insuranceAs a restaurant owner, you have enough on your plate in regards to overhead costs.  Commercial insurance is one way that you can easily save money in a tough economy.

Location, Location, Location
Any established restaurateur knows that location is everything.  It affects your target customer base, your traffic and your pricing strategies. If your business is in the start-up phase, you may want to consider leasing your property.  Many times, insurance is built into the cost of the lease, which can help net substantial savings month to month.  Even if its not offered at the onset, you may want to discuss this option with the property owner as a negotiating point.

Safety First

We have all heard it before, but safety in the workplace is about more than just protecting your business assets from lawsuits.  Obviously no one wins when an employee is injured.  Injury results in lack of production, medical expenses, and workman’s compensation issues.  It also will greatly affect your insurance premiums.  Make safety a priority- educate your employees on safety procedures to keep your kitchen and restaurant free from accidents and have proper disciplinary actions in place to discourage short cuts. All too often just being a little lax on safety procedures can lead to major accidents, but even the smallest of accidents can cause those dreaded insurance premium hikes.  Many insurance claims are centered around the fryers.  Taking away this liability by utlilising cooking oil filtration and fryer management servics, like FiltaFry, can help.  Keeping accident rates low will insure your premiums stay the same.

Careful Reporting

You may think that you are on top of your claims, and that they are reported carefully, but your employees may not be as concerned or knowledgeable about the impact they have on your insurance premiums.  If an accident does occur, make certain your reports are done promptly and are concise.  Track all incidents that lead to accidents, make necessary adjustments to prevent repeat scenarios, and educate your management team as to the importance of this aspect of their job to prevent major loses.

Knowing your insurer

If you run a franchise, you may be locked in by your contract with a particular insurance company.  If the choice is yours to make, be sure to do your homework and find a company that has competitive rates and good reviews from past and present clients.  Shopping around is a must, and if you are not comfortable or knowledgeable with exactly how commercial insurance works find an insurance broker that is well regarded.  Your local Chamber of Commerce is a great place to start to find the right broker.   A broker that specializes in hospitality insurance will understand the type of claims you may face and be able to lead you to the perfect company for your business needs.

Avoid Coverage Gaps

Missing a renewal date by just a few days can cause a major increase in your out of pocket expense even if no accidents occur during the lapse.  Have a plan set in place to regularly review your paperwork associated with your claims, be certain loose ends are tied up and that the information is easily accessible.  Renew early whenever possible, as you may find this gives you a small discount and will help you avoid any last minute quote changes.