Your catering business operations consist of a variety of details, such as advertising, food prep, food delivery, and post-event cleanup. No matter how careful you are, you need to account for human error and outside variables which are completely out of your control. With many moving pieces involved in creating a successful catering business, the best thing you can do is protect your livelihood by purchasing catering insurance and have peace of mind.
A BREAKDOWN OF CATERING INSURANCE COVERAGE
General catering liability insurance can protect you from bodily injury and property damage claims and lawsuits that caterers might face. A single lawsuit or claim can be financially devastating to your business. Even if you are not found liable for the claim, you may still be on the hook for legal expenses and defense costs. Safeguarding your business with catering insurance is an important risk management tool to protect you from the unexpected.
For example, in the catering business, one common risk that you may face during every event is food poisoning, even if you take precautions. According to the CDC, approximately 48 million people get sick from a foodborne illness each year. Of those, 128,000 are hospitalized and 3,000 don’t make a full recovery. The last thing you want to do is put your business at risk and pay for a lawsuit completely out-of-pocket.
Learn more about real claims fellow caterers in the industry have faced here
Products and Completed Operations Coverage
This important aspect of catering insurance covers you for liability arising out of your products or business operations occurring away from your premises once those operations have been completed or abandoned.
Personal and Advertising Injury Coverage
Personal and advertising injury coverage is especially helpful because your catering business may depend on advertising efforts to gain new clients and retain your current clients. If a third-party were to take you to court over your advertisement, you can rest assured that your catering insurance policy may respond to covered claims and you don’t have to deal with the legal expenses on your own.
Personal and advertising injury coverage can protect you from the following:
- Invasion of privacy
- Copyright infringement
- Misappropriation of advertising ideas
Damage to Premises Rented Coverage
This coverage applies to professional catering businesses who rent out facilities or venues for an event. If you or a member of your team damage the property or its contents during an event, this coverage on your policy may respond to a covered claim and keep you from paying such a crippling expense.
CATERING INSURANCE FROM FLIP
We offer catering insurance starting at $299 per year and can add additional coverage options to fit your business needs. As a business owner, we understand that you don’t have time to sit down with an insurance agent and get wrapped up in a lengthy process. Our online application makes it easy to get tailored coverage and our licensed agents are readily available to answer additional questions.
We hope that breaking down common insurance terms was helpful and you’ll consider adding catering insurance to your risk management strategy.
BY LYNDSEY LARSEN
Lyndsey Larsen is the Marketing Manager and writes about business, marketing, entrepreneurship, and insurance.
Lyndsey Larsen is an experienced writer with a background in corporate communications nonprofits, SAAS corporations, and nutraceutical companies. She has previously worked as a journalist for regional and national publications. In her spare time, she enjoys chasing butterflies, rockhounding, and spending time with her two kids in Utah’s mountains or deserts. Find Lyndsey on LinkedIn.