When issues arise at your restaurant, it’s every owner’s worst fear that they won’t have enough funds to recover from the effects of the issue. Many times this is unfortunately true, and businesses go under from being under insured when a disaster occurs. With the proper type of business property insurance in place, restaurant owners can rest at ease knowing that no matter how bad of an issue comes up, whether it be a natural disaster, fire, accident, or theft, that the business will be financially protected and will be able to open its doors again.
Commercial Property Insurance
Commercial property insurance provides the necessary coverage for damaged or lost property, including the property of others that may be in your care. This type of insurance protects your restaurant’s space, as well as inventory, equipment, and other business assets. While the most common claims on property insurance stem from kitchen fires and electrical breakdowns, there are also instances of damaged businesses assets caused by weather events like tornados or hurricanes, as well as criminal activity like theft, robbery, and vandalism. The restaurant insurance professionals at RPA will ensure that you end up with a policy that will act fast when a claim is filed, so that your business can get the new equipment, inventory, or operational space that it needs to remain in business.
New Property Insurance
When you are looking to purchase new property insurance for your business, a Restaurant Programs of America representative will be able to help you determine whether it is better for you to insure your property at its current value or at its replacement value. Insuring items at current value may result in reduced premiums, it may result in smaller payouts should an incident occur where you needed to file a claim. Items insured at replacement costs will raise your premium, but will ensure that the property that is damaged or destroyed can be replaced and the costs covered. Most restaurant property insurance policies have areas where additional coverage can be added to the property insurance umbrella.
Building coverage will aid in receiving funds to repair your restaurant’s structure in the event of a natural disaster or fire.
Food Service Equipment Breakdown Coverage
Food Service Equipment Breakdown Coverage provides a protection that if kitchen equipment fails, it can be replaced or repaired.
Business interruption Insurance
Business Interruption Insurance is a coverage that will provide your business with a “replacement” income if you need to suspend operations for a period of time due to a storm, natural disaster, or other catastrophe.
Spoilage Coverage is a major coverage that many restaurants elect to add to their policy, since without food, a restaurant does not have any way to make money. This type of insurance covers perishable stock that is located in your business, and will compensate the business if equipment or power fails and the items become contaminated.
If your restaurant or bar is looking to improve on your current property insurance policy, or wants to find a new provider that can offer more coverage, speak with a Restaurant Programs of America representative by calling us at 844-358-2296.