With any business you need to ensure you have the correct form of business insurance. With a restaurant you need to have restaurant insurance which covers you for general liability, food contamination, interruption of business, the property and so on. Restaurant insurance is different than general business insurance as general business insurance may not protect you for serving food or storing stock within the restaurant premises Â
An example of a basic restaurant insurance policy
Every restaurant insurance policy differs depending on the insurance company, the size of your restaurant, whether you serve alcohol and so on. Most restaurant insurance policies offer the following:
- General Liability
-Â Alcohol Cover
-Â Property Cover (Building and Contents)
-Â Spoilage Cover
-Â Business Income
-Â Workers Compensation
This type of basic cover can cost anywhere from £2500 and upwards per year depending on the specifics of your insurance policy.
10 Questions to ask about your Restaurant Insurance policy
When taking out your restaurant insurance it is advised to check with the insurance company that the policy covers certain things, this can do done by asking these following questions:
1)Â What is covered in this restaurant insurance policy?
2)Â What are the exclusions?
3)Â How many claims can you make within the policy time frame?
4)Â Does the policy cover a vehicle used in the restaurant, such as a take away delivery van?
5)Â Is there a maximum amount of staff I can employ under this policy?
6)Â Are games and fruit machines covered?
7)Â Are we covered hosting a public BBQ in the summertime?
8)Â Is the car park and furniture in the garden covered?
9)Â If our freezers and refrigerators go down due to electrical faults am I covered for this?
10)Â I have a childrens play area, is this covered within he policy as well?
Diana Wright
http://www.articlesbase.com/insurance-articles/restaurant-insurance-what-you-need-to-know-728375.html
November 2nd, 2009 at 6:52 pm
Restaurant Insurance?
Hi, I am giong to open a restaurant in a mall’s food court. So, what kind of insurance should I buy? I want it to be as cheap as possible!! Does anyone know how much is it??
Is the insurance gonna pay every year or every month?
Please give me more information!!
November 2nd, 2009 at 11:54 pm
For a restaurant you will need a Commercial Package Policy to provide you coverage for your business personal property, loss of business income and for your liability. In addition to this if you serve alcoholic beverages you will need to make sure that they include coverage for Liquor Liability (protects you if someone leaves your premises in an intoxicated state and subsequently has an accident causing damage to himself and a 3rd party, i.e. pays for the patron’s damage and the 3rd party if you are found liable) as this is the biggest exposure that you have. If the company will not include Liquor Liability under your Commercial Package Policy, you will need to obtain a stand alone Liquor Liability Policy.
In addition to these policies you will need a Workers Compensation Policy to cover your employees. You should also consider purchasing Employment Practices Liability Insurance to protect you from claims made by your employees alleging sexual harassment, discrimination due to age, sex, unfair termination, etc.
Normally a mall requires fairly large liability limits which means you will also need an Umbrella or Excess Liability Policy and they also will require to be named as Additional Insured. In terms of a payments, most insurance companies will allow you to spread the payments for the insurance over 9 to 10 months and some of them will allow 12 monthly payments–even if you are a new business but be prepared for a deposit of 30 to 40%. No one here can give you an accurate quote because we would need to have a lot more information such as location, limits required by the mall, an estimate of your gross sales, your square footage, how much business personal property you have, etc. The best that I can do is give you an average range for a small restaurant of between $1,000 to $5,000 and up.
You should obtain the services of a local independent agent who specializes in Commercial Insurance so that he or she can do a full review of your business and make recommendations for policies and obtain the necessary quotes for you.
I hope this helps. Good Luck!
References :
Certified Insurance Counselor, Licensed Insurance Agent & Broker for over 29 years.
November 2nd, 2009 at 11:56 pm
The mall is going to require that you have general liability and product liabiltiy coverage. You’ll also likely need umbrella liability, if it’s a Simon mall.
How much restaurant coverage costs, depends on how many people you sit, if you have friers, if you need fire coverage (ie, if you’re borrowing money for the equipment), how many employees you have, etc.
You should budget $5,000 to start.
As a startup, you most likely will NOT be able to pay this monthly – you’d have to pay the first year up front.
References :
November 2nd, 2009 at 11:58 pm
This AXA Insurance product is designed especially for Restaurants. It is flexible enough to suit your own business requirements. The package has standard features that cover business interruption, contents, legal expenses and public and employers’ liability. If you make a claim, then AXA Insurance will negotiate with third parties on your behalf leaving you with more time to concentrate on business matters.
References :
http://www.ratedetective.com.au/insurance/life-insurance