If you run a restaurant, you might be worried about the devastating effect of a fire or burglary on your establishment. Given that most businesses are recovering from the impact of the COVID-19 pandemic, you might not have the resources required to get the restaurant back on its toes. Insurance coverage will offer a financial cushion when these unforeseen events occur. Below is a guide detailing the various insurance covers your business might need and how you can manage them.
Property insurance safeguards your business assets in case of a fire or Act of God. The secret when getting this policy is ensuring that it is customised to meet your business needs. For example, if your restaurant is located in an area with a history of earthquakes, you should ensure the policy covers earthquake damage. Regarding burglary, it should also cover employee theft. Moreover, ensure that the policy covers all your business assets. For instance, you could have installed a high-quality ventilation system that may not be considered a business asset. Always read the fine print of the policy to ensure that such items are covered.
Workers Compensation Insurance
Unlike other covers, workers compensation insurance is mandatory. It covers the legal costs of a workplace injury claim and compensates employees injured due to your negligence. The best way to manage this cover is to ensure that your workplace is as safe as possible. For instance, install fire alarms, extinguishers and anti-slip floors. Besides, provide protective clothing to your employees. Most insurers will reduce your premiums if you maintain workplace safety. Consequently, they will increase them if your business makes repeated claims.
General Liability Insurance
General liability insurance will protect your business from third-party injury and property damage claims. You may be wondering how your business can damage another person's property. Well, suppose a client slipped on a wet floor and damaged their expensive phone. Worse off, a fire on your premises could damage your neighbour's property. Your general liability coverage should also include product liability insurance. However, it is vital to ensure that the foods you serve inside the restaurants are included in the product liability coverage.
Business Interruption Insurance
Suppose your business suffered a burglary or was hit by floods or fire. You may have to close a few days as you restructure your operations and renovate the premises. Business interruption insurance will compensate you for the losses you make. Ensure that you check the limits on the cover and the types of interruption covered.
Insurance policies for your restaurant business include property, workers compensation, general liability and business interruption insurance. Reach out to a local insurance agent to learn more about your options for restaurant insurance.Share