Restaurant Insurance Issues

Here are some key insurance issues for restaurants to consider:

-Review your business interruption insurance. Restaurants with large seasonal fluctuations in sales will want to be sure they have coverage that will go beyond 12 months if the loss happens at the wrong time.

-Check the adequacy of your extra expense coverage.

-Consider mechanical breakdown coverage for your refrigeration equipment. Include food spoilage coverage.

-Check your employee dishonest insurance. Limits of $100,000 are a minimum for employee dishonesty.

-Check your coverage for cash on premises.

-Ask your agent how your insurance responds to a power failure or loss of your water supply.

-Review your liquor liability insurance including coverage in your umbrella.

-Check your systems for workers’ comp loss prevention and claim management.

-Understand how coverage works for vandalism damage to your plate glass windows.

-Blanket property coverage with agreed amount to remove any coinsurance penalty.

-Check to be sure you have adequate property coverage. Tell your agent to remove coinsurance penalties.

-Watch for coverage limitations on computer equipment.

-Consider a $5,000 or $10,000 property deductible to control your premium. You take care of the small stuff. Let your insurance company take care of the big stuff.

The above is typical of the information in my new Business Insurance Toolkit.