Pubs and restaurants insurance for Reading businesses

If you’re running a pub or restaurant in Reading, there are lots of things you’re juggling in your day-to-day work. With so many spinning plates, it’s not unusual for something to go wrong, even when you take every precaution. That’s why pubs and restaurants insurance is so important - it keeps you protected if the worst was to happen. In this article, we take a closer look at what pubs and restaurants insurance is, and why you need it.

What is pubs and restaurants insurance?

Pubs and restaurants insurance is a form of cover that’s specifically designed for pubs and restaurants, as well as other licensed hospitality venues. It’s tailored for the unique issues and risks these businesses face.

Pubs and restaurants insurance generally includes:

• Public liability cover - In a fast-paced environment with lots of foot traffic, accidents can easily happen. Public liability covers you for customer injuries, slips, and other food-related issues.
• Employer’s liability - It isn’t just customers who need protection in the case of an accident. Employer’s liability covers you should a member of staff injure themselves on your premises or while carrying out their role. It’s compulsory by law.
• Stock loss - This keeps your food, drink and other stock safe in case of an accident or emergency - for example, if there’s a flood and your stock is damaged.
• Equipment breakdown - If your refrigerators, freezers or ovens break down, this cover will make sure you’re not out of pocket for repairs or replacements.
• Business interruption - If your business is forced to close (e.g., due to a fire), this will compensate you for any lost income.
• Cover for alcohol-related risks and licensing considerations - if you lose your liquor licence due to factors beyond your control, this will protect you against financial loss.

Why isn’t standard business insurance sufficient for pubs and restaurants?

Standard business insurance isn’t enough for pubs or restaurants because it doesn’t take into account the fast-paced and high traffic environment of these businesses. Standard business insurance won’t necessarily cover you for risks such as food poisoning or loss of your liquor licence - you need cover that is specifically tailored to protect you in these cases.

What is the financial impact if something goes wrong?

If you don’t have the right cover in place, accidents and emergencies can have a devastating effect on your pub or restaurant, sometimes even forcing it to close. Besides lost revenue, you may also experience reputational damage if customers find your premises or food to be unsafe.

What factors affect the cost of my pubs and restaurants insurance?

The overall cost of your pubs and restaurants insurance will depend on:

• Your venue’s size
• The business’s type (e.g. pub, bar, restaurant, takeaway)
• Your opening hours and footfall
• Whether alcohol is served
• How many staff you have

If you have more staff or you serve alcohol, the cost of your insurance is likely to be higher in order to cover the increased risk.

Common gaps in cover that pubs and restaurants overlook

Standard policies often cover fire and theft, which are perhaps some of the most obvious risks to a pub or restaurant. But there are other risks that these policies may not cover and that hospitality businesses tend to overlook:

• Cyber liability - Many pubs and restaurants don’t consider that they need cyber insurance, but you need this form of cover to protect you from data breaches, ransomware and phishing attacks if you’re handling customer bookings and data.
• Liquor liability - If a customer is intoxicated and causes damage to your pub or restaurant, this type of cover will protect you - general liability isn’t enough if alcohol is involved.
• Business interruption (non-traditional) - This will protect your business in the case of supply chain failures, utility issues, or revenue loss from reputational damage.
• Employment practices liability (EPLI) - With high staff turnover, disputes over wrongful termination or harassment in the workplace are rising. Having EPLI in place protects your business if an employee brings a claim against it.

Why should I work with a specialist broker to protect my pub or restaurant?

As we’ve mentioned above, standard business policies often do not provide cover for the unique risks a pub or restaurant faces. Because hospitality venues can vary so much in size, type, and other factors, it’s important to work with a specialist broker to make sure you’re covered for all aspects of your business, so you’re not under- or overpaying for your insurance. They’ll make sure that there are no hidden gaps in your cover, so you can return to running your business with peace of mind.

Specialist pubs and restaurants insurance for Reading businesses

Reading boasts an eclectic mix of pubs, restaurants and other hospitality venues, ranging from small cafes and greasy spoons to gastro pubs and more. With such variety in one town, it’s easy to understand why a one-size-fits-all policy isn’t necessarily the best choice for your business.

EIC Insurance, based in Tring, has been providing insurance cover for businesses across the Home Counties since 1973. With our local expertise and ongoing support, we’ll help to protect your pub or restaurant, so you can get back to running your hospitality business.

Get in touch

If you’ve got a pub, restaurant or other hospitality venue based in Reading and you’d like to review your existing insurance, we are here to help – we can also arrange brand new policies, or simply offer advice. Just give us a call today on 01442 286910, or send us a query.

Protecting your business starts with the right conversation, and we’re ready when you are.