Best Insurance for your Restaurant
What is the best insurance for your restaurant business? There’s a lot of factors that can go into this, and that’s what we’re going to talk about in the article.
Running a restaurant is not easy. It’s probably one of the hardest businesses to run.
Trying to figure out what insurance you should have or what insurance company you should go to is not one of the things on your list that you want to try and figure out.
So we are going to try and make this as easy as possible for you so you can get a better understanding of what type of insurance you should have, what insurance company you should go to, and everything probably in between.
Customized Insurance Policy
First off, the best insurance for you to get for your restaurant is one that is tailored to you, an insurance policy and an insurance company that specializes in the type of restaurant that you operate, the type of business that you have, and the specifics built into your specific location or establishment.
Every insurance company is different
Every insurance agency is different
Having somebody that best understands your specific business is going to help craft the perfect policy that’s going to cover you the right way at the right possible price.
Restaurant Liability Package
When it comes to your business liability and your business insurance policy, you want to find an insurance company that has an option that it’s going to include a good chunk of the coverages that you need.
This means your general liability, your business property, whether you own the building or you lease the building, there’s a lot of factors that go into play and what you are responsible for.
This includes the equipment and your furniture. What about the inventory, your refrigerated products?
And what happens if there is a claim and you have to shut down?
Do you have loss of income?
An insurance policy that has all those, in a business owner’s policy that’s specific to restaurants is going to give you a lot of different options to make sure that when there is a potential claim you’re covered.
Another opportunity or coverage that needs to be built into this policy is liquor liability.
If you are a restaurant or a business that is serving alcohol, you need to have liquor liability coverage.
Some insurance carriers will add that into your package. Others will make you have to buy it separately.
That is a huge price difference, whether it’s included in or if you have to buy a whole separate policy. So make sure you find an insurance company that has the options to do that for your restaurant business.
How the policy is rated
Another area to look at is how does the insurance company rate your policy?
If the insurance company rates it based off gross sales, then your insurance premiums are going to go up based on how much sales you do.
Well, gross sales is just profit. It is gross sales. So as the food costs increase, as anything else increases and you have to increase your prices, you might not be making more money, but your insurance policies are going to go up.
You might want to look at an insurance policy that rates off of square footage of your location so they know how many people, and what the exposure is at any one time based on just the size of your establishment.
That type of policy might fit you better and it allow you to plan accordingly, and it doesn’t fluctuate as much up and down.
Some of the insurance carriers, especially here in New York, that are great at restaurants are Erie Insurance Company, and also, Erie Niagara Insurance Company.
Neither of them are related to each other, even though they both have Erie in their name, but they both have great policies specific to restaurants.
Now, there’s a handful of other companies that are great when it comes to this, but those two are two that we have great experience with in writing restaurants and helping our clients here in upstate and central New York.
Insurance Agency that Specialize in Restaurants
If you are looking for an agent that is going to help you craft the right policy for your restaurant business, reach out to the team at Crowley Insurance.
The team at Crowley Insurance specializes in restaurant insurance.
We’d be happy to review your policy to see where there is opportunities to not only improve coverage, but lower your costs, to make sure that you understand what you are expected to have and you can plan accordingly because, as we know, restaurant profit margins are already really tight.
So understanding where you can save would be huge for your operating expenses.