If you’re a new restaurant owner, you’ve likely considered a lot of options for your business and insurance costs for a restaurant. There are significant risks you’ll need to consider, such as food and drink liability, damaged equipment due to a break-in or fire, vandalism, and legal action taken by customers. While owning a small business is rewarding, it’s essential to ensure you’re covered with restaurant insurance, so you can cover your bills in the event of a severe incident and continue operations.
Food and Beverage Insurance
One of the first types of coverage you may think of as a restaurant owner is food insurance. Many restaurants require this type of insurance, covering most common food and drink-related incidents and scenarios, including protecting drivers who work on-demand to deliver orders. If your restaurant prepares meals for takeout and retail space, you’ll want this specialized insurance for potential accidents or incidents during pickup and deliveries.
General Liability Insurance
Every business should invest in general liability insurance, including restaurants. This coverage will help pay for expenses and related costs associated with property damage, repairs, and legal fees due to lawsuits. Even the most successful and well-established cafes, takeout counters, and restaurants can experience the unexpected, leading to extensive costs that impact regular operations. In the case of legal action, insurance may cover a settlement.
Commercial Property Insurance
Commercial insurance is a must when running a small business, whether a retail store or a home-based service. This type of coverage will protect your assets, such as a rented or owned building or space, furniture, tools, equipment, inventory, technology, and personal items. Any property or equipment you use to operate your business is usually covered by commercial insurance, and for this reason, it is one of the essential types of coverage.
Business Renter’s Insurance
This insurance protects a business owner’s operations at a rental space or property. Restaurant owners with several locations or cafes will benefit from this coverage for loss of income, lawsuits, vandalism, theft, and fire. You’ll find this type of insurance is less expensive than commercial insurance, and it’s an excellent additional policy to include for extra coverage. It’s also customizable for your specific business requirements, including the size and location of your space.
Business Income Insurance
When business operations are interrupted due to a fire, vandalism, or another unexpected event, business income insurance will provide coverage for rent and mortgage payments for your business, tax and loan payments, loss of income during the restoration, and payroll for employees. It’s an important way of ensuring that your restaurant will quickly reopen and operate successfully while instilling confidence in your employees, customers, and associates. Every business owner understands that it takes a lot of hard work, team effort, and commitment to run a successful restaurant. Contact us at ISU Armac to inquire about our comprehensive selection of insurance products and policies to determine which best fit your business. We offer expert advice to assess risk management for your business while offering excellent options at a reasonable rate for all your restaurant’s needs.