Whether you’re starting up a new restaurant or considering expanding your current eatery, among the many decisions you’ll have to make is restaurant insurance. Even if you already have a policy in place, your needs can change. Take time to evaluate your current needs and what you may require in the future. Tabak Insurance can help you save money while verifying your establishment is adequately insured.
General Liability Insurance
One of the most important insurance coverages for any business is general liability. It’s a policy that’s critical to protect a restaurant from third-party lawsuits. The scenarios can be diverse — from a patron having an allergic reaction to food to an intoxicated person causing an accident and blaming the restaurant for serving them.
Besides the fact that your establishment serves food and possibly alcoholic drinks, you must consider the issue that hospitality is a fast-paced business where mistakes can happen. High volumes of customers mean more chances for a lawsuit. Spills and falling objects can also lead to injury.
When it comes to general liability insurance, the question isn’t if but how much. Tabak Insurance would be happy to go over coverage with you to determine the maximum amount of coverage you need.
Liquor Liability Insurance
If your restaurant serves alcohol, you may need more than general liability to protect the business. This policy provides coverage for injuries and damages caused by someone who drank at your establishment. Many states require this specific coverage if the business sells or serves alcohol.
At Tabak Insurance Agency, we can help you determine how much coverage you need for liquor liability. We can often save our clients money over other insurers, an average of 20 percent in premiums.
Workers’ Compensation Insurance
If your restaurant hires employees, you will need to purchase workers’ compensation insurance. The policy pays out if your employee is injured while performing their duties. This includes on-site coverage, such as cooking in the kitchen, as well as off-site coverage, such as making a delivery.
This type of insurance pays for medical care along with expenses associated with recovery. It also pays a portion of their salary if they are unable to work during any part of the recovery period.
As a business owner, you’re required to carry workers’ compensation for your employees. It also protects your business from potential lawsuits from injured employees.
E&O Liability Insurance
Another type of coverage that is important for restaurants is errors and omissions, or E&O. Many restauranteurs often don’t consider this coverage. E&O coverage protects the policyholder from claims of negligence or financial loss.
While you may think of this coverage more for investment companies, IT businesses, or financial advisors, it’s just as important for a business. If your restaurant catered a party and the food arrived cold, the client would have to wait until the food could be reheated or replaced. This could put you at risk for the client to claim that your business was negligent in their duties.
E&O insurance protects your restaurant from unintentional mistakes that cost your customers money. It helps prevent third parties from suing your establishment to recoup their losses. Tabak Insurance can answer any questions you have about this type of coverage.
Commercial Property Restaurant Insurance
To protect the building where your restaurant is located and all the equipment and furnishings inside, you need commercial property insurance. This type of restaurant insurance protects you from loss due to a damaging storm or vandalism. It covers you in case a pipe bursts and causes water damage or a fire breaks out in the kitchen.
You have two options when purchasing this type of insurance. You can choose to be covered by all situations except what is excluded. The other option is to purchase what is known as perils coverage, which lists specific perils that are covered by the policy. If you have more than one location, you’ll need protection for both properties. Tabak Insurance can help you determine where your greatest risk lies and what type of coverage provides the best protection for your budget.
Business Owner’s Policy Insurance
When you purchase restaurant insurance, you might want to consider getting a business owner’s policy (BOP). This package deal includes general liability, commercial property, and business interruption. Business interruption protects your business if you cannot serve customers due to a covered incident, such as damage from a tornado or water leak.
When you purchase a BOP, it can help you save money because you’re rolling your coverage into one policy. This policy doesn’t provide complete protection for your restaurant. You will still need workers’ compensation and other coverages. These policies are often included as add-ons to your main policy. Tabak Insurance can help walk you through our BOP package and answer any questions you might have about what it entails.
Getting the Right Coverage
If you’re thinking about purchasing restaurant insurance, adding to your current policy, or making changes, you may wonder how much coverage you need. Tabak Insurance is here to help. Our team will sit down with you and discuss your business needs. We understand that each restaurant is unique, and the coverage needs to be unique as well. Our team is knowledgeable and experienced at working with restaurants, and we understand the specific needs of this industry.
Tabak Insurance has worked in the restaurant industry for more than a quarter century. We consider ourselves experts in restaurant insurance, and we can help you make the right decisions for your establishment. Our team will help you evaluate your business and any plans you have for changes in the future to ensure you get the coverage you need at the best price. Our goal is to ensure you are protected at a price you can afford.
Fill out our online questionnaire to get a quote or give us a call to learn more about the coverage we provide. Our team is here to answer your questions. Let Tabak Insurance help you protect your restaurant with the right insurance today.