Movie theaters are designed to be fun and enjoyable, but as with any other business, they also come with their own set of unique hazards. Worse yet, these risks can potentially bankrupt your movie theater if you’re not prepared in advance. That’s why having the right movie theater insurance is so important.

Luckily Florida independent insurance agents can help you find the right kind of movie theater insurance for your business. They’ll also get you equipped with the proper coverage long before you ever need to file a claim. But before we get too far ahead of ourselves, here’s a deep dive into movie theater insurance.

What Is Movie Theater Insurance?

Movie theater insurance is a special type of Florida business insurance tailored to meet the needs of movie theaters and their owners. Coverage provides the basics of a business insurance policy and then gets topped off with specifics necessary to protect movie theaters. Movie theaters of different sizes might require different coverages. A Florida independent insurance agent can help find the right movie theater insurance policy for your location’s needs.

What Does Movie Theater Insurance Cover in Florida?

Your specific movie theater insurance policy might vary quite a bit from a policy for a theater across town. But there are certain common coverages needed by all movie theaters, including:

• Workers’ compensation: Movie theater workers need to be protected against injury, illness, or even death due to work-related activities.  
• Business income: Movie theaters need protection against unexpected temporary closures or suspended operations due to covered disasters, like certain storms.
• Commercial general liability: Movie theaters also need lawsuit protection against third-party claims of bodily injury or property damage by the theater.
• Commercial property: Movie theaters must have coverage for their physical buildings, inventory, and other property against numerous disasters like fire, vandalism, etc.

A Florida independent insurance agent can explain the basics of a movie theater insurance package, and how these coverages can protect you.

Additional Coverages for Movie Theaters in Florida

After you’ve solidified the basic core coverages your movie theater needs, it’s time to get into the specifics. According to insurance expert Paul Martin, some of the most commonly added coverages for movie theaters in Florida include:

• Spoilage coverage: One of the most anticipated perks of movie theaters is the snacks. These snacks all need protection of their own against spoilage due to covered disasters like equipment breakdown, interior flooding, and more.
• Crime insurance: Movie theaters also need protection against employee or criminal theft of their earnings.
• Cyber liability insurance: Movie theaters store a ton of sensitive information, such as customers’ credit card numbers, electronically, and this data needs to be protected against security breaches and other threats.
• Advertising injury: Your movie theater might run a commercial before a film starts that causes upset to a patron. Advertising injury is often included in your commercial general liability coverage, but double-check your specific policy to be certain.

Your Florida independent insurance agent will help you figure out if your movie theater requires further coverage beyond these options.

Movie Theater Stats

When shopping for coverage, it’s helpful to know the current trends of your industry. Check out a couple of stats for movie theaters in the US below.

Number of indoor cinema sites in the United States from 1995 to 2020

The number of indoor cinemas has greatly decreased since the mid-90s. In 1995, there were 7,151 indoor cinemas across the country. By 2020, this number had fallen significantly, to 5,477 indoor cinemas nationwide.

Number of movies seen per capita in a theater in the United States from 2017 to 2020, by age group

Despite the number of movie theaters overall decreasing, folks are still going to see films in person. Even the pandemic of 2020 didn’t halt moviegoers altogether, with teens aged 12-17 still reportedly having seen an average of at least one film in a theater that year. Pre-pandemic, in 2018 and 2019, moviegoers aged 12-24 reported seeing an average of 5 films per year in the theater.

Regardless of the decline in physical theater locations and lower-than-average viewership during the COVID-19 pandemic, many folks are still going to the theater when they can. That makes having movie theater insurance absolutely essential.

What Doesn’t Movie Theater Insurance Cover in Florida?

Movie theater insurance comes with its own set of coverage exclusions, just like any other form of insurance, and it’s important to be familiar with these. Martin said common coverage exclusions for movie theater insurance are:

• Routine maintenance
• Nuclear or war damage
• General wear and tear of equipment
• Employee dishonesty
• Flood damage

To protect against flooding caused by natural disasters like hurricanes, especially in a coastal state like Florida, it’s crucial to consider getting a flood insurance policy. Your Florida independent insurance agent can help you find the right flood coverage to add to your movie theater insurance policy.

How Much Does Movie Theater Insurance Cost in Florida?

Your movie theater insurance premiums will vary based on several factors. Small, stand-alone movie theaters that don’t generate much business might pay only a couple hundred dollars annually for coverage, while large theater chains could pay several thousand or even more.

The price of your movie theater insurance will depend on the following:

• The number of employees you have
• Your movie theater’s unique risks and operations
• The size of your movie theater
• Your movie theater’s annual revenue
• Your movie theater’s specific location

Your Florida independent insurance agent can help you find movie theater insurance quotes for your area, and scout out any discounts you may qualify for.

Here’s How a Florida Independent Insurance Agent Can Help

When it comes to protecting movie theaters against liability risks, property damage, and all other disasters, no one’s better equipped to help than an independent insurance agent. Florida independent insurance agents search through multiple carriers to find providers who specialize in movie theater insurance, deliver quotes from several sources, and help you walk through them all to find the best blend of coverage and cost.