Modern business owners operate within a highly litigious society. Consumers are quick to put blame on commercial entities, and many consumers file lawsuits in an attempt to gain compensation for injuries or accidents that occur within a commercial facility.
Restaurants serve many consumers on a daily basis. The volume of traffic moving through a restaurant can elevate the potential for a lawsuit. Liability insurance is a product that no restaurant owner should be without.
Become familiar with common liability claims among restaurant owners to better appreciate the value of a comprehensive liability insurance policy for your facility.
1. Food Poisoning
Hundreds of meals are served in your restaurant on any given day. Proper methods of storage and preparation must be used in order to preserve the quality and safety of all the food items you use.
When food is mishandled, the potential for injury arises. These injuries can threaten your restaurant’s bottom line and tarnish your reputation in the marketplace. Food poisoning or foreign matter found in food items are common claims that restaurants may face during the course of normal operation.
Statistics show that some 48 million Americans are affected by food poisoning each year. For the 3,000 people whose food poisoning is severe enough to lead to death, a wrongful death lawsuit could even be filed against your restaurant.
A liability insurance policy will offer a financial buffer between your business and any fees you are legally obligated to pay as a result of food poisoning or foreign matter claims.
Anytime a large group of people gathers, the potential for disagreements arises. This is especially true in a restaurant that serves alcohol to its patrons. If you offer alcoholic beverages in your restaurant, you will need to be protected against any liability your business could face as a result of an intoxicated patrons actions.
Dram shop laws are in effect in most areas. These laws hold businesses liable for any injuries or property damage caused by an obviously intoxicated individual who was served alcohol in that business.
Your employees will need to be trained to recognize patrons that are too inebriated to be offered alcohol in your restaurant. A good liability insurance policy will also be needed to help offset the cost of any claims made against your business as a result of dram shop laws in the area.
Your insurance agent can help you review your liability coverage to ensure you have adequate protection based on the legal liability your restaurant will face after an alcohol fueled altercation.
3. Slip and Falls
One of the most common claims restaurants face is a slip and fall. Kitchens in a commercial restaurant can pose a unique hazard to employees. Wet floors or floors that are covered by a layer of grease could cause an employee to slip and fall.
Consumers are also at risk of injuring themselves in a slip and fall when food debris ends up on the floor of your restaurant’s dining room. Liability insurance policies can protect your business against the devastating effects of a slip and fall lawsuit.
A reputable insurance agent will be able to help you determine if you need any supplemental insurance policies (like workers’ compensation policies or personal liability policies) to maximize your protection should someone slip, fall, and injure themselves in your restaurant.
The right insurance coverage is critical in a restaurant setting. Without a good liability insurance policy, you could find yourself facing financial ruin after an accident occurs. Contact Family Insurance Centers to discuss your liability coverage options today. We can help you find the policy you need to protect the financial future of your restaurant business.