Coming up with an idea for a limited-service or fast-casual restaurant is probably the easiest part of creating a restaurant. And despite reports that casual dining is on the decline as w hole, there are certain trends within the QSR industry that are giving many hope that their restaurant idea will succeed.
Regardless of the format of your restaurant (food truck, limited service, etc) there’s one thing that you will absolutely need before you get started: Insurance.
Of course, there’s no blanket insurance that covers every aspect of your restaurant operation. Food trucks have special considerations for commercial auto policies while restaurants who require employees to use their personal vehicles will require a different kind of insurance.
of course, it’s not just auto coverage that’s needed for a restaurant. There’s a need for insurance while training employees – even before the restaurant opens. Once a restaurant reaches a certain number of employees, another type of insurance is needed. Again, this is all before the restaurant opens its doors to the public.
Every Restaurant Needs Insurance
Regardless of the format of a restaurant, there is no less inherent risk. This means the need for insurance is still there in many forms. From general liability insurance to insurance that specifically covers fire, worker injury and other damages, it’s always best to consult an insurance agent or company that specializes in covering restaurant and food-service businesses.
When it comes to having employees, there are likely to be local and/or federal laws that mandate the amount of coverage you have and how many employees are required before this kind of coverage is mandatory.
Assets Need Coverage, Too
On top of your employee coverage, almost every physical asset in your restaurant will need coverage as well. So covering expensive items like grills, appliances, refrigeration units, etc. Even items that make up your décor should be covered as well. Think of restaurants like Hard Rock Café that use somewhat valuable items in their locations. Each of those items are likely irreplaceable and require certain coverage in case of damage or loss.
Think of the physical assets and marketing décor that will be in your QSR. Do they need coverage? Can they be easily replaced? Are you willing to leave them without coverage? These are all very important questions.
The bottom line is that no restaurant should have anything in it before it’s first covered by insurance. And as an owner, it’s your job to get the right amount of proper insurance. Get in touch with an expert and get the coverage you need in order to plan, open and run your business.
