Insurance for New York Restaurants and Bars

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Sound Harbor offers specialized New York restaurant insurance, providing comprehensive coverage options tailored to meet the unique needs of your business. If you own a restaurant or bar in New York, we are your one-stop shop for all of your restaurant insurance needs.

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Best Insurance for New York Restaurants

General Liability Insurance

Liquor Liability Insurance

Cyber Liability Insurance

Workers' Compensation Insurance

Business Property Insurance

Business Interruption Insurance

Who Should Have Restaurant or Bar Insurance in New York?

If your restaurant business serves food or beverages, you should consider obtaining comprehensive restaurant insurance coverage. Here are some restaurant businesses that require this essential protection:

  • Restaurants and Bars
  • Fast food establishments
  • Inns, Hotels, and Motels
  • Sandwich shops
  • Food delivery service
  • Catering companies
  • Resorts
  • Convenience stores that serve food
  • Dance & Night clubs
  • Delis and Cafe's
  • Mobile trucks and wagons
New York restaurant covered by Sound Harbor Insurance insurance

What does a typical restaurant insurance policy cover?

Here are some essential business insurance options to consider:

  • Building property insurance
  • Contents of your business
  • General Liability
  • Liquor liability
  • Assault & Battery
  • Workman compensation for your employees
  • Disability and Paid Family Leave
  • Food spoilage
  • Flood insurance
  • Loss of income
  • Equipment breakdown insurance
  • Umbrella liability insurance

Bars and restaurants in New York typically require multiple types of insurance to safeguard their business. Essential coverages include:

  • General Liability Insurance: Covers bodily injury and property damage.
  • Property Insurance: Protects your building, equipment, and inventory from damage or loss due to fire, theft, or natural disasters.
  • Liquor Liability Insurance: Required for businesses that serve alcohol; covers claims related to alcohol-induced incidents.
  • Workers' Compensation Insurance: is mandatory in New York. It covers medical expenses and lost wages for employees injured on the job.
  • Business Interruption Insurance: Compensates for lost income when your business cannot operate due to covered events.

These coverages provide comprehensive protection against the common risks faced by bars and restaurants.

Liquor liability insurance is essential for bars and restaurants in New York. It provides financial protection against claims arising from alcohol-related incidents. If a patron becomes intoxicated and causes an accident or injury, your business could be held liable. This insurance helps cover legal fees, settlements, and medical costs associated with such claims. Additionally, New York law often mandates that establishments serving alcohol carry liquor liability insurance, making it both a legal requirement and a smart business practice.

The cost of bar and restaurant insurance in New York varies based on several factors:

  • Location: Urban areas like New York City may have higher premiums.
  • Size of the Business: Larger establishments typically face higher insurance costs.
  • Coverage Limits: Higher coverage amounts increase premiums.
  • Claims History: Businesses with previous claims may pay more.
  • Type of Services Offered: Establishments with higher-risk activities, such as live entertainment, might face higher rates.

Depending on these factors, bar and restaurant insurance can range from $1,000 to $15,000 per year on average. It's best to contact an insurance provider for a precise quote.

When selecting insurance for your bar or restaurant, consider the following factors:

  • Coverage Options: Ensure the policy covers all potential risks, including general liability, property damage, liquor liability, and workers' compensation.
  • Policy Limits: Check that the coverage limits are sufficient to protect your business assets.
  • Deductibles: Understand the deductible amounts and how they affect your premium.
  • Insurance Provider Reputation: Choose a provider with a strong track record in the industry and positive customer reviews.
  • Specialized Insurance: Look for insurers specializing in bar and restaurant insurance for tailored coverage options.

Make sure to consider these factors when searching for the right insurance to protect your business.

To get a quote for bar and restaurant insurance in New York, follow these steps:

  1. Gather Information: Prepare details about your business, including its location, size, annual revenue, and number of employees.
  2. Identify Coverage Needs: Determine the types of insurance you require, such as general liability, property insurance, and liquor liability.
  3. Contact a Specialized Provider: Contact a broker specializing in your industry. 
  4. Provide Business Details: Share the information you've gathered with the insurance providers to receive accurate quotes.
  5. Review Quote: Compare the quotes based on coverage, limits, exclusions, deductibles, and premiums.

Business interruption insurance compensates for lost income when your restaurant cannot operate due to a covered event, such as a fire, natural disaster, or other significant disruptions. It covers expenses like rent, payroll, and utilities during the downtime. Having business interruption insurance is essential in New York, where the risk of natural disasters and other interruptions is real. It ensures your restaurant can recover financially and resume operations smoothly after an unexpected event.

Filing a claim for bar and restaurant insurance involves these steps:

  1. Report the Incident: Notify your insurance provider immediately after the incident occurs.
  2. Document the Damage: Provide detailed information and documentation, such as photos, witness statements, and police reports.
  3. Submit the Claim: Fill out and submit the required claim forms provided by your insurer.
  4. Work with an Adjuster: An insurance adjuster may visit your business to assess the damage and gather more information.
  5. Receive Compensation: Once the claim is processed and approved, you will receive the compensation based on your policy terms.

Understanding this process ensures you are prepared to file a claim efficiently.

Several discounts can help lower the cost of bar and restaurant insurance in New York:

  • Safety Measures: Implementing safety protocols and training can reduce premiums.
  • Bundled Policies: Purchasing multiple types of insurance from the same provider often results in discounts.
  • Claims-Free History: Businesses with no prior claims may qualify for lower rates.
  • Membership Discounts: Some insurers offer discounts for members of industry associations.
  • Payment Discounts: Paying the annual premium in full or setting up automatic payments can sometimes lead to savings.

Ask your insurance provider about these and other discounts to reduce your insurance costs.

Why Is Restaurant Insurance In New York Critical?

Protect Your Restaurant or Bar from Costly Lawsuits

Did you know that an average slip-and-fall claim can cost a restaurant around $20,000? With general liability insurance, your restaurant or bar can be shielded from expensive lawsuits due to customer injuries or accidents on your premises.

Ensure Compliance with New York State Regulations

In New York, restaurants and bars are required to have workers’ compensation insurance. Failing to have these coverages can result in substantial fines and penalties. For instance, the penalty for not having workers’ compensation insurance can be as high as $2,000 for every 10-day period of non-compliance.

Protect Against Foodborne Illnesses

According to the CDC, foodborne illnesses cost the United States over $55 billion annually. Having general liability and product liability insurance can protect your establishment from the financial impact of lawsuits and expenses related to foodborne illness outbreaks.

Recover from Disasters and Business Interruptions

The National Restaurant Association reports that 40% of restaurants do not reopen after a disaster. Business interruption insurance can provide the financial support needed to recover and continue operations after events such as fires, natural disasters, or mandatory health closures.

Safeguard Against Alcohol-Related Incidents

New York's Dram Shop Law holds businesses accountable for serving alcohol to visibly intoxicated patrons, potentially leading to costly legal consequences. Liquor liability insurance covers legal fees, settlements, and judgments, protecting your restaurant from financial loss in such cases.

Comprehensive Insurance for New York Restaurants and Bars

The right insurance coverage can help mitigate financial risks, ensure compliance with state regulations, and protect your business and income from various threats. This ensures the long-term sustainability of your restaurant or bar. Contact us today to learn more about the best insurance options for your establishment.

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"Ryan Steimel at Sound Harbor Insurance is a joy to work with. Without exerting any pressure, he follows up to make sure you are comfortable while putting you at ease. Kudos to Ryan and his team. Highly recommend to all who want professional, honest service at a great price."


Catherine Hummel

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"Shawn is amazing! He has been extremely knowledgeable and helpful with getting the right coverage for my business and my family."

Jason Santana

Why Choose Sound Harbor for Your Restaurant Insurance? We Know Your Business Inside And Out

Our agency understands the fast-paced and dynamic nature of the restaurant and bar industry in New York. With years of experience, we offer

Robust coverage from industry leading carriers

Competitive rates designed to keep your premiums affordable

Quick turnaround time on quotes and changes

Coverage that adapts to changes at your restaurant or bar

Customized insurance plans that fit your specific business needs

Exceptional customer service and support

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