Insurance for restaurant owners in Washington D.C. or any business in the Beltway is a must. Extreme weather, employee accidents, and other problems affect anyone trying to serve customers. There are certain hazards, like food spoilage, which affect only employers in the food service industry and need coverage in addition to these basic aspects:

Business / Commercial Liability – Also called General Liability. It usually covers mishaps on the business property or accidents caused by an employee; slipping in a puddle of spilled soup or a valet knocking off a side mirror. Usual payouts include property damage, medical bills, legal fees, and bodily injury.

Business / Commercial Property – This policy section of the insurance for Washington D.C. restaurant owners protects their assets, not the customers. It includes accidents by employees and customers as well as weather-related disasters and damage from fires.

To determine the amount of needed coverage, Ashcraft Associates determine the value of the property along with the business expenses and credits. That includes the age and prior use of the building, square footage, and the type of business now in operation. Combined with financial data like gross sales receipts, previously filled insurance claims, and monthly payroll; it all provides us with a picture needed to secure the best possible rate.

A Business Interruption section to the policy covers two important problems for restaurant owners in particular; Equipment Breakdown and Loss of Business. Take a faulty sprinkler system for example. A freezer unit is shorted out by the water, the bathroom linoleum has water trapped underneath it, and it takes a restoration company four days to clean everything up. The Interruption policy pays for a new freezer and a percentage of the lost receipts to pay the bills, but it does not cover a new floor. That falls under Business or Commercial Liability.

A Food Spoilage policy covers the food that thawed in the damaged freezer. Most insurance companies actively exclude damaged food from Business or Commercial Liability, and many restaurant owners do not realize that until they attempt to make a claim.

Finally, there is Worker’s Compensation. After an on the job accident, employers need this policy aspect to cover their responsibilities to the injured person and still be able to serve customers. Standard policies cover medical expenses like hospitalization, medication, diagnostic testing, and other procedures needed to treat the injury.

If the person was hurt so severely that they cannot return to the same duties, this is considered a life-altering injury, and then the employer needs to cover expenses like rehabilitation and retraining. If it is not life-altering but prevents the employee from returning to work for a long period, then the policy pays out a pre-determined percentage of the wages lost.  

Ashcraft Associates has provided insurance for restaurant owners in Washington D.C. for over twenty years. If you need to update an existing policy or are starting a new business, contact one of our independent agents at (703) 354-3501 today.