kitchen of a restaurant

Restaurants have been hit hard during this global pandemic. Indoor spaces have been all but eliminated, outdoor spaces have allowed for weather-contingent dining, and owners have needed to quickly adapt to online ordering and take out options. It has not been an easy six months by any standard or measurement. That’s why we thought it would be prudent to review the insurance coverages that are considered must-haves for restauranteurs. 

Inevitably something will happen at your eatery, whether it is a slip-and-fall, a kitchen grease fire, customer food poisoning, or a drunk customer causing injury to others. There are literally a million things that can go wrong. That’s why insurance is critical to the safe operation of any restaurant. 


General Liability

As we discussed in our last blog, general liability can be a true lifesaver in the case that a customer, vendor, or employee is injured while at your establishment. It also covers damage to property. Depending upon your specific policy, it may also cover any food-borne illness that occurs after a patron eats at your restaurant. 

Recently, eateries and tap rooms have inquired about the liability of a patron contracting a virus where they believe it was transmitted in your establishment. While no legislation currently exists that protects restaurants, the U.S. Senate and House of Representatives are considering protections for businesses where patrons could claim legal charges for negligence in contracting COVID-19 on the premises. 

Property Insurance 

This insurance type is fairly straightforward and simple. Property insurance covers exactly what it states… property in the restaurant such as: kitchen equipment, furniture, buildings, and other property you own as a restaurateur. 


Liquor Liability

This form of insurance is absolutely necessary if your restaurant serves liquor. Not only will this form of insurance cover you if an intoxicated patron injures someone but if they damage property as well. In the case the inebriated patron commits a crime, you will also be covered. 

Workers’ Compensation 

This specific insurance protects your employees from the expense of work accidents, illnesses, and lost wages. Workers’ compensation insurance typically covers medical expenses, physical therapy expenses, and lost wages for employees who get sick or injured through the course of their work duties. As an added benefit, restaurant owners can generally deduct their workers’ compensation on their federal taxes.

Food Contamination Insurance 

Recovering from a food contamination event and the reputation management that will be needed after an incident can be costly. Food contamination insurance is coverage specifically designed to help a business owner recoup the costs associated with spoiled or contaminated food in the event of a power outage.

Automobile Insurance Coverage 

Many restaurants are currently providing delivery and take out services due to COVID-19. If you have a fleet of vehicles or even just a company car for deliveries, you will need commercial auto insurance to protect you against the medical, legal, and repair costs from a car accident.

What kind of insurance coverage does your particular establishment need? Talk to one of our agents about what types of coverage your restaurant will need now and in the months to come.