Small Business Owner's Guide to Insurance for Restaurants

Few businesses match the fast pace of a busy restaurant, with customers coming and going, kitchen teams hustling to keep up with orders, and servers constantly moving between the food preparation and dining areas. If you own or operate a food-service business, you likely understand the importance of insurance for restaurants.

Having the right coverage is essential to protect your business from incidents like lawsuits and property damage. These issues occur more often than you may think, and if you don’t have adequate financial protection, they can harm your business. Even seemingly minor incidents can take a huge bite out of your profits if they aren’t covered, and more significant issues can bankrupt a business.

Understanding insurance for restaurants and taking steps to protect yours is important. That’s where a policy from THREE by Berkshire Hathaway can be crucial.

What kind of insurance does a restaurant need?

Restaurants need adequate insurance protection. Some owners choose to create a portfolio of policies, each covering a different risk. That strategy can help protect a restaurant from unexpected expenses.

However, THREE takes a different approach. Our easy-to-understand, comprehensive policy includes all the different coverages restaurants are likely to need. An all-in-one policy like ours can benefit any restaurant operator and may be especially useful to new business owners.

If you’ve recently opened your first restaurant, working with THREE gets you the essential coverage you need without the long, complicated policy you don’t want. Our knowledgeable Small Business Advisors can recommend the right coverage limits so you end up with a thorough yet cost-effective insurance solution. Insuring a restaurant through THREE is easy, which means you can quickly turn your attention back to growing your business.

Prospective business owners enjoy the same benefits from connecting with a THREE Small Business Advisor. They learn that a THREE policy addresses a spectrum of restaurant risks, including:

If you’re an experienced restaurateur, you know that insuring your restaurant with the right company can help ensure your venture is successful. As part of the Berkshire Hathaway Insurance Group, THREE is backed by its extensive expertise and deep resources.

Insurance for restaurant businesses addresses liability risks

It’s crucial to a restaurant’s success that ownership stays focused on efficient, effective, and profitable operations. As a result, it’s tempting to push the task of securing insurance for your restaurant business to the back burner. After all, nobody wants to focus on all of the possible incidents that might occur.

However, ignoring business risks increases your exposure and the chances of being impacted financially by them. Every restaurant can be hit with things like:

• Slip and fall accidents, where a customer is injured and sues the business for the cost of their medical bills and other expenses
• Employment disputes, including hour and wage issues, discrimination, and harassment
• Food poisoning and allergen exposure incidents
• Liquor liability, such as when someone claims they were over-served and their condition contributed to them causing a vehicle accident
• Trademark or copyright infringement claims related to advertising, logos, menu design, and other related materials

These and other liability issues are reasons you need insurance for your restaurant business.

Protecting your business financially from property damage

Your restaurant’s physical space, equipment, and other assets are integral to its success. Unfortunately, the complexity of restaurant operations creates the potential for many types of property damage, including:

• Fires caused by kitchen incidents, electrical issues, or equipment malfunctions
• Accidents that damage or destroy equipment, fixtures, and other assets
• Water damage from things like leaks or burst pipes, roof leakage, and firefighting efforts
• Vandalism
• Structural damage caused by everything from falling trees and vehicles striking the building to settling foundations

Get a quote for restaurant insurance

How much is insurance for a restaurant? Your cost will depend on factors like the size of your operation, your claims history, and others. You can find out what you’ll pay for coverage by getting an online quote. It only takes a few minutes.

Protect your business with restaurant insurance

In a perfect world, our customers would never have to file a claim. Unfortunately, we know that accidents and weather incidents do happen. The good news is that restaurant insurance from THREE can prevent unexpected issues from creating an overwhelming financial burden.

Don’t leave your business exposed to unnecessary risk. If you don’t have restaurant insurance or you’re not sure you have the right coverage, get a quote today.

If you’re already a customer and need a Certificate of Insurance, request a certificate.