Do You Need Liability Insurance for a Bounce House Rental Business?
- Nate Jones, CPCU, ARM, CLCS, AU
- Jan 20
- 2 min read
If you operate a bounce house or inflatable rental business, one of the most important questions you’ll face is: “Do I need liability insurance?” The answer is an absolute yes. Bounce house rentals involve unique risks, and without proper liability coverage, your business could face major financial exposure.
Here’s why liability insurance is essential, and how to make sure you’re properly covered.
1. Accidents Can Happen Anytime
No matter how careful you are or how well you educate customers on safety rules, accidents still occur. Children may collide, fall, jump improperly, or use equipment unexpectedly. Even minor incidents can lead to medical bills or claims. Without liability insurance, those costs can fall directly on your business.
2. Liability Insurance Protects Against Injury Claims
General liability insurance is designed to cover bodily injury and property damage caused during the use of your equipment. This includes:
Injuries inside the bounce house
Slips and falls near the equipment
Damage to your customer’s property during setup or takedown
This coverage helps pay for medical expenses, legal defense, and settlement costs, expenses that could otherwise impact your business significantly.
3. Venues and Clients Often Require Proof of Insurance
Schools, parks, corporate clients, and event organisers typically require a certificate of insurance before allowing you to set up equipment. Without liability insurance, you may lose out on high‑value events and recurring customers.
4. It Protects Your Business Reputation
When customers know you’re insured, it builds credibility and trust. Liability insurance not only protects your finances, it strengthens your brand as a professional, responsible rental operator.
5. Standard Business Policies May Not Cover Inflatables
Many general business insurance policies exclude amusement devices, inflatables, or mobile equipment. This is why bounce house operators need specialised amusement rental insurance, designed to cover the unique risks associated with inflatables and party rentals.
Get Proper Liability Coverage With a Specialized Agency
To ensure full protection, work with an agency that understands the amusement rental industry. Wexford Insurance partners with carriers that specifically insure bounce house rental businesses nationwide. This means you get the right liability coverage, competitive pricing, and fast quoting.
