Restaurant Insurance

What is restaurant insurance?

Restaurant insurance can help cover unexpected costs and help you stay open if things go wrong. In general, it can help cover things like replacing spoiled food due to a broken fridge to a lawsuit from a customer who gets sick from contaminated food.

You face specific challenges related to being in the food business. The good news is that we can help you find the right restaurant coverage for you. So, whether you own a restaurant, bakery, coffee shop, or ice cream shop, we’re here for you.

What coverages are in a business owners policy?

Restaurant insurance is a type of business owners policy (BOP). These policies generally provide protection for:

  • Bodily injuries caused to a person on your property
  • Defense costs for covered liability losses(ex., a customer becomes sick because of contaminated food)
  • Protection for business furniture and equipment (ex., ovens, refrigerators, tables, and chairs)

What does restaurant insurance cover for food and beverage businesses?

We know each business is unique. We’ll help break down the coverages so you can decide which coverages you need. Please note, some coverages are subject to deductibles and limits.

  • You Can’t Open Your Business :Your business is damaged due to a fire and you cannot operate until repairs are made.
    • Business Income And Extra Expense Coverage: Helps with loss of income and fixed expenses. This could include things like rent or payroll, while your business is temporarily closed for repairs. This provides coverage for up to 12 months.
  • Building or Property Damage: Your business’ building or property is destroyed due to a covered loss, like a fire or theft.
    • Business Building and Personal Property Coverage: Can help pay to repair or replace an owned building. It can help replace destroyed personal business property, up to the limits you pick.
  • Employee Dishonesty: Your business receives checks, credit card payments and sometimes cash for work that you do. When reviewing the monthly receipts, you notice that the deposits were lower than usual.
    • Employee Dishonesty Coverage: Helps pay for a loss if an employee steals money or property from your business. This may be an optional coverage.
  • Oven Breaks Down in Your Shop: The oven at your business breaks due to a power surge, Now, you can’t prepare food and you lose your entire inventory due to spoilage.
    • Equipment Breakdown Coverage: Helps pay for expenses caused by a sudden breakdown of machinery or other equipment.
  • Computer Virus Attack: You get an email from a client, but you open it to discover that it contains a virus.
    • Electronic Data Coverage: Helps pay for repairing and restoring data due to harmful code that damages or destroys any part of your company’s computer system. This coverage is included in a basic BOP, but you can increase your coverage limits.
  • Power Outage: A transformer blows and you lose power to your business.
    • Spoilage Coverage: Helps pay for perishable items that spoil due to a power outage.
  • Stolen Cash: Your business is broken into and money is stolen.
    • Money and Securities Coverage: Helps protect your business against loss of money or securities due to theft, disappearance or destruction. This optional coverage may provide reimbursement whether the loss occurred on or off your business premises.
  • Contaminated Food: A health department inspection finds food contamination and shuts your business down.
    • Food Contamination: Helps pay to clean equipment and replace contaminated food if your business is shut down by the health department. It may also reimburse you for lost business income and other expenses while your company is shut down.
  • Billing Records Are Destroyed: There is a fire and your company’s billing records are destroyed. This makes it difficult for you to collect payments from customers.
    • Accounts Receivable Protection: Helps pay for increased cost of collecting payments and the expense of reestablishing the records of accounts receivable.