The Insurance Family Blog

Restaurant Insurance - Protect Against Rate Bias

Posted by Susie Scherff on July 13, 2010 at 3:57 PM

As a restaurant owner, you're gifted with a certain perspective of the world. In the insurance world, I get a unique perspective as well--one that my restaurant clients don't often see. This experience-based vantage point allows me to see unfortunate hidden biases that the restaurant owner may not be privy to. I can also see ways for the restaurant owner to avoid these rate biases.

For instance, if you were to call up the average insurance company underwriter and tell him you wanted to write a package policy for a local BBQ venue, you would notice that the majority of underwriters would shy away from that account. And why is that? Well, barbecue and seafood joints have a history rife with plenty of food-borne illness claims, so the underwriter will more than likely tighten up his rates a bit to protect against the possibility of having to pay out on this kind of claim for you.

And if you're the seafood restaurant or BBQ owner, you will never hear about this conversation or even know it happened. But it does happen, and your rates are higher because of it. So what can you do to protect against this rate bias on your restaurant insurance? You need an 'in'; you need a qualified and well-learned insurance agent that can be your liaison to the insurance company, and that insurance agent had better know his stuff. An insurance agent with the experience of handling hundreds of restaurant clients will have the know-how to work the system and bypass the usual company guff, and he'll also have access to the insurance companies that specialize in restaurant insurance, which is what you want anyway, right?

California Restaurant Insurance Quotes are hard to come by only if you're not looking in the right places. Coverage for Valencia, Pasadena, San Marino, Montrose and all of California are found every day--and Sutherland-Scherff is not a bad place to start your search.

Topics: Business Insurance, restaurant insurance