What is restaurant insurance?

Restaurants are complex businesses that face multiple risks. A serious case of food poisoning, kitchen fire, break-in, or simple fall could result in extensive losses if proper insurance isn’t in place. That’s why many restaurants in Texas get restaurant insurance.

Restaurant insurance is tailored for sit-down restaurants. Policies offer multiple coverage liability and property coverage options that can be customized for a particular eatery’s needs.

What Texas restaurants need a restaurant policy?

Restaurant policies are primarily for sit-down eateries. Most Texas eateries should have a policy that includes both restaurant liability insurance and also property insurance protections. For example, these policies are frequently purchased by:

  • Fine dining restaurants, steakhouses, and seafood restaurants
  • Family-friendly restaurants, diners, buffets, and pizza places
  • Fast-casual restaurants, bistros, cafes, and coffee shops
  • Other restaurants providing sit-down service

For businesses serving food in other settings, there are other insurance options. Catering insurance and food truck insurance are two examples of policies that have similar protections, but are slightly adjusted for these respective businesses.

Get A Quote

Evie has been my insurance agent for many years now. She is perhaps the most knowledgeable person in insurance I have ever dealt with and always gives you the information and available choices like you were family. Her service is exceptional and her advice has always been invaluable for me and my family. I can say without a doubt that I would highly recommend her for anyone’s insurance needs

What protections should restaurants get when choosing property insurance coverages?

Property insurance coverages generally protect assets that a restaurant owns against damage or loss. There are several that many restaurants get:

  • Commercial Building Coverage: Might insure a restaurant’s physical location if it owns a property. Coverage usually can include a building and any outdoor structures (e.g. parking lot, patio, etc.).
  • Tenant’s Betterment Coverage: Might insure the build-out that a restaurant makes to a leased space. Coverage usually includes both front-of-house (FOH) and back-of-house (BOH) build-outs.
  • Commercial Contents Coverage: Might insure everything from kitchen appliances and cookware, to computers and furniture. Most items at a restaurant’s location may be covered.
  • Food Contamination Coverage: Might insure ingredients, prepared foods, and beverages against spoilage due to covered power outages or other events.

What should restaurants get when choosing restaurant liability insurance coverages?

Restaurant liability insurance coverages generally protect against situations where an establishment could be held financially responsible for causing harm. There are multiple restaurant liability insurance coverages that restaurants might want:

  • General Liability Coverage: May apply if a third party (e.g. customer or vendor) is injured on the restaurant’s premises. Often also covers false advertising and defamation.
  • Liquor Liability Coverage: May apply if a drunk customer is involved in an accident, fight, sexual assault, or other confrontation. Often also covers alcohol poisoning and DUI accidents that customers cause.
  • Product Liability Coverage: May apply if a customer becomes ill from improperly prepared food or beverages. Usually covers choking and other food-caused injuries as well.
  • Umbrella Liability Coverage: May apply additional protection when a lawsuit exceeds the coverage limits of a primary restaurant liability insurance coverage.
Restaurant Insurance Texas

Do restaurants need special insurance for hosting private events?

Hosting rehearsal dinners, corporate parties, nonprofit fundraisers, major parties, and other private events can increase a restaurant’s liability risk exposure. 

For restaurants that regularly host such events, it’s important to make sure that a restaurant policy offers sufficient liability coverage. A few policies might not, but many do either as a standard or available feature.

An insurance agent who specializes in restaurant policies can help restaurants confirm that their chosen policy offers the liability coverage that’s needed.

How much do restaurants pay for their insurance?

The cost of insuring a restaurant varies, depending on the restaurant’s location, size, menu, sales volume, and many other factors. An independent insurance agent can request custom quotes from several insurers, to see how much insuring a particular restaurant would be.

Where can restaurants in Texas get restaurant insurance?

For help insuring a restaurant that’s located in Texas, contact the independent insurance agents at WISE Insurance Group. We’ll make sure you find a restaurant insurance policy that provides both the liability and the property protections your establishment requires.

Let's start with a free quote!