5 Ways Restaurant Liability Insurance Coverage Protects New Businesses

Restaurant liability insurance protects entrepreneurs in the event something should go wrong. Too frequently, the newest business owners forego these types of business insurance policies just to save a couple of bucks when pursuing food franchise opportunities. After all, restaurant startup costs can get quite expensive. But this mistake could end up costing a business owner everything before they even get a chance at real success. Having restaurant liability insurance coverage will protect a business from many potential downfalls, especially in the first couple years after you open. Find out what restaurant liability coverage includes in the post below.

Liquor Liability

Restaurant insurance policies protect businesses from liquor liability. Obviously, there is a considerable amount of risk business structures take on when selling alcohol to the public. Drunk driving and other domestic disturbances can devastate businesses found to be at fault. In order to protect restaurant businesses from potential lawsuits, you need to have the liabilities protection that only a restaurant insurance plan can offer. This is one of the most important protections these types of business insurance offer entrepreneurs.

Income Coverage

Business income coverage is also an important facet of the best restaurant liability insurance policies. Income coverage benefits will protect the entrepreneur in the event that a restaurant experiences an interruption in business. It allows entrepreneurs to continue making money and paying their bills even when their restaurant cannot open. These types of protections are especially useful during the first couple years of business, when many mistakes are made and unexpected business interruptions frequently arise. Restaurant business insurance policies include income coverage benefits that will help a new restaurant survive the first year of business and beyond.

General Liability

Restaurant insurance plans also cover general liability issues. General liability benefits protect the business owner in the event that a lawsuit should arise from injury. They also protect entrepreneurs from any lawsuits related to food service issues or food-related illnesses. These are some of the most common issues that restaurant businesses face. Protecting a new restaurant from these potential lawsuits will make it much more likely to stay in business for the long-term. That is what makes general liability coverage one of the most beneficial aspects of restaurant insurance plans.

Temperature Change

Temperature change coverage is one of the little known features included in the top restaurant liability insurance policies. For many insurance companies, this is an option you can add on to your standard business liability insurance policies. Temperature change benefits protect a business in the event that their refrigeration system should break down. If restaurant refrigerators and freezers break down, tens of thousands of dollars worth of food can spoil. That could devastate a new restaurant that is teetering on the edge. Ultimately, restaurant insurance policies with temperature change coverage can help keep a new business going forward when everything else seems to be going wrong.

Workers Compensation

Workers compensation benefits are also included in all restaurant liability insurance coverage. Workers compensation coverage protects a business from lawsuits related to work injuries and similar. In addition, the best business liability insurance policies will include protections for undisputed workers compensation claims. This can help keep your business afloat, even when you are short on staff and business capital. These workers compensation protections for restaurants ultimately help many businesses succeed through the difficult first years of business. That is why all entrepreneurs should look for restaurant liability insurance policies that offer workers compensation benefits.

Entrepreneurs hoping to start a restaurant or open a Popeyes franchise need to be prepared for all the restaurant industry throws at them. Restaurant liability insurance coverage does just that to help more restaurants survive the first year of business. The business insurance benefits that most restaurant policies cover include alcohol liability coverage, income coverage, general liability, temperature change and workers compensation coverage. These business liability benefits protect new restaurateurs from anything and everything that a new restaurant could throw at them. Be sure that you are protected before opening your own restaurant for the first time.

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