Restaurant Insurance
Protect your hard work and peace of mind with affordable insurance for restaurants.
Benefits of Business Insurance for Restaurants
Get the coverage you need and enjoy the perks of insuring your restaurant with Food Liability Insurance Program (FLIP).
Enjoy Stress-Free Protection from Claims
Restaurant insurance helps you avoid paying out of pocket for property repairs, attorney fees, and other claims-related costs.
Meet Coverage Requirements
Customizable coverage helps you meet common lease and business requirements, like proof of insurance or adding an additional insured.
Boost Your Business Reputation
Build trust in your food and your service by showing your customers, employees, and partners that you’re prepared for the unexpected.
What is Restaurant Insurance?
Insurance for restaurants can protect you, your business, and your employees from the cost of common accidents. This customized policy combines general liability, property insurance, and other essential coverages tailored to how your restaurant operates.
Your coverage provides a safety net for handling the unique risks you may face in the food business, such as:
- Third-party bodily injuries (injuries to others on your property or due to business activities)
- Property damage (damages to your business property or third-party property damage)
- Foodborne illness (claims of food poisoning or allergic reactions from the food you serve)
- Workplace claims (employee injuries or allegations of wrongful termination, harassment, or discrimination)
Your restaurant is an investment. Restaurant liability insurance protects what you’ve built, so you’re not left handling costly claims on your own.
Don’t have a permanent restaurant location yet? FLIP offers comprehensive mobile food business insurance tailored for food trucks, trailers, carts, and stands.
Who Needs Restaurant Insurance?
If you own a brick-and-mortar restaurant or food and beverage establishment, you need restaurant liability insurance. Often required to satisfy a lease and comply with local business laws, restaurants that need insurance include:
- Bakeries
- Cafes/coffee shops
- Casual and fine dining restaurants
- Diners
- Fast food restaurants
- Ice cream shops
- Pizzerias
- Sandwich shops and delis
- Taverns, bars, and pubs
- Breweries
- Wineries
What Kind of Insurance Does a Restaurant Need?
Restaurants often need a mix of liability, property, and operational coverages. With FLIP, you can explore essential coverage options and more to help protect against common claims and risks.
Learn more in our complete guide to what insurance restaurants need.
| Coverage | What It Covers | Example Claim |
| General liability | Third-party bodily injuries and property damage caused by your business | A customer slips on a wet floor in your dining area and sues for medical bills |
| Personal and advertising injury | Claims that you caused financial and/or reputational harm when promoting your business | You use a patron’s image in a social media promo without permission, and they file a claim |
| Damage to premises rented to you | Limited property damage coverage for a space you rent | Grease and smoke damage the walls and ceiling of your mall-based restaurant |
| Commercial property | Damages to your building (if you own it) and its contents, such as your equipment, furniture, and inventory | A grease fire breaks out, damaging the kitchen, supplies, and dining area |
| Product liability | Claims involving food-related illness or injury caused by products your restaurant sells or serves | A customer claims they got food poisoning after eating at your restaurant |
| Employment Practices Liability Insurance (EPLI) | Costs related to an employee claiming harassment, wrongful termination, or discrimination | A former employee files a claim against your restaurant, alleging wrongful termination |
| Workers compensation | State-mandated benefits for employees who get hurt or become sick on the job | A cook burns their arm on the line and needs treatment and time off |
| Business income interruption | Lost income and operating expenses if you need to close your restaurant temporarily for covered damages | A fire forces your restaurant to close for repairs, causing lost revenue |
| Liquor liability | Bodily injury or property damage resulting from alcohol-related claims | After a customer was served alcohol at your restaurant, they cause an accident and name your business in a lawsuit |
| Cyber liability | Financial losses and data recovery expenses resulting from a cyberattack (e.g., data breach, phishing, etc.) | A hacker steals customer payment data from your online food ordering system |
| Equipment breakdown | Repairing or replacing kitchen equipment that breaks down due to mechanical, electrical, or accidental operator issues | Your walk-in cooler suddenly fails and spoils stored food |
| Tools and equipment (inland marine) | Repair / replacement costs for movable business equipment that’s stolen or damaged | Insulated food pans and a portable grill are stolen during an off-site catering job |
How Much Does Restaurant Insurance Cost?
The average cost of restaurant insurance through FLIP is $2,500 per year or $208.33 a month.
Some restaurants pay more or less for their monthly premium depending on factors like:
- Your gross annual income
- Your restaurant type and services
- Your location
- Your payroll
- Your claims history
- Whether you rent or own your location
- Whether you serve alcohol
Customizing your business restaurant insurance with FLIP is a simple way to get the affordable coverage you need.
Restaurant Insurance Coverage Details
General Liability Aggregate Limit
Starts at $2,000,000
Products-Completed Operations Aggregate Limit
Starts at $2,000,000
Personal and Advertising Injury Limit
Starts at $1,000,000
General Each Occurrence Limit
Starts at $1,000,000
Damage to Premises Rented to You Limit
Starts at $50,000
Liquor Liability Occurrence & Aggregate Limit
Starts at $1,000,000
What Restaurant & Food Business Owners Say About FLIP
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FAQs About Food Business & Restaurant Insurance
What Insurance Does a Restaurant Need?
Most restaurants need a mix of insurance coverages to protect against common claims, property damage, and business interruptions. Core restaurant insurance coverages often include general liability, product liability, and commercial property insurance.
Depending on your operations, you may also need other coverage, such as workers compensation, business income, or liquor liability.
What Is a Certificate of Insurance (COI) for a Restaurant?
A certificate of insurance (COI) for a restaurant is a document that proves you’re covered for accidents like customer injuries, property damage, or lawsuits. It shows the coverages you have and your insurance limits.
Is Restaurant Insurance Required by Law or by My Lease?
Restaurant insurance is typically required by law for certain coverages, like workers compensation, and by commercial leases to protect against liability. When you rent a commercial space, your landlord may ask for a certificate of insurance (COI) showing specific coverages and limits to ensure you’re covered for certain risks.
Does Restaurant Insurance Cover Liquor Sales?
Restaurant liability insurance does not automatically cover liquor-related claims.
If you sell or serve alcohol at your restaurant, you can bundle FLIP’s liquor liability policy with your restaurant policy to get coverage for alcohol-related incidents. Liquor liability insurance may also be required by your state.
Does Restaurant Insurance Cover Food Poisoning or Customer Injuries?
Yes! FLIP’s restaurant insurance includes general and product liability coverage, which can protect your business from liability claims, including customer injuries and food poisoning.
Can I Get Business Restaurant Insurance Online?
You can apply online for restaurant insurance from FLIP. After your application has been submitted, one of our licensed insurance agents will contact you shortly to provide a free quote.
What Information Do I Need to Get Insurance for a Restaurant?
To get an insurance quote for your restaurant, you’ll need to have the following information ready:
- Business name and entity type
- Restaurant address
- Federal Employer Identification Number (FEIN)
- Owner contact information
- Restaurant type and services
- Building details
- Annual sales
- Payroll information
- Any current insurance and claims history