Owning a restaurant comes with many responsibilities, including obtaining a robust insurance policy. Without proper insurance, you would have to pay for costly incidents out of pocket.
What Types of Coverage Are Included in Restaurant Insurance Policies?
Restaurant insurance typically includes a combination of different types of insurance coverage, such as:
- General liability insurance helps cover third-party bodily injury, property damage, product liability and advertising injury claims.
- Property insurance helps protect a restaurant’s physical assets, including the building, equipment, inventory and furnishings, against damages caused by fires or theft.
- Workers’ compensation insurance may help provide replacement income and medical benefits to employees who are injured or ill due to a work-related incident.
- Business interruption insurance may help compensate for lost income and operating expenses when a restaurant is temporarily unable to operate due to covered events.
- Spoilage coverage can reimburse the restaurant for financial losses due to food spoilage or contamination.
What Factors Can Impact Rates?
Several factors can impact restaurant insurance rates. It’s important to note that these factors can vary depending on the insurance provider and the specific policy. Here are some of the key factors that can influence restaurant insurance rates:
- Geographic location
- Size and seating capacity.
- If alcohol is served
- Safety measures
- Claims history
- Deductibles and coverage limits
- Available discounts
What Does Restaurant Liability Insurance Cover?
Liability insurance for restaurants, often referred to as commercial general liability insurance, offers vital protection for restaurants. It helps cover a range of liabilities, including third-party bodily injury and property damage on your premises, product liability for food-related issues, advertising and personal injury claims, and legal defense costs. If your restaurant serves alcohol, liquor liability coverage may also be necessary.
If you need a quote for restaurant insurance, contact Exceed Insurance Agency. Our goal is to provide you with the best policy for your circumstances.