Published On: August 29, 2022

If you own a restaurant, bar, food truck, or food service business, purchase insurance to cover your liabilities. Tabak Insurance provides customized bar and restaurant insurance policies to cover and mitigate various business risks. Our food liability insurance policies protect your business from lawsuits and other threats that might hurt day-to-day operations.

What Is Food Liability Insurance?

Running a food production or service business like a bakery, bar, restaurant, taco truck, or fast food establishment comes with many risks. Someone may get food poisoning or slip and fall because of unattended floor spillage. Your workers may also get injured or sue the business for various reasons. Food liability insurance protects you from unforeseen accidents and events that can halt your operations. Insurance for bars, restaurants, and other dining venues falls into two main categories:

General Liability Insurance

Someone may slip and fall in your restaurant, or an employee may get burned or injured. General liability insurance policies can cover such events and protect your business and reputation. The policy can also protect you if someone consumes expired goods and suffers food poisoning. General coverage includes liquor liability insurance if your food business serves alcoholic beverages.

Another aspect of general liability insurance is personal and accidental advertising injury. Tabak Insurance’s general liability coverage will pay for incurred damages if you’re accused of libel, slander, or accidental use of a competitor’s slogan. General liability protects your business from paying third parties for bodily injuries and property damages. The policy also covers product-completed operations and is one of the must-haves when looking for food liability coverage for your business.

Commercial Property Insurance

Tabak Insurance provides commercial property insurance to protect your business premises and assets in the event of physical damages. Restaurants, food trucks, and cafeterias are all susceptible to physical damage from fire, arson, vandalism, and other events. Commercial property insurance can pay for repairs and replacement if the building or equipment is damaged.

You can also purchase policies to cover damage to rented spaces. Commercial policies protect your business if you operate from a rented building, like a commercial kitchen. You can also protect a catering business if you serve food in different rented locations. The insurance covers potential damages that may occur at the venue. Property owners and event organizers often request such policies. At Tabak Insurance, we can combine your general liability and commercial property policies into one Business Owner’s Policy (BOP).

What Are the Other Items Covered Under Food Liability?

Tabak Insurance allows you to customize your policy to cover specific risks and determine what to include or leave out. Insurance for bars, restaurants, and other food establishments requires tailored solutions to meet individual needs. Here are a few lesser-known coverage options to include in your restaurant, food truck, or bar insurance packages:

Product Liability

General liability policies may feature product liability. The insurance covers the risk of making a customer sick from your food through foodborne illnesses, unlabeled allergens, and other elements.

Utility and Spoilage Insurance

You may face utility malfunctions and service failures that result in food spoilage and other damages. The utility and spoilage insurance policies cover inventory losses and damages.

Inland Marine Coverage

An inland marine policy protects your restaurant assets while they are in transit. This includes food, equipment, and other necessary materials. You can purchase this policy to cover the cost of repairing or replacing broken or stolen business equipment. Tabak Insurance provides various options to choose from to protect all your gear.

Professional Liability

You need professional liability insurance if your business involves running demonstrations, teaching courses, and providing advice. The policy protects your business from negligence claims, errors, omissions, and poor advice.

Cyber Liability Insurance

You may face a potential data breach if you collect and store personal information like credit card details. You can use cyber liability insurance to protect the business from costs stemming from cybersecurity breaches.

Commercial Auto Insurance

Mobile restaurants and food businesses that rely on vehicles for transporting food or related equipment need commercial auto insurance. The policy protects your business from damages arising from car accidents, including bodily injuries and property damage or loss.

Workers’ Compensation Insurance

If you hire employees, they may get sick or injured during work. Purchasing workers’ compensation insurance covers lost wages and medical expenses. Tabak Insurance can help you examine state requirements to purchase adequate workers’ compensation policies.

Business Income

Unforeseen circumstances like fires and natural disasters can force you to temporarily close your business and lose income. Business income insurance will cover your payroll and other expenses for a specified time while you recover from the disaster.

Equipment Breakdown

Food-related equipment is susceptible to mechanical issues and breakdowns that can disrupt normal operations. If you face problems with your boiler, ovens, freezers, computers, and non-electric gear, the equipment breakdown policy will cover the cost of repair or replacement.

Trailer Endorsement

Purchasing trailer endorsement coverage can protect your trailer if you use it as part of the food business operations. The policy differs from commercial auto insurance as it specifically targets food trailers.

Seek Reliable Food Liability Insurance

Purchasing adequate food liability insurance can protect your business from different risks and potential lawsuits. At Tabak Insurance, we recommend comprehensive risk analysis to identify the most vulnerable areas and risks you should cover first. Our coverages include bar insurance, restaurant insurance, liquor liability insurance, and so much more. We can help you purchase enough coverage to protect your business operations, income, and reputation from all known threats. Contact us today to get started.

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