Owning a restaurant can be a profitable business venture, but also one that holds many financial and legal issues if owners do not have a comprehensive restaurant insurance plan. As an owner or manager, you already know the myriad of business decisions that go into running a successful restaurant – decisions that affect both your employees and your clientele. As the holiday season starts along with the climax of football season, now is an excellent time to make sure you have all your bases covered when it comes to protecting your assets and your income.
General Liability Insurance
Comprehensive restaurant insurance plans will start with general liability insurance to protect against a range of different claims against your business, including property damage, bodily injury, and personal injuries to the general public that occur during normal operations. This plan should also cover medical payments. General liability cannot stand alone in fully protecting your restaurant. It is a starting point in safeguarding your means of income.
Restaurants can avoid lawsuits arising from unforeseen incidents such as slip-and-fall or food poisoning with general liability insurance, while also protecting the restaurant against “third party claims”.
Liquor Liability Coverage
Alcohol-related claims can result when a patron leaves your restaurant or bar intoxicated, and while driving, gets into an accident or, worse, commits vehicular manslaughter. The family of the victim may sue your restaurant for criminal and civil damages resulting from negligence. Actually, there are many scenarios where serious injuries result from intoxicated patrons of a restaurant, including fights or bodily injury, slip and fall accidents, and property damage that is related directly to the person’s alcohol toxicity. Restaurant owners and/or their employees have even been sued due to reported injuries while escorting an unruly patron out of the establishment.
Liquor liability insurance covers property damage or bodily injury when caused by a person who becomes intoxicated and was served the consumed liquor by a representative of the policyholder.
This is one benefit all restaurant owners should provide for all in-house employees, including wait staff. Not only is workers compensation required by law in California, but it’s also just smart business. Restaurants are notorious for accidental injury to employees, including minor cuts, scrapes, bumps and bruises – and major accidents such as traumatic slip-and-fall, grease or fire burns, and head or back injuries. While it is impossible to completely remove hazards from kitchens, dining rooms, sidewalks, and food prep areas, it is smart to offer worker’s compensation coverage to protect your business, employees, and yourself from medical costs and lost wages. This insurance also pays death benefits to the surviving family members when a fatality occurs on the job.
Workers Compensation covers any legal fees and the resulting financial judgment that results from a work-related injury lawsuit. This optional coverage is necessary to prevent huge fines, losing your business or even serving jail time as a result.
Employment Practices Liability Insurance
Employment Practices Liability Insurance, EPLI, is very important for restaurant owners. Most restaurants & bars are trying to create a fun and exciting environment where customers are having a good time and consuming alcohol. If a patron, coworker, or manager crosses the line and harasses an employee EPLI is the only coverage that would address the claim. EPLI defends restaurant owners from claims for sexual harassment, wrongful termination, and discrimination. Employment Practices Liability will even cover restaurant owners for these types of claims made by non-employees through a 3rd party endorsement. That means if someone sues you for discrimination because they weren’t hired or they were asked to leave your restaurant EPLI is the policy that would cover you.
When you need the best insurance for your restaurant or bar, contact Brashears Insurance to manage your comprehensive restaurant insurance plans for full protection of your business, vehicles, and family.