December is one of the busiest times of the year for hospitality businesses. Celebrations with friends, family and co-workers mean that your restaurant or cafe might be booked every day of the week.
So that you’re well prepared, it may be a good idea to review your insurance policies to make sure your cover still fits your needs.
Having inadequate cover (or no cover at all) could potentially lead to unplanned bills or trading disruptions during the busiest time of the year – something no business owner wants to deal with.
Take a look at the following types of insurance typically taken out by hospitality business owners and make sure you’re ready for anything the holiday season throws at you.
Public liability insurance
Many hospitality businesses have public liability insurance to protect against third-party claims that your negligent business activities caused them injury or property damage – like if a customer slips in a pool of water spilled by a member of your waitstaff and injures themselves, or if you decide to open a pop-up at a local Christmas market or special holiday event.
Machinery breakdown insurance
From walk-in fridges to pizza ovens, commercial coffee machines to industrial mixers, hospitality businesses often rely on highly specialised equipment.
But what would you do if the equipment your business relies on was to suddenly and unexpectedly stop working? Not great when you are in the middle of a busy season! That’s where machinery breakdown insurance can help.
This type of cover would help cover the cost to repair or replace specified machinery
and protected financially if any machinery were to unexpectedly quit.
Theft insurance
Items like expensive kitchen tools and equipment, laptops and tablets could be tempting targets for thieves. One of the reasons why many hospitality businesses take out theft insurance is because thefts are not generally covered by other types of business insurance and may be confused with contents insurance. Theft insurance covers you against loss of contents and stock as well as damage to your business premises in the case of a theft or attempted theft.
These three cover types are usually purchased together as part of a business insurance pack.
Cyber liability insurance
It’s highly likely that you rely on some form of technology to help you run your business, whether you own a restaurant, cafe, wholesale business or mobile food truck. Unfortunately, this means that you may be vulnerable to cyber threats.
If you have a website, accept online reservations, schedule shifts through an online app, use an EFTPOS machine or rely on any other type of technology, you may want to consider cyber liability insurance. This type of insurance covers losses from claims arising from data breaches and cyberattacks as well as business interruption and remediation costs following an actual or threatened data breach.
Compare insurance quotes on the go
BizCover makes it easy to compare multiple quotes from selected leading Australian insurers online in minutes. For on the go cover, go to BizCover.com.au or call 1300 805 821.
This information is general only and does not take into account your objectives, financial situation or needs. It should not be relied upon as advice. As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording.
The provision of the claims examples are for illustrative purposes only and should not be seen as an indication as to how any potential claim will be assessed or accepted. Coverage for claims on the policy will be determined by the insurer, not BizCover.
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