1. Cossio Insurance Agency

This insurance company has been in business for more than 30 years. They are well renowned for their outstanding customer service as they tend to go the extra mile to serve their customers and prospects. Note that they write insurance coverage in all 50 states and provide insurance for Inflatables, Amusement Devices, Family Fun Parks, Paintball Fields & Stores, Rock Gyms, Laser Tag, Mechanical Bulls, Special Events & more.

  1. Liberty United Insurance

Popularly known for their dedication and commitment to the amusement insurance industry, note that you will enjoy working with this firm due to their vast capabilities, efficiency, and top-class customer service. Aside from that, they are always ready to strengthen the standard of excellence in the reputation they have set in the industry.

Liberty United Insurance Services makes available insurance products such as party rental, family fun centers, equipment, and workers’ compensation.


According to reports, there are over 10,000 injuries every year in the United States attributed to bouncing on an inflatable. While they can be fun to play or jump around on, don’t forget that the laughter could in a split second turn to tears.

When looking to start a bounce house business, it is pertinent you obtain adequate bounce house insurance. With a robust policy in place, you’ll relish the peace of mind that comes with knowing that you’re protected financially from claims of compensation.