The rapid advance of technology, changing guest habits, and trends like the sharing economy are driving major changes in the hospitality industry. The impact? Hospitality companies must adapt by thinking outside traditional business practices and models. In turn, new risks must be considered as these companies evolve their operations in an effort to attract and retain customers.

Today's consumers have high expectations — especially when it comes to services accessed through their mobile devices. It's no different in the hospitality industry. Guests expect to be able to book and manage stays, order room service, access Wi-Fi, and even lock and unlock their rooms. And high consumer expectations go beyond technology. As trips for business increasingly mix with trips for leisure — a phenomenon known as “bleisure” — customers expect amenities, quality, and customer service to match this blended experience. Finally, use of sharing-economy hospitality services is growing. Travelers appreciate the ease, convenience, and price of these types of experiences. In fact, 25% and 23% of leisure and business travelers, respectively, are predicted to use Airbnb in 2017.

In response to these challenges, hospitality companies are investing resources to understand and adjust to travelers' quickly evolving expectations—and as a result are assuming new and unfamiliar risks. It's critical for hospitality companies to not only identify and analyze what these new risks are, but to partner with the right insurance brokers and carriers to help manage and transfer these risks effectively.