Standard types of insurance every restaurant should own

Every restaurant should have the following standard types of insurance to protect against various risks and liabilities:

1. General Liability Insurance: Covers accidents that occur on your premises, such as slips and falls, and provides protection against claims of bodily injury, property damage, and personal injury.

2. Property Insurance: Protects the physical assets of your restaurant, including the building, equipment, furniture, and inventory, against risks like fire, theft, vandalism, and natural disasters.

3. Workers’ Compensation Insurance: Required in most states, this insurance covers medical expenses, lost wages, and rehabilitation costs if an employee is injured or becomes ill due to work-related activities.

4. Commercial Auto Insurance: If your restaurant uses vehicles for deliveries or catering, commercial auto insurance covers damages and liability in the event of an accident involving those vehicles.

5. Liquor Liability Insurance: If your restaurant serves alcohol, liquor liability insurance protects against claims that may arise from customers becoming intoxicated and causing injury or property damage.

6. Business Interruption Insurance: Covers lost income and operating expenses if your restaurant is temporarily closed due to a covered event, such as a fire or natural disaster.

7. Product Liability Insurance: Protects against claims related to foodborne illnesses or allergic reactions caused by the food you serve. This coverage can help cover legal fees and settlements.

8. Employment Practices Liability Insurance (EPLI): Provides coverage against claims made by employees related to wrongful termination, discrimination, harassment, or other employment-related issues.

9. Cyber Liability Insurance: Protects your restaurant from the costs associated with data breaches, cyberattacks, and other cyber-related incidents, especially if you handle customer payment information.

10. Umbrella Insurance: Provides additional liability coverage beyond the limits of your standard policies, offering extra protection in the event of a large claim that exceeds your regular coverage limits.

These types of insurance help ensure that your restaurant is protected from a wide range of risks, providing financial security and peace of mind.