Few businesses concentrate as many risks in one place as a restaurant or bar: the public in your dining room, an industrial kitchen, alcohol, perishable inventory, and a busy staff — all at once. A good program layers coverage to match.
The core coverages
- General liability — slips, falls, foodborne-illness allegations, and other third-party claims.
- Commercial property — your build-out, kitchen equipment, furnishings, and inventory.
- Workers' compensation — burns, cuts, and slips are common in kitchens, and it's required in most states.
- Liquor liability — important the moment you serve alcohol; general liability typically excludes it.
Many restaurants bundle the first two (and business interruption) into a Business Owners Policy.
The add-ons that matter for food service
- Equipment breakdown — a walk-in cooler or hood system failing is expensive and not always covered by property alone.
- Spoilage — inventory lost to a power or refrigeration failure.
- Business interruption — income while you're closed after a fire or covered loss (recovery in food service is rarely quick).
- Hired & non-owned auto — if you offer delivery or staff run errands.
The alcohol factor
If you serve alcohol — even just beer and wine — you generally carry dram-shop exposure, and your general liability likely won't respond. Liquor liability is one no bar or tavern should operate without, and trained staff plus ID checks help both your risk and your pricing.
Getting covered fast
You can complete our Restaurant, Bar & Tavern application online — it fills out the supplemental for you — or request a quote and we'll build a program around your menu, your alcohol sales, and your build-out.
Frequently Asked
What insurance does a restaurant need?
Typically general liability, commercial property, workers' comp, and — if alcohol is served — liquor liability. Many add equipment breakdown, spoilage, and business interruption.
Do I need liquor liability if I only serve beer and wine?
Usually yes. Any business serving alcohol has dram-shop exposure regardless of what type; general liability generally excludes it.
Does property insurance cover spoiled food after an outage?
Only if you have spoilage coverage. Standard property may not pay for inventory lost to a refrigeration or power failure, so it's a common add-on.
This article is general information for business owners, not insurance or legal advice, and does not bind or alter coverage. Policy terms, eligibility, and pricing vary by carrier and state — confirm specifics with our licensed team before making decisions.