The food business is an investment that can be rewarding but isn’t without potential risks. From food poisoning to fire breakouts, you can experience a lot when you are running a restaurant. To protect yourself against potentially risky circumstances that come with running an establishment, think about obtaining a restaurant insurance policy. Have a look at these insurance policies available for your food business:
Business Owner’s Insurance
Business Owner Insurance, or Business Owners’ Policy (BOP), is a package of small business insurance that protects you from different risks. The package includes general obligation, commercial assets, and business disruption cover. Running a restaurant can bring a lot of uncertainties due to the unpredictable nature of the business and potential incidents that may arise at any given time. BOP is among the restaurant insurance policies that could save you from various legal battles.
General Liability Cover
This policy will cover claims against you or your business by a customer relating to bodily injury or property damage. If a customer gets food poisoning at your restaurant or suffers a slip and fall, your insurer will compensate them. The insurance company also compensates customers if their property is damaged while at the restaurant. General liability protects your restaurant business against restaurant advertising hazards, such as potential false advertising.
Workers’ Compensation Policy
Workers’ compensation insurance covers medical costs and lost earnings in case of illnesses and injuries that have taken place at work. This policy can help ensure that your business will continue to run even after losing an employee through disability resulting from injuries. Workers’ compensation is a legal requirement that every food service business must have to operate in every state. The requirements differ by state, and restaurant owners do not have the freedom to compromise on them.
Liquor Liability Policy
If your restaurant serves customers alcoholic beverages alongside food, your business has a number of potential risks. This restaurant insurance policy comes in handy when there is damage from selling liquor to customers. Liquor laws can hold you liable for selling alcohol to intoxicated persons who are at a higher risk of causing bodily harm to others and property damage. Customers who drink too much alcohol and cause damage while driving are covered by this policy as well. This is a requirement for every business owner when obtaining a liquor certification, and coverage differs by state.
Commercial Asset Policy
Incidents like fire and flooding can cause immense property damage and losses that could put your business at risk. Property insurance covers the costs of equipment renovation on the business premises. The plan also covers losses caused by food contamination and work equipment damage. It allows you to choose between open-risk and named-risk packages. A named risk policy protects your business against a list of specified items that are initially laid out. The open-risk policy covers all risks that occur during the restaurant operation that are not specified.
Seek Restaurant Insurance Today
The restaurant business can be a risky undertaking that requires proper insurance and legal obligations. You don’t want to risk losing your business due to the avoidable error of not carefully specifying your insurance needs. To get desirable restaurant insurance policies, consult a reputable insurance company and make an informed decision.
