Restaurant Liability Insurance
The Basics of Restaurant Liability Insurance
If you want to run a successful restaurant business, it is very important to consider restaurant liability insurance. You need to understand that every business carries the risk of being sued by its customers or employees. Many business organizations are ruined because they lack proper insurance, and therefore, need to pay for damage costs and lawyers. If you have the right insurance, you will be able to cover unnecessary damage costs and pay for lawsuits. Let us tell you the need to get restaurant liability insurance and how to proceed while looking for it.
Need for Restaurant Liability Insurance
A restaurant constantly sells perishable goods that can easily degrade because of weather conditions, worms or bugs. Usually, this happens at the most inconvenient times. When such food is eaten by a customers or employees, there is a risk of food poisoning. Thus, consequences can be devastating for a restaurant business.
It is also possible that a waiter or chef messes something up. For instance, a waiter mistakenly serving liquor to a child or chef cooking chicken for a vegetarian customer. It is possible that a disgruntled customer takes legal action against your restaurant. If a customer feels any discomfort because of the food, ambiance, quality and behavior, it could mean legal costs. You may even have to pay for claims. However, if you have insurance, the company will guarantee that proper investigation is carried out for any claims. Insurance companies have the resources to carry out a proper investigation.
Finding the Right Restaurant Liability Insurance
Here are some key considerations :
Type of Establishment – Proper restaurant insurance will depend on the type of establishment you run. In other words, fast food joints, coffee shops, fine dine restaurants, sandwich shops or family restaurants fall in different categories. Every different type of establishment requires a different package of insurance. You need to consult an agent to know what’s suitable for your type of business.
Liquor Liability – Most of the fine dine and family restaurants offer liquor. Therefore, they need a comprehensive restaurant liability insurance to cover themselves. Liquor liability insurance is must for restaurants offering alcohol. Usually, this insurance is sold separately. However, you can also purchase a commercial restaurant insurance including liquor coverage.
Commercial and Property Insurance – Small restaurants always need commercial and property insurance to protect themselves from lawsuits and customer or employee injuries. Such insurance packages also keep you covered against any damage to your equipment. Even if you don’t own the building or land, you should get these insurances.
Worker Compensation Insurance – Every restaurant needs worker compensation insurance. It ensures you are covered against work-related injuries that can easily occur in a restaurant because of busy and hectic schedules.
Choosing An Agent for Restaurant Liability Insurance
Most importantly, you need to choose the right agent to get restaurant liability insurance. You need to compare some reputed insurance companies to get the best coverage and deal. You should contact some insurance agents in your area and ask for quotes. Once you trust the agent, you need to pick one that offers the best package to suit your needs. You also need to review your restaurant liability insurance coverage regularly.