Restaurant Owner? Be Sure You Have the Following Insurance Coverage

02 March 2018

If you are the owner and operator of a restaurant, it is important to know that this industry can come with specific risks unique to the food industry. In an effort to ensure you are properly protected, it is crucial that you examine the many requirements of your business before choosing the insurance coverage for your restaurant.

To assist you in making an educated and informed decision, we want to share with you areas in which you should consider including in your restaurant insurance coverage.

Be sure you have the right commercial insurance in place for your restaurant business:

General Liability

This goes without saying, but regardless of the type and size of your restaurant, you should have commercial general liability insurance. This is in place to keep you protected from the common complaints that are made day-to-day by customers. These may refer to slip and fall injuries, and cases of food poisoning.

Business Interruption

Disasters happen and unfortunately they often take place with little to no warning; as a business owner you must be well prepared for the unexpected events. Business interruption insurance helps with this very thing.

Rather than being faced with potential financial penalties, this type of insurance covers any loss that may take place if and when your restaurant suffers from disaster, and has to shut down temporarily as a result. It also covers any property loss that may have taken place during the disaster.  The majority of commercial property insurance policies include coverage for business income loss as a component of the insured’s property policy.

Enhanced Wine Valuation

If your restaurant sells wine, you’ll want to think about getting enhanced wine valuation coverage. What is this? This is a specific coverage that is available to secure your high-valued wine collection, protecting it from theft or general loss. When opting for this coverage, you receive protection that equals the value of the wine at the same cost you would have sold it to customers.

Contaminated Food

As a restaurant, the inventory you have for food and equipment is what keeps your operations running smoothly and effectively. If there is any mishandling or improper storage of food that occurs in the process, this can lead to illness caused by bacteria-induced food. Customer claims are primarily made up of foodborne illnesses, which is one of the top risks that continue to face the food industry.  Unfortunately in some situations, it may even end in government officials shutting down your business after a restaurant inspection has been completed. With adequate food contamination coverage, you will be protected should there be any events of food-related loss. Coverage is usually applied when there is loss of income, mandatory cleaning of equipment and food replacement costs due to contamination.

Non-owned Auto Policy

Sometimes as a business owner you may need your staff to use their own vehicles to make deliveries or purchase business-related items; these errands could put your employees at risk of a possible accident, which in turn will leave you liable as a business owner if you do not have the proper coverage. A non-owned auto policy keeps your business safe and protected should one of your employees get involved in a crash while running errands for your restaurant.  If a third party attempts to sue your business because of injury or damage to his/her property, this coverage will protect you in a liability claim.

If you run a restaurant, locating a trusted insurance company for the policies you need, is extremely important to keep your business safe. With coverages discussed, you can have peace of mind in knowing that you are fully covered.

Get in touch with Will Marshall Insurance in Barre or Orillia for additional information regarding restaurant insurance. We want to make sure our clients receive the best plans possible and are totally covered.

Call 705-726-2551 in Barrie or 705-326-5664 in Orillia to discuss your needs. Our Insurance Brokers are here to assist you in making the purchase of your insurance much easier.