You organized a “Nature Reconnection” retreat in Costa Rica. During a guided mindfulness walk, a client tripped over a root and shattered their ankle, requiring medevac. They are suing you for the medical bills and “pain and suffering,” claiming you chose an unsafe path. You call your insurance, and they ask: “Did the accident happen at your designated office?”
Key Takeaways
- Designated Premises Limitation: Standard General Liability covers your office. It often excludes accidents that happen off-site or internationally unless you have a “World-Wide Coverage” or “Retreat” rider.
- Travel Insurance is Not Liability: The client’s travel insurance pays their hospital bill. Your liability insurance pays if they sue you for causing the injury.
- The “Tour Operator” Trap: Organizing transport and lodging makes you a Tour Operator in the eyes of insurance. A Coach policy is insufficient.
- Jurisdiction: If the lawsuit is filed in the US for an accident in Costa Rica, you need a policy that covers “Suits brought in the USA.”
The “Why” (The Trap): The Location Exclusion
I checked a standard “Yoga Instructor/Coach” policy.
Under “Coverage Territory,” it often specifies: “The United States, Puerto Rico, and Canada.” If you host a retreat in Mexico or Bali, you have zero liability coverage. You are personally on the hook for the $50,000 medevac and the $200,000 lawsuit.
The Investigation: Retreat Coverage
I sourced quotes for international retreat leaders.
1. TII (Tour Operator Insurance)
- My Analysis: If you book the hotel/bus, you need this.
- Coverage: Professional Liability for “Organizing” + General Liability for accidents.
- Cost: Expensive ($1,500+), but covers the real risk.
2. Event Insurance (Special Event)
- My Analysis: Good for a one-off retreat.
- The Catch: Ensure it covers “Athletic Participation” if you are hiking/doing yoga.
3. K&K Insurance
- My Analysis: Strong on sports/recreation. Good if your retreat is active (hiking, surfing).
Comparison Table: Retreat Risk
| Scenario | Standard Coach Policy | Event/Retreat Policy | Travel Insurance |
| Slip in US Office | Covered | Covered | N/A |
| Slip in Costa Rica | Denied (Territory) | Covered | N/A |
| Client Sick (Food Poisoning) | Denied | Covered | Pays Medical bills |
[IMAGE: Graphic showing a checklist for ‘Retreat Insurance Essentials’ including ‘Worldwide Coverage’]
Step-by-Step Action Plan
- Check Territory Clause: Does your policy cover “Worldwide”? If not, get a rider.
- Require Travel Insurance: Mandate in your contract that every attendee must buy their own Travel Medical Insurance. Check their receipts.
- Waiver of Liability: Your retreat waiver needs to be specific: “I acknowledge the risks of hiking, uneven terrain, and remote locations.”
- Hire Local Guides: If you hire a local bonded guide for the hike, liability often shifts to them. If you lead the hike, liability stays on you.
FAQ Section
If I just rent a villa, does the villa’s insurance cover me?
No. The villa covers the owner. If the client sues you for choosing a dangerous villa, you need your own coverage.
What is ‘Contingent Auto’?
If you hire a bus driver and they crash, you can be sued for hiring them. Contingent Auto covers this.
Can I use a ‘General Liability’ policy for a retreat?
Only if it has an endorsement for “Special Events” and correct territory limits.