Opening a gym or fitness center in Florida is exciting, but navigating the insurance and licensing requirements? Not so much. You're probably wondering what coverage you actually need versus what's just nice to have. The truth is, Florida has some specific requirements that aren't negotiable, plus plenty of coverage that technically isn't required but will save you from financial disaster if something goes wrong.
Let's break down exactly what Florida law requires, what your landlord and clients will demand, and what you should have to protect your business from the risks that come with running a gym.
Workers' Compensation: The Four-Employee Threshold
Here's the big one that Florida law actually mandates: if you have four or more employees, you must carry workers' compensation insurance. This isn't optional, and it includes everyone—full-time front desk staff, part-time trainers, seasonal help during New Year's resolution season, you name it.
If you're operating as a corporation or LLC, corporate officers and LLC members count toward that four-employee minimum. So if you've incorporated your gym and have three employees plus yourself as an officer, congratulations—you've hit the threshold and need workers' comp.
The good news? Florida approved a 6.9% rate decrease for workers' compensation premiums in 2026, continuing a nine-year trend of lower costs for employers. On average, gyms and fitness clubs pay around $102 per month or $1,221 annually for workers' comp coverage. Workers' comp protects both you and your employees by covering medical expenses, disability benefits, and lost wages if someone gets injured on the job—whether it's a trainer who pulls a muscle demonstrating proper form or a front desk employee who trips over equipment.
General Liability Insurance: Not Required, But Essential
Florida doesn't legally require general liability insurance for gyms. But before you skip it, understand this: your landlord almost certainly does. Most commercial lease agreements require proof of general liability coverage before you can sign, and if you're renting space for your gym, you won't get far without it.
Beyond the lease requirement, general liability protects you from the lawsuits that can sink a fitness business. Someone slips on a wet floor after a spin class. A client claims they injured their back using your equipment. A visitor trips over a yoga mat and breaks their wrist. These scenarios happen, and without general liability insurance, you're paying for medical bills, legal fees, and potential settlements out of pocket.
Standard coverage limits for gyms are $1 million per occurrence and $2 million aggregate. This means the policy will pay up to $1 million for any single incident and up to $2 million total for all claims during the policy period. Most landlords and commercial contracts will specify these exact minimums, so it's become the industry standard. The average cost? About $69 per month or $825 annually for general liability coverage.
Florida Health Studio Licensing Requirements
Every gym in Florida must obtain a health studio license from the Florida Department of Agriculture and Consumer Services. This isn't insurance, but it's a mandatory requirement that ties into your business operations and consumer protection obligations. You'll need to renew this license annually and pay the associated fees.
Here's where it gets interesting: if you're collecting membership fees more than 30 days in advance—which many gyms do with annual memberships or prepaid training packages—you must post a $25,000 surety bond, letter of credit, or certificate of deposit. This protects consumers if your business closes and can't fulfill the services they've already paid for. It's a substantial requirement that catches some new gym owners off guard, so plan for it in your startup budget.
You'll also need a general business license (which varies by city or county), a business tax receipt, a state tax number, and a certificate of use or occupancy. Check with your local municipality for specific requirements, as some cities have additional regulations or may require proof of insurance to issue permits.
Additional Coverage to Consider
While workers' comp and general liability form your baseline coverage, running a gym comes with additional risks worth insuring against. Professional liability insurance (also called errors and omissions) protects you if a client claims your training advice or fitness programming caused them harm. If you employ personal trainers or offer specialized classes, this coverage is crucial.
Property insurance covers your equipment, which represents a massive investment. Treadmills, weight machines, exercise bikes, sound systems, computers—these aren't cheap to replace if there's a fire, theft, or hurricane damage. Business interruption insurance can cover lost income if you have to close temporarily due to a covered event.
If you have company vehicles for mobile training or equipment transport, you'll need commercial auto insurance. And in today's digital environment, cyber liability insurance protects you if member data gets compromised—something to seriously consider given how much personal information you collect through membership agreements and payment processing.
Getting Started with Your Coverage
Start by assessing your specific situation. Count your employees to determine if you've hit the four-employee workers' comp threshold. Review your lease agreement to see what insurance your landlord requires. If you're still negotiating a lease, you'll know to budget for that general liability policy.
Get quotes from multiple insurance providers that specialize in fitness businesses. They understand the unique risks gyms face and can package workers' comp, general liability, and additional coverage in ways that make sense for your operation. Many offer business owner's policies (BOPs) that bundle coverage at a discount.
Don't forget the health studio license application with the Florida Department of Agriculture and Consumer Services. Apply early, as processing can take time, and you can't legally operate without it. If you're collecting advance fees, arrange your $25,000 bond or deposit simultaneously.
Running a gym in Florida means managing real risks—from employee injuries to member lawsuits to equipment damage. The right insurance and licensing setup protects your business, satisfies legal requirements, and lets you focus on what you do best: helping people get fit. Take the time to get your coverage right from the start, and you'll avoid expensive surprises down the road.
