We continue with the importance of insuring our restaurant business. Previously, we have talked about coverage to insure our business, both for the contents and the building. But we will now focus on perhaps the most important, on the civil liability insurance (hereinafter CR) of our business.
To start this coverage it is mandatory for you to have an opening license. You can choose to take out a multi-risk policy or just take out a civil liability policy, as it is called in insurance terms. Keep in mind that they will give you as much for one policy as the same coverage for another, although I recommend taking out a complete insurance policy with all the guarantees because the price is usually of interest, including the machinery breakdown policy.
What are the types of liability insurance?
We must take into account several types of civil liability insurance, the first one being the operating CL, which refers to all liability arising from the activity we perform.
CL of property or locative, let’s clarify this issue, the premises itself may be responsible for a loss (an example, short circuit of the lighting panel that causes a fire and damages third parties), the locative RC must be contracted in case you are a tenant of the premises, and it is your responsibility towards the owner (if you cause the fire and damage the leased premises you must respond with your locative CL).
Employer’s CL, you must have a CL that covers your liability towards your employees, it is usually used when there is an accident at work and the worker may believe that it is the company’s responsibility.
Product´s CL, when handling food and cooking, we enter into a process of creation of a product. In this case if we give a product in bad condition and it causes an intoxication we can respond for this coverage.
CL of terraces, this coverage is given in the case that we have a terrace in a public space, the same city council will ask us for this RC. It is important to include it, since the operating one will only have coverage inside the premises. Here we find claims for falls supposedly caused by some element of the exterior furniture, and of course the typical falls of food or beverages to the client. The CR in the multi-risk does not usually have an excess, whereas in the specific policy, there are always excesses.
It is necessary to secure our restaurant
The insurances will cover civil liability but never criminal liability, please note that fights are totally excluded. Like other coverages you will be able to choose the maximum amount of coverage in case of loss.
In some autonomous communities they will ask for a minimum insured amount depending on the capacity of the premises, some companies ask for the turnover of the business in the last year and/or number of employees. If you need more information about liability insurance, just contact Siempre Cerca.
