While some types of insurance are considered mandatory by law, businesses need to study their individual needs to identify areas of vulnerability specific to their operations to seek the best coverage.
Criteria to take into account when selecting insurance:
1. Environment: the political and economic context. In a country that is politically unstable, the risk of uprising, riots or other similar movements expressed publicly could result in damage to your property. The level of risk greatly depends on the location of your business. Similarly, the economic system adopted by the government and the economic situation in general is relevant in terms of potential fraud, theft and unforeseen losses.
2. Geography: the local climate, environment, extreme weather conditions, etc. Such natural phenomena may lead to property damage, especially as global climate change is a real threat. The level of risk associated could vary drastically, depending on location, as certain regions, are becoming more unpredictable.
3. Business complexity: the day-to-day operations and the type of service/products.
provided by the business. Depending on the complexity of the kitchen operations, for instance, the variety of services provided (catering, delivery, eat in, kids’ playground, valet parking service, etc.) and the manpower required for each activity, liability and workers’ insurance should be tailored accordingly.
4. Medical risk: injuries that could be suffered by employees while performing their duties.
5. Business volume: the number of operations for each business and different trademarks/concepts listed under the company portfolio. Diversification might increase the impact of third-party liability depending on the legal structure of the company and subsidiaries available.
Basic insurances typically required by a restaurant include:
1. Property: covering the physical building and assets involved in the operation of the business against internal or external threats.
2. Liability: protecting against claims from third parties associated with your business, whether related to the products you sell or to the events that could occur on your Basic insurances typically required by a restaurant include:
1. Property: covering the physical building and assets involved in the operation of the business against internal or external threats.
2. Liability: protecting against claims from third parties associated with your business, whether related to the products you sell or to the events that could occur on your
premises, both of which may cause harm to guests or employees.
3. Business interruption: securing compensation for losses on income (opportunity costs) resulting from closing the business temporarily due to unforeseen events.
4. Workers’ compensation: providing medical coverage for employees in case of work-related injuries or due to unforeseen accidents that may occur on site. This insurance also includes compensation in the event of permanent injury to the employee.
5. Theft and related insurance: compensating for monetary losses due to theft, fraud or similar incidents. Ideally, such insurance should cover external risks and those posed internally.
It is important to note that assessing the insurance needs of an F&B business is an ongoing process that should take into consideration changes and developments in the local community as well as the evolution of international business and new health regulations.
The Best Insurances For The F&B Industry
Insurance for F&B establishments provides vital protection against potential external and internal risks. It also offers reassurance for guests and employees who engage with the brand. Manal Syriani, takes a closer look at what’s on the market.
While some types of insurance are considered mandatory by law, businesses need to study their individual needs to identify areas of vulnerability specific to their operations to seek the best coverage.
Criteria to take into account when selecting insurance:
1. Environment: the political and economic context. In a country that is politically unstable, the risk of uprising, riots or other similar movements expressed publicly could result in damage to your property. The level of risk greatly depends on the location of your business. Similarly, the economic system adopted by the government and the economic situation in general is relevant in terms of potential fraud, theft and unforeseen losses.
2. Geography: the local climate, environment, extreme weather conditions, etc. Such natural phenomena may lead to property damage, especially as global climate change is a real threat. The level of risk associated could vary drastically, depending on location, as certain regions, are becoming more unpredictable.
3. Business complexity: the day-to-day operations and the type of service/products.
provided by the business. Depending on the complexity of the kitchen operations, for instance, the variety of services provided (catering, delivery, eat in, kids’ playground, valet parking service, etc.) and the manpower required for each activity, liability and workers’ insurance should be tailored accordingly.
4. Medical risk: injuries that could be suffered by employees while performing their duties.
5. Business volume: the number of operations for each business and different trademarks/concepts listed under the company portfolio. Diversification might increase the impact of third-party liability depending on the legal structure of the company and subsidiaries available.
Basic insurances typically required by a restaurant include:
1. Property: covering the physical building and assets involved in the operation of the business against internal or external threats.
2. Liability: protecting against claims from third parties associated with your business, whether related to the products you sell or to the events that could occur on your Basic insurances typically required by a restaurant include:
1. Property: covering the physical building and assets involved in the operation of the business against internal or external threats.
2. Liability: protecting against claims from third parties associated with your business, whether related to the products you sell or to the events that could occur on your
premises, both of which may cause harm to guests or employees.
3. Business interruption: securing compensation for losses on income (opportunity costs) resulting from closing the business temporarily due to unforeseen events.
4. Workers’ compensation: providing medical coverage for employees in case of work-related injuries or due to unforeseen accidents that may occur on site. This insurance also includes compensation in the event of permanent injury to the employee.
5. Theft and related insurance: compensating for monetary losses due to theft, fraud or similar incidents. Ideally, such insurance should cover external risks and those posed internally.
It is important to note that assessing the insurance needs of an F&B business is an ongoing process that should take into consideration changes and developments in the local community as well as the evolution of international business and new health regulations.
Manal Syriani
Managing Director
Franchise Manager of The Lebanese Bakery
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Rita Ghantous
Rita Ghantous is a hospitality aficionado and a passionate writer with over 9 years’ experience in journalism and 5 years experience in the hospitality sector. Her passion for the performance arts and writing, started early. At 10 years old she was praised for her solo performance of the Beatles song “All My Love” accompanied by a guitarist, and was approached by a French talent scout during her school play. However, her love for writing was stronger. Fresh out of school, she became a freelance journalist for Noun Magazine and was awarded the Silver Award Cup for Outstanding Poetry, by The International Library of Poetry (Washington DC). She studied Business Management and earned a Masters degree from Saint Joseph University (USJ), her thesis was published in the Proche-Orient, Études en Management book. She then pursued a career in the hospitality industry but didn’t give up writing, that is why she launched the Four Points by Sheraton Le Verdun Newsletter. Her love for the industry and journalism led her to Hospitality Services - the organizers of the HORECA trade show in Lebanon, Saudi Arabia, Kuwait and Jordan, as well as Salon Du Chocolat, Beirut Cooking Festival, Whisky Live and other regional shows. She is currently the Publications Executive of Hospitality News Middle East, Taste & Flavors and Lebanon Traveler. It is with ultimate devotion for her magazines that she demonstrates her hospitality savoir-faire.