Everything You Need to Know about Restaurant Liability in Atlanta

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Atlanta is, without a doubt, a city for foodies.

According to Atlanta’s website, you can find:

  • More than 12,000 restaurants
  • 10 AAA Diamond-rated restaurants
  • 15 James Beard Award-winning restaurants
  • 37 Bib Gourmand winners
  • 381 dog-friendly restaurants

What does this all mean?

It means that Atlanta has a reputation to defend when it comes to the food service industry. It means that there are some very high expectations for every restaurant in this city. And it means that restaurant owners have to be completely dedicated to the care and protection of their customers, staff, and property.

Individualized Atlanta Restaurant Insurance

The immense variety of restaurants in Atlanta means that no two establishments need the exact same insurance plan. There are plenty of variables that could impact your needs, including:

  • The type of food you serve
  • Your location
  • The type of building you’re in
  • How the food is prepared/cooked on the premises
  • The amount and type of personal property in the building
  • The number of staff on hand, and their individual roles
  • Any special property, like signage and other additions

What Types of Insurance Do You Need?

Running a restaurant in Atlanta comes with its very own set of risks and challenges, and while it’s always possible for something completely unexpected to blindside you, the right insurance should be able to minimize business interruptions and guard against several types of liabilities.

We recommend starting with these 4 types of restaurant insurance:

  1. General Liability

General Atlanta restaurant liability insurance is a critical element of your policy because, unless you can somehow take control of the entire food chain, micromanage every action in the kitchen, and guide every customer to their seat, accidents are going to happen.

Your food, your establishment, your employees – your responsibility.

To that end, general liability plans are intended to protect you against third-party claims in the event of bodily injury, property damage, advertising liability, and more.

  1. Commercial Property Insurance

Most restaurant owners in Atlanta know that a natural disaster – or even a large kitchen accident – could put them in a position where they could lose their business.

Property insurance comes in two types, either named perils coverage (protecting you in specific cases) or open perils coverage (in case of unexpected events).

Most policies insure your building, your business property (tables, chairs, etc.), and inventory (perishable and non-perishable). It’s even possible to insure against business interruption, so you can recoup lost income while your building is under repair.

There are some special coverages for specific things like machinery equipment, signage, and spoilage, so be sure you understand what your policy covers.

  1. Workers Compensation

If you own a restaurant in Georgia, this is one of the types of insurance you will be required by law to carry. It is intended to cover the medical expenses and lost wages that the employee may incur. This means financial assistance for hospitalization and diagnostic testing while giving them a safety net while they’re in recovery.

Just remember, this type of insurance isn’t just about protecting your staff. It also protects your establishment from potential law suits from injured employees.

  1. Liquor Liability Insurance

If your restaurant serves alcohol to the public, it could be held responsible for any actions of any intoxicated customers (even after they’ve left your restaurant).

Atlanta requires restaurants to carry liquor liability insurance if they serve any alcohol on the premises, but this isn’t something that you should view as a burden. It is, after all, meant to protect your business.

Liquor liability can cover a number of alcohol-related claims, including drunk driving, slips and falls, and various types of assault. It may cover damage to others’ property, but not yours (hence the property insurance listed above). However, there are some cases where you won’t be covered, so be sure you talk to one of our specialists about your policy.

What Factors Influence Your Coverage Costs in Atlanta?

Premium costs in Atlanta are based on a number of important factors, including:

  • The type of restaurant – What type of food do you serve? How is it prepared? Is it delivered buffet style? The type of restaurant can change the types of risks involved and impact your premiums.
  • The size of the restaurant – This includes the dine-in space, the kitchen space, and the number of employees that must share that space.
  • The drive-through – This can end up costing you a little more in property coverage if you have a high-tech, impressive drive-through sign/menu.
  • Dining in or carrying out – A restaurant without a waitstaff will likely have a reduced insurance rate, simply because there are fewer people to cover.
  • Delivery services – If you offer any kind of delivery service, your rates may change based on the types of vehicles used, the experience of the drivers, and the type of food you’re delivering.

Get the Coverage You Need

While workers compensation and liquor liability may be the only two types actually legally required for your restaurant in Atlanta, your business needs to have the right protections in place to ensure nothing gets in the way of your ability to do business in the world’s number one place for great food and drink.

Don’t let the unexpected put a crimp in your ability to run a restaurant in Atlanta. Start looking at your coverage needs today and find out how we can help.