We run a fun center with a seasonal bounce park, rage room, escape rooms, paint rooms, pottery painting, arcade, golf simulator, VR, snack bar, etc. We have plans to bring in axe throwing soon also.

Our insurance company wants to charge us more than 10% of our revenue despite never having any claims. We are not that busy and we don’t actually make any money (i.e. we lost 800K on 500K in revenue last year). We do it for the community but it’s hard to stay motivated when they are charging tens of thousands of dollars just to keep the doors open.

Is this normal? Anyone have any better options? Our first year open our coverage was only $1700 for the year. We added a few activities on and it went through the roof.

Edit: To clarify, the renewal quote actually states 10% of revenue plus a laundry list of additional fees totaling roughly 15K. This renewal quote does not include our anticipated axe throwing which we understand is high risk and may be costly, but even without it, the cost is insane. Our agent has said they have obtained quotes from 100 companies, but I’m skeptical now.