Restaurant Insurance

The need for the right level of Restaurant insurance is necessary in this high risk business. The risks involved are due to the nature of the business handling food and beverages for public consumption. With the correct amount of coverage your business will be able to remain in business, no matter what happens at your restaurant.

Who needs restaurant insurance?

  • Cafes
  • Coffee shops
  • Ice-cream parlors
  • Restaurants
  • Sandwich shops
  • Takeaways
  • Tea rooms

What types of policies are available for a restaurant?

Liability Insurance

  • Public liability for protection against accidents when a patron is injured like a slip and fall.
  • Product liability just in case a patron becomes ill due to the food.
  • Employer liability to cover the employee in case a worker is injured or they get sick while on the job.This is protection to cover both the medicals bills and legal bills.Coverage can be from £1 million to £5 million.

Building and Content Coverage

  • To cover the costs of repairs or replacement in case of a fire, water damage, lose of power or theft.
  • Items in the building that can be covered include tables, chairs, food stocks, interior walls and equipment.
  • Garden furniture and equipment outside, but still on the premises are included in coverage.
  • Food and beverage items in transit to your establishment.

Fixture and Fitting Coverage

  • This covers the replacement cost of permanent fixtures and fittings on both the interior and exterior of the building.
  • Fixtures are not considered content and are why this additional coverage is needed.

Business Interruption Coverage

  • Financial support when the restaurant cannot be open and conduct business.
  • Closure can be caused by fire or water damage, road constructions and health inspection.
  • Payments can be used for bank loans, rent, mortgage, insurance premiums, wages and utility bills.
  • Coverage can be for up to 36 months in duration at one time.
  • This is temporary coverage so repaired or if needed a rebuild of the premises can occur leading to the restaurant reopening.

Who needs to take out the Insurance Policies?

  • Restaurant owners needs to take out Employers, public and product liability coverage.
  • Building coverage might be covered by the building owner for the restaurant owners that rents the space. If they own the space, then the restaurant owner needs to take it out.
  • Content, fixture and fitting coverage by the restaurant owner or owner of the business.
  • Business interruption coverage is the responsibility of the restaurant owner.

The need for restaurant insurance is real and necessary to cover the medical bills, legal bills, and any repair bills immaterial of whose fault the damage was done or the reason people got sick.

By not having the right coverage or enough of it can cause the business to go under. To help prevent this situation from occurring an insurance broker should be consulted so insurance coverage can be taken out that fits your needs and budget.