Commercial Property Insurance for Pubs
| CoverWallet | NEXT (Best) | Thimble | Hiscox |
|---|
| Building coverage limit (minimum) | $50,000 | $25,000 | $25,000/$500,000 | $25,000 |
| Contents coverage limit (minimum) | $50,000 | $25,000 | $25,000/$500,000 | $15,000 |
| Outdoor signs | Excluded | $2,500 | Excluded | Included |
| Accounts receivable | Excluded | Excluded | $5,000/$10,000 | Included |
| Money and securities | Excluded | $2,500 | $1,000 | Included |
| Lock and keys | Excluded | $2,500 | Excluded | Included |
| Business interruption floater | Excluded | Included | Included | Included |
| Equipment breakdown floater | Excluded | Included | Excluded | Included |
| Inland marine insurance floater | Excluded | Excluded | $10,000 | Excluded |
| Employee dishonesty floater | Excluded | $5,000 | $2,500 | Excluded |
It’s smart to purchase insurance for your pub’s physical location. In case a fire happens, all that you’ve spent on materials, furniture, lighting, interior decor, and amenities will be reduced to nothing.
A commercial property policy in pub and bar insurance protects your physical location against fire, theft, vandalism, weather, lightning, and other covered perils. Use the table above to see which insurance company offers the best commercial property insurance for pubs.
How Do You Use Commercial Property Insurance?
You use commercial property insurance to receive money from the insurance company that’s equal to the original construction cost or present market value of your pub’s building, which got damaged or destroyed because of fire, theft, vandalism, lightning, riot, sinkhole collapse, volcanic action, and other covered perils.
Are Rented or Leased Buildings Also Covered?
Contrary to the popular belief, commercial property insurance doesn’t only grant coverage if you own your pub’s physical space. Coverage also applies even if you’re just renting or leasing it. In fact, most landlords ask tenants to purchase commercial property insurance and name them as additional insureds.
Does Commercial Property Insurance Protect the Valuables Inside My Pub’s Physical Space?
Yes. Commercial property insurance will cover cooking equipment, utensils, lighting, computers, furniture, and other valuables inside your pub’s building. Note that the amount of coverage you’ll get will be equal to the estimated value of your pub’s contents.
Are the Destruction of Food Ingredients Covered?
Yes. Commercial property insurance will reimburse your financial losses if food ingredients stored somewhere in your pub get damaged or destroyed because of fire, theft, vandalism, and other covered perils. Food contamination and spoilage aren’t covered by this policy.
Pub Contents Insurance
Pub contents insurance is an automatic add-on to the commercial property policy of pub insurance bundles. This grants coverage if the covered exposures in the language of commercial property insurance cause the damage or destruction of lighting, furniture, utensils, cooking equipment, and other valuables inside your pub.
Unoccupied Pub Insurance
Unoccupied pub insurance is what most know as unoccupied commercial property policy that underwriters design for unleased or unrented buildings.
Unoccupied commercial property insurance grants coverage to damage or destruction caused by fire, lightning, theft, vandalism, explosion, and other exposures.
This may also come with a public liability or general liability endorsement that will take care of expenses if a prospective tenant, property inspector, or any other third party sustains property damage or bodily injuries while on the premises of the unoccupied building.
Business Owner’s Policy for Pubs
| CoverWallet | NEXT (Best) | Hiscox | Thimble |
|---|
| General liability aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 |
| Commercial property coverage limit | $50,000 | $300,000 | $25,000 | $25,000/$500,000 |
| Optional policies can be added? | Yes | Yes | Yes | Yes |
| Name additional insureds for free? | Yes | Yes | Yes | Yes |
| BOP discount? | Yes | Yes | Yes | Yes |
Insurance companies might ask if you want to buy your general liability and commercial property insurance through a business owner’s policy. Say yes, because they’re helping you get covered with ease at the least possible cost.
A business owner’s policy allows you to enjoy a discount on premiums.
Moreover, it fuses your general liability policy and commercial property insurance into one policy document. And this makes things easier. For example, if a landlord asks for proof of general liability coverage, he or she will also receive a proof of your commercial property insurance since what you have is a business owner’s policy.
| NEXT | Thimble | Hiscox |
|---|
| Aggregate limit | $3,000/$10,000 | $2,500/$5,000 | $15,000/$25,000 |
| Covers hired and borrowed equipment? | $3,000/$10,000 | $2,500/$5,000 | No |
| Miscellaneous equipment also covered? | $5,000/$10,000 | No | Yes |
| Offered as an endorsement to general liability insurance? | Yes | Yes | Yes |
| Deductible | $500 | $500 | $0 |
Tools and equipment insurance solely covers the valuables that are integral for the operations of your pub such as sound systems, cooking equipment, lighting, beverage dispensers, point of sale machines, telephone, etc.
Use the table above to see which insurance company offers the best tools and equipment insurance for pubs.
Tools and equipment insurance will cover the repair or replacement of equipment that was damaged or destroyed because of:
Fire
Theft
Vandalism
Electrical breakdown
Electrical surge
Mechanical breakdown
Operator error
Workers Compensation Insurance for Pubs
Your pub is fast-paced. Those in the kitchen can sustain bruises and cuts. The waiting staff can slip and fall. Even your cashiers might sustain repetitive stress injuries in the shoulders, arms, and wrists.
One of the requirements for operating a pub legally is purchasing workers' compensation insurance. Workers' compensation insurance will take care of medical treatment, lost wages, medication, and even death benefits if a part-time or full-time employee sustains a work-related injury or disease.
My Pub is a Family-Run Business. Do I Still Need Worker's Compensation Insurance?
This depends. In some states, family members working for a business are not considered as employees. Therefore, there’s no need to get workers' compensation insurance if you’re operating a pub in such locations. On the other hand, you really need to purchase this insurance if you’re in a state which has the opposite perspective.
What is the Main Benefit of Getting Workers' Compensation Insurance?
The main benefit of workers' compensation insurance is that it allows you to enjoy the protection of exclusive remedies. An exclusive remedy is a legal principle wherein employees can’t sue employers for a work-related injury or disease when they're provided with workers' comp benefits.
Other Types of Insurance to Consider Getting
The following are endorsements and additional insurance policies that might be offered in your pub insurance package.
Customer Property Insurance
Customer property insurance is an endorsement to the commercial property policy or general liability policy of hotel and pub insurance programs. This reimburses the estimated value of a patron’s property that got lost while being kept in your custody.
Food Spoilage and Contamination Insurance
Food spoilage and contamination insurance is another endorsement to a commercial property policy.
You can use this to get money from the insurance company if good ingredients get spoiled, damaged, or contaminated under controlled conditions due to pests, equipment breakdown, employee error, and prolonged power interruption.
Depending on which insurance company you work with, food spoilage and contamination insurance might also cover cleanup and disinfection of equipment.
Cargo Insurance
Cargo insurance is coverage for incoming stocks and equipment. If the stocks and equipment you’re about to receive get damaged or lost during transit due to fire, theft, vandalism, jettison, negligence, or mysterious disappearance, cargo insurance will reimburse your losses.
Employee Dishonesty Insurance
Employee dishonesty insurance will take care of the financial losses if a manager, clerk, cashier, or any other employee of your pub commits forgery, embezzlement, credit card fraud, social engineering, and theft. Insurance companies may even underwrite this policy to provide further coverage for investigation and research expenses.
Employer’s Liability Insurance
Employer’s liability insurance is an add-on to general liability or commercial property insurance that will cover settlements, legal defense, and court judgments if an employee sues for negligence after experiencing a work-related injury or disease.
