The demand for caterers has been growing, which is good news for all people who
love cooking and baking — and want to share their talent and yummy creations with
others. The catering business can be quite lucrative and a lot of fun, but it’s
also demanding work. An in demand caterer must have great stamina, have great interpersonal
skills, and work well under pressure.
Operating a caterer business isn’t without its risks though. There are vehicle accidents,
slips, falls, cuts, and exposure to hot substances, not to mention an aching back
and sore feet to name just several risks. Through safety precautions and preventative
measures, you can bring these risks down, but it’s still important to be protected
with business insurance for caterers.
The most common types of business insurance for caterers are:
Caterer Business General Liability Insurance
General liability insurance provides coverage to you, the caterer, in the event
one of your clients sues you for property damage or personal injury as a result
of your catering activities. For example, if one of your employees damages equipment
at your client’s premises while holding a catering event, you could be faced with
a hefty lawsuit. Despite the damage or litigation, if you had general liability
insurance, you would be covered for both the damages and defense costs.
Caterer Business Liquor Liability Insurance
If you sell or distribute alcoholic beverages as part of your catering business,
then you need liquor liability business insurance for caterers. Liquor liability
insurance protects you against legal liabilities should a customer become intoxicated
and hurt himself, others, or damages property.
Caterer Business Business Personal Property Insurance
Do you own a personal equipment, inventory, or structure that you use in your catering
business? If so, have you considered business personal property insurance to protect
this property against physical loss or damage? Through business personal property
insurance, you can insure these items for actual cash value or replacement value.
Caterer Business Food Spoilage Insurance
Let’s face it. The power could go out or your refrigerator can malfunction at the
most inopportune time. Not only could this impact your ability to meet your catering
deadline, but you risk losing all your expensive stockpile of produce and food.
Not only that, but if the food unintentionally becomes spoiled or contaminated and
makes a customer sick, you not only risk being sued, but damage to your reputation.
The cost of replacing spoiled food — and possibly even lost revenue — can be covered
with a food spoilage and contamination insurance policy.
Caterer Business Coat Check Insurance
Coat check insurance for caterer’s falls under business loss and theft insurance.
If as part of your catering business you protect customer’s belongings and personal
things, you certainly should consider coat check insurance which will reimburse
you for stolen customer personal belongings.
Caterer Business Workers Compensation
If you have employees working for you in your catering business, then you’ll need
to have workers’ compensation insurance, which is mandated by state law. For example,
if one of your workers falls and injures herself while preparing food for a catering
event, workers’ compensation insurance will pay a portion of the employee’s salary
and medical costs. In return for this payment, the employee relinquishes her right
to sue you.
Caterer Business Employment Practices Liability Coverage
We are in an increasingly litigious society, and employees are getting into the
action. These days, employees sue their employers for all sorts of things, like
discrimination, wrongful termination, sexual harassment, breach of employment contract,
wrongful discipline, and even failure to promote. Protect yourself against these
allegations by obtaining employment practices liability insurance for caterers.
Caterer Business Commercial Auto Insurance
If you use a vehicle to deliver food to your catering event, then commercial auto
insurance will provide protection against bodily injury and vehicular damage in
the event of an accident.
Whether you run your catering business out of your home or at an event facility,
it’s important to consider business insurance for caterers. Insurance creates a
barrier between an unfortunate incident and financial disaster for your catering
business.
