Insurance for Caterers
Caterers prepare food to serve at a customer’s location or rented facility for parties, weddings, meetings or receptions. Food is usually prepared off site and brought in. Caterers often provide more than just food, also offering services such as rental of linen and dishes, chairs and tables, entertainment, wait staff, music, decorations, and alcoholic beverages.
At Business Insurance Service, we understand not just the insurance industry, but the commercial sector too. Our brokers have years of experience and expertise in finding companies from across all disciplines the right kind of commercial insurance for businesses, giving both sole traders, SMEs, and large corporations the protection they need.
What Insurance does a Caterer need?
Minimum recommended cover on a Commercial Combined policy would include Equipment and Contents, Employee Dishonesty, Book Debts, Public/Product Liability, Employers’ Liability
Other covers to consider could be Buildings, Business Interruption with Increased Expenditure, Computers, Employment Practices Liability, Environmental Impairment Liability, Excess of Loss/Difference in Cover Liability, Commercial Vehicle or Motor Fleet.
Property Insurance
Property exposures are from the cooking. While cooking may be limited to ovens, there may also be grills and fryers. These should have automatic fire extinguishing protection, hoods and filters. The kitchen must be kept clean and grease-free to prevent fire spread.
Crime exposures are similar to any other retailer. Employee dishonesty must be considered, along with holdup if the insured is paid at the catered event.
Property Liability
Premises liability exposure is an off-premises exposure at a location that is generally not familiar to either guest or employee. It is very important that the owner has reviewed the area before the food is set and has determined the hazards involved in serving the food. Waiters must be well trained in handling hot food and accommodating customers. Seating areas must be reviewed regularly for spills to reduce the exposure to slips and falls. Temperatures of hot beverages must be limited to reduce injuries due to scalding.
The arrangements between the caterer and the client must be made with a standard contract of understanding to prevent disputes. There must also be a contract with the establishment where the food is served so that each party’s responsibilities are clearly understood.
Products liability exposure is higher than in an on-site eating establishment because of the time delay between food preparation and serving. Injuries can result from food poisoning and allergic reactions. Monitoring the quality of food received, posting of ingredients, and maintaining proper storage temperature can reduce this exposure. Quality control requires limits on the length of time food may stay in the buffet area. Maintaining proper temperatures during transport is vital.
Commercial Vehicle / Motor Fleet
Motor vehicle exposure occurs as the food is being transported from the caterer’s premises to the serving location. It is important to be aware of the distance, the expertise of the driver and the maintenance of the vehicles. While it is important to transport the food in a timely manner, there must be sufficient time provided for the safe transport of the food. Driving records should be obtained for all drivers.
Employers’ Liability Insurance
Employers’ liability exposures come from slips, falls, cuts, burns and heavy and awkward lifting, along with interactions with guests. It is very important to train employees on the carrying of heavy dishes between the kitchen and the serving areas. Well-trained employees with an incentive to do their best and who have clear direction will have the fewest injuries. Company incentives to encourage long-term employment are positive signs of management control.
What other risks does a Caterer face?
Other exposure involves the food and equipment of the insured being transported and used off site.
Loss Control Questionnaire: Food Suppliers
Food suppliers play a major role in the overall food distribution process, serving as the link that connects a wide range of customers with high-quality food products. However, operating a food supply business also carries significant risks. After all, food suppliers have to manage various property, product and liability exposures. Thankfully, assessing your exposures and taking the appropriate precautions can go a long way toward protecting your business.
While the proper risk management practices can reduce certain exposures, no system is 100 per cent effective in ensuring an incident-free workplace. As a result, it’s all the more crucial to work with a qualified insurance broker to not only assess your exposures, but secure the appropriate cover as well. To learn more, contact Business Insurance Service today.
How can Business Insurance Service help Caterers?
We’re members of the British Insurance Brokers Association (BIBA) and work with some of the largest and best-known insurance providers in the UK, including Lloyds of London for larger, more complex and high-risk customers. We’re fully regulated and committed to delivering a premium quality, trustworthy and reliable service to all our customers, regardless of size.
As preferred brokers working with some of the largest insurance providers in the UK, we have immediate access to a huge range of policies for businesses, tradespeople and construction companies. We provide our customers with a bespoke or package service, creating insurance portfolios that are specifically tailored to your individual needs, and your budget.