Restaurants And Bars Are Filled With Risk

Restaurants And Bars Are Filled With Risk

Do you own or manage a bar or restaurant?  Then you know that it is a great deal of work, but it can be very rewarding as well.  There are risks that come with restaurants, and insurance is a good method of transfer.  Here are a few common restaurant insurance issues you may want to understand better:

Liquor Liability

The single most important insurance coverage your restaurant or bar needs is Liquor Liability. Liquor Liability will defend you against charges, losses, and claims resulting from your negligence arising out of serving or selling alcohol.  If your operation were found liable, you could lose hundreds of thousands of dollars.

If you serve a customer alcohol and they are involved in an accident, the injured party and the person to whom you served the alcohol can file a claim against your business for damages.

Liquor Liability Insurance is available, but not always included, under Commercial General Liability policies. Most standard liability policies exclude Liquor Liability.  Liquor Liability can be purchased as an endorsement to your Commercial General Liability policy.  If you serve or sell alcohol at your restaurant, bar, or tavern, we recommend you add this coverage.

Cyber Liability

According to Verizon's Data Breach Investigation Report, restaurants are the single most targeted business when it comes to cyber-attack and data breach, making Cyber Liability Insurance a must have for any bar or restaurant.  Cybercriminals target restaurants because they have a high volume of credit and debit card transactions, as well as a system that is easily penetrable, such as a point-of-sale system or remote-access desktop service.

Food Poisoning

Food poisoning does occur infrequently, and it is not limited to restaurants that have poor hygiene standards or obtain their foods and ingredients from less-than-reputable sources. Guests can become sick from not only the food itself but also the preparation and cooking methods

Employment Liability

Whether you are a large or small restaurant, you know the employer-employee relationship has changed.  In today’s world, employers can no longer assume all employment relationships will go smoothly.  Finding a suitable Employment Practices Liability Insurance (EPLI) program has become one of the most important things owners and managers can do.

We have many more insurance products for restaurants and can create and deliver real solutions for you.