Restaurant Insurance

Finding the Best Restaurant Insurance

(For when things get a little too hot to handle)

Greg Lewerer | June 14, 2018
restaurant owner reviewing business insurance

Cooking can be a hobby, a passion -  or for those reading this page, a business. It’s one thing to cook in your own kitchen for a few friends. But when you’re a restaurant owner taking on a dinner rush, the chaos can cause frantic decision-making. That’s when things can get dicey.

It doesn’t matter whether you run a tiny juice bar or a burger chain, you need a policy that will cover every risk on the menu. Our independent agents will search high and low to find the right coverage to keep your business up and running.

What Is Restaurant Insurance?

In short, restaurant insurance is a pu-pu platter of coverage that protects your customers, employees, property and inventory. Every restaurant will have a unique assortment of risks, so your insurance can be catered to cover them accordingly. 

Why Do I Need Restaurant Insurance?

Restaurant disasters may not be on the menu, but bad things are bound to happen. Especially when your kitchen is facing a rush of orders. Here’s an appetizer-sampler of just some of the things that can go wrong:

  • You could lose your stuff: Damage or loss of your property, equipment and inventory.
  • You could be sued: A drunk-driving accident caused by overserving a customer.
  • You could make a mistake: Food poising caused by improper handling of ingredients.

What Does Restaurant Insurance Cover?

Restaurant insurance is always a blend of different types of coverage. Here’s a list of flavors you’ll likely be sampling:

  • Property: This covers your business’s physical assets, from buildings to furnishings. It usually includes coverage for fire, natural disasters and theft.
  • Spoilage: This covers any inventory that spoils in a power outage or similar mishap.
  • General liability: This covers costs if someone is hurt in your restaurant, including if they get food poisoning. (Check with your independent agent to ensure that your policy doesn’t exclude communicable disease from coverage.)
  • Liquor liability: If you sell alcohol, this covers costs related to someone getting drunk at your restaurant and hurting themselves or someone else.
  • Workers' compensation: This covers your employees’ expenses if they get injured on the job.
  • Garagekeepers: If you have a valet service, this covers any damage to customers’ cars that may result.
  • Boiler and machinery (equipment): This covers repair and replacement costs for your equipment under a wide variety of circumstances, including power surges and outages.

What Kind of Restaurant Insurance Do I Need?

If you’re just starting out, a premade restaurant insurance plan might be the ideal choice for coverage. These policies can be convenient, cost-effective and should offer the protection you need for the time being.

Once you’re more established, you’re better off customizing your insurance, especially if you have expensive furnishings, appliances or a fleet of catering vehicles. Premade plans might not have the proper protection to fully cover all your goodies.

To find your insurance sweet spot and make the search process easier, you’ll need to know your business classification. Find that sweet info here >>>

How Much Does Restaurant Insurance Cost?

It depends on your restaurant’s sales and niche. In short, the more money you make, the more insurance will cost. Extra policies like liquor liability and garagekeepers insurance (if you have a valet service) will also add cost.

Cost on average:

  • Small restaurants and food stands: A few thousand a year. 
  • Large, high-end restaurants: Potentially over ten thousand a year. 
  • Chain restaurants: Premiums can vary, but will cost the most due to sheer numbers.

Comparing Restaurant Insurance Quotes

Our agents will review your needs and help you evaluate the restaurant Insurance coverage that makes the most sense. They’ll also compare policies and quotes from multiple insurance companies to make sure you have the right protection in place. So you’ll have that going for you.

The Awesome Benefits of an Independent Agent

Whether you run a hot dog stand or a high-end steakhouse, our independent agents will help you find the coverage that pairs well with your unique needs. Not only that, they’ll cut the jargon and explain the nitty gritty bits so you know exactly what you’re getting.

Most importantly, they’ve got your back. Many claim processes have strict deadlines. Our agents will be there to help you meet them. So you can take full advantage of your insurance benefits. Article | Reviewed by Paul Martin

Now, who's ready to get their insurance problems solved?