for Restaurants, Bars, Catering & Other Food Services Businesses

When disaster strikes, it's every small business owner's worst fear that they won't have the means to recover from such a hit and that their hard-built business will be devastated. With the proper business insurance in place, however, food business owners have the assurance that no matter how bleak the outcome of a natural disaster, fire, accident, or theft, their business will have the funds it needs to open its doors again.

As a food-service business owner, you benefit from Property Insurance by having the necessary coverage for damaged or lost property—including the property of others that is in your care. Property Insurance protects your business space, equipment, inventory, and other business assets, depending on your policy. While the most common property claims for food business owners are kitchen fires and equipment breakdowns, Property Insurance can also include coverage for damaged business assets in the case of natural disasters, such as tornadoes, or criminal activity, such as theft and vandalism.

Every day counts when you're a food business owner in need of new equipment, inventory, or operable space, which is why insureon simplifies the process of getting your business the protection it needs so you can get back to work as soon as possible.

Discover how Property Insurance for food service professionals keeps your business assets secure when it matters most.

Food Service Professionals: How Property Insurance Works for You

Food Service Professionals: How Property Insurance Works for You

Property Insurance provides coverage for a food business's assets, including building space, equipment, inventory, and supplies used to run your business. When you enlist this protection for your food business, be sure to ask your insureon agent if you are best advised to insure your property at its current value or its replacement value. While the current value coverage will save you some money in the short term, you may be subject to smaller payouts in the event of a claim. Insuring at the replacement value of your assets does require a higher premium, but you will also have the means to replace your property in the event of a covered claim.

Property Insurance can be customized specifically for the needs of your food business as well. For example, if your stock spoils as a result of a breakdown of your freezing or refrigeration equipment or loss of electrical power to your location, some endorsements can be added to your policy to protect you from the losses directly caused by your broken, covered property.

For a broad scope of coverage against property damage and liability, a Business Owner's Policy or BOP may be appropriate if your business is eligible. A BOP combines General Liability Insurance and Property Insurance at a discounted rate, and you can usually tailor your policy to include the specific coverages your business requires. Talk to an insureon agent to learn more about this reliable coverage for your food business.

Key Details About Your Property Insurance

Key Details About Your Property Insurance

In the event of a covered claim, you can rest assured that your damaged property will be replaced quickly and easily thanks to your Property Insurance. However, not all policies are created equal. As you consider the types of coverage best suited for your restaurant, catering business, or other food service business, you may want to include the following types of coverage as part of your business protection plan.

Building Coverage

Unless you own your commercial property, most landlords will require you have some kind of building coverage included in your business insurance plan. This coverage allows restaurant locations that have been damaged by a natural disaster or other catastrophe to be repaired quickly so you can resume your business as usual. Since building coverage is typically included in your standard Property Insurance policy, you will likely not need to add on this coverage.

Food Service Equipment Breakdown Coverage

As a food service professional, you rely on refrigeration units, stoves, ovens, and other culinary equipment, supplies, and tools to run your business. But what happens if your equipment is damaged in an accident or natural disaster? If you are covered with Equipment Breakdown coverage, you can rest assured that your valuable food service equipment can be replaced if mechanical failures or an electrical surge damages it. Ask one of our insureon agents if this type of coverage is appropriate for your food business requirements.

Business Interruption Insurance for Food Service Professionals

For your restaurant, cafe, deli, or catering business, you may also want to include coverage for business interruption. Depending on your policy, this coverage could allow you to receive income and cover operating and payroll expenses while your place of business is under repair after a natural disaster or fire.

Spoilage Coverage

For food service businesses, Spoilage Insurance coverage helps business owners compensate for lost revenue as a result of food contamination, food spoilage, or loss of product due to power outages or refrigeration breakdowns. Usually attached as an endorsement to a Property Insurance policy, Spoilage Insurance covers perishable stock located at your business establishment, and can safeguard your perishable property should your equipment or power fail, or if your inventory is contaminated. The coverage would compensate your business for the cost of replacing your food, produce, or product, and even your lost income, depending on the limits of your policy.

Off-Premise Coverage

Off-Premise Insurance is an essential safeguard for restaurants with food delivery services or catering businesses that transport their equipment and products to other locations. This kind of policy covers others' property while it is in your care. For example, if your catering company uses heating lamps that malfunction and cause a fire at your venue, this Off-Premise Insurance would cover the damage. Additionally, this endorsement ensures your catering equipment is protected at any location, be it in transit, in storage, or at your primary business location.

Food Service Professionals: Customize Your Business Protection Plan

Food Service Professionals: Customize Your Business Protection Plan

Our insureon agents are here to help protect your food business from the unique risks and unexpected events that can bankrupt a small business. If you're ready to find a policy that safeguards your business assets, contact our food business insurance experts today.

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