What is catering insurance?
There is no one-size-fits-all type of catering insurance. In reality, it’s an entire recipe book of individual insurance products that can help protect different aspects of your business and your customers from injuries, damages, lost equipment, and claims for illness after customers have consumed your food or drink.
Employers’ liability insurance is legally required if you employ anyone based in the UK who isn’t a close family member. If an employee gets injured or becomes ill while working for you, this insurance can help cover the subsequent legal fees and compensation costs.
While not required by law, public liability insurance is an important policy to consider for caterers. It provides financial protection should your business activities lead to a member of the public being injured or killed, or if it results in their property being damaged or lost.
For caterers, product liability insurance could also help to cover claims made in the event that your food causes illness – for example, if someone has an allergic reaction to something you’ve cooked or they get food poisoning because ingredients were not stored at the right temperature. Insurers may lump both public and liability insurance products together in one policy.
If you own your catering premises, then you might also want to consider business building and contents insurance, which can help cover the cost of building repairs and replacing contents. For example, if an electrical fault in your kitchen caused a fire that put you out of action, commercial building insurance could help to cover the cost of a refurbishment.
Caterers might also want to consider stock insurance, which can provide compensation if your stock – your ingredients, for example – is lost, damaged or stolen. Tools insurance can provide similar protection in relation to your specialist equipment – for example, if your chef’s knives or professional food mixer were accidentally damaged or stolen.
You might also consider personal accident insurance, which can provide compensation in the event that you are injured, or fall ill, leaving you unable to work. It can also provide compensation to your beneficiaries in the event of your death, both at work and elsewhere. For example, imagine you drop a pan of boiling water on to your foot. The resulting injury might put you out of action for a time – personal accident cover could provide compensation to keep your finances in order while you recover.
Think of these policies as ingredients – you can tweak them and use different combinations to suit your specific needs.
» COMPARE: Business insurance