Restaurant openings are both exciting and challenging. Don’t forget to buy restaurant insurance while planning restaurant interiors, hiring staff, and marketing. Since the hospitality industry caters to customers and vendors daily, restaurant businesses require insurance policies. Restaurant insurance includes dine-in and take-out establishments, bars, nightclubs, and entertainment venues. Below are a few factors that justify the need for restaurant insurance, including the restaurant owner, the employees, and the customers.
Damages to property: A fire may occur in your restaurant, or your kitchen equipment may be stolen, but restaurant insurance will cover the costs of repairing the property and replacing the equipment.
Verification of liability: If a guest slips or falls in your restaurant or suffers an injury, you must prepare. In case of such an accident, you need to take precautions. You can save yourself from huge financial losses if you have a general liability insurance policy. In the event of a lawsuit filed against your restaurant, the insurance will cover guests’ medical expenses.
Liabilities of products: Your restaurant food is your responsibility as an owner. You might be sued by your guests for false publicity of a signature dish or claim a guest is sick after eating the food you serve. Product liability insurance will protect you from such expenses.
The Liability of Liquor: You might have problems if an intoxicated guest injures himself or another guest at your establishment if you serve liquor. It will help if you have liquor liability insurance if a guest damages your property while under alcohol.
Interruptions in business: An intoxicated guest can injure himself/ herself or another guest if your establishment serves liquor. Taking out liquor liability insurance could protect you from unwarranted damages caused by guests under the influence of alcohol.
Compensation for workers: You may encounter cases related to individual employees in your restaurant business, such as a chef burning his/her hand while cooking or a wait staff suffering from back pain after working long hours. A workers’ compensation insurance plan will cover any medical expenses and wage compensation that may arise due to a restaurant fire that causes staff injuries.