Restaurant Insurance Broker in Ontario
Restaurants have insurance exposures that go well beyond basic commercial liability. Verdant Insurance helps Ontario restaurant owners review their operations and explore commercial insurance options for their business.
From property and equipment to customer liability, cooking exposures, business interruption and liquor liability, the right coverage depends on how your restaurant actually operates.
Insurance Coverage Restaurants May Need
Commercial General Liability
CGL coverage can help protect your restaurant against certain claims involving customer bodily injury, property damage and other insured liability exposures.
Commercial Property
Coverage may be available for restaurant contents, equipment, improvements, inventory and buildings where applicable.
Business Interruption
An insured property loss can temporarily shut down a restaurant. Business interruption coverage may help protect against certain resulting income losses.
Equipment Breakdown
Commercial kitchens depend on refrigeration, electrical and mechanical equipment. Equipment breakdown coverage may help address certain sudden equipment losses.
Food Spoilage
Depending on the policy and cause of loss, spoilage coverage may be available for food inventory affected by an insured event.
Liquor Liability
Restaurants licensed to serve alcohol can have additional liability exposures that should be disclosed and appropriately insured.
Your Cooking Operations Matter to the Insurer
The type of cooking performed can be an important part of restaurant insurance underwriting. Fryers, grills, ranges, woks and other commercial cooking equipment can create different fire exposures.
Insurers may ask about fire suppression systems, exhaust hoods, duct cleaning, extinguishers and the maintenance of commercial cooking equipment.
Different Food Businesses Create Different Risks
Full-Service Restaurants
Sit-down restaurants may require coverage for dining areas, commercial kitchens, equipment, customer liability and potentially alcohol service.
Fast Food & Takeout
High cooking volumes, deep frying, delivery and extended operating hours can affect underwriting.
Cafés & Bakeries
Coffee shops and bakeries may have different cooking, equipment and customer exposures than full-service restaurants.
Bars & Pubs
Businesses serving alcohol can create additional liquor liability and operational considerations.
Food Delivery
Restaurants using employees or vehicles for delivery should disclose how delivery operations are structured.
Catering Businesses
Off-premises food preparation and service can create exposures different from those of a fixed restaurant location.
Restaurant Property Can Be Expensive to Replace
Commercial kitchens can contain substantial investments in ovens, refrigeration, preparation equipment, furniture, fixtures and inventory.
Restaurant owners should consider the value of the property they own, tenant improvements they have made and the financial effect of being unable to operate following a covered loss.
Your landlord may require specific liability limits and proof of insurance as part of your lease agreement.
Information a Restaurant Insurance Underwriter May Ask For
Having the right information available can make the commercial quoting process considerably easier.
Business Operations
Annual revenue, years in business, operating hours, seating capacity and the type of food and services provided.
Cooking Details
Cooking methods, equipment, deep frying, fire suppression and hood or duct maintenance.
Property Details
Building construction, age, electrical, plumbing, heating and other property information where applicable.
Alcohol Sales
Whether alcohol is served and approximately what portion of revenue comes from alcohol sales.
Delivery
Whether the restaurant offers delivery and whether deliveries are performed by employees or third-party services.
Claims History
Insurers may request details of previous commercial insurance claims and prior coverage.
Restaurant Insurance Can Require Specialized Underwriting
Insurance companies can have different appetites for restaurants based on cooking methods, alcohol sales, claims history, building characteristics and other factors.
A commercial insurance broker can help organize the underwriting information, identify important exposures and approach appropriate insurance markets.
Serving Restaurants Across Ontario
Verdant Insurance is based at 675 Cochrane Drive in Markham and serves eligible commercial clients throughout Ontario.
Whether you're opening a new restaurant, reviewing an existing policy or approaching your renewal, our commercial brokers can review the insurance requirements of your operation.
Restaurant Insurance FAQ
What insurance does a restaurant need in Ontario?
Coverage depends on the restaurant, but commonly considered coverages include commercial general liability, commercial property, business interruption and other coverage appropriate to the operation.
Does restaurant insurance cover food spoilage?
Some commercial policies may provide spoilage coverage for eligible losses, subject to the policy's terms, limits and cause of loss.
Do restaurants that serve alcohol need additional insurance?
Alcohol service creates additional liability exposure and should be disclosed to the insurer. Coverage requirements depend on the business and insurance policy.
Does the type of cooking affect restaurant insurance?
Yes. Cooking methods and equipment can affect underwriting because they change the restaurant's fire and property exposures.
Can Verdant insure a new restaurant?
Insurance may be available for eligible new ventures. Underwriters may request information about the owners' experience, operations, property and projected revenue.
Does Verdant only insure restaurants in Markham?
No. Verdant Insurance is based in Markham and serves eligible commercial clients throughout Ontario.
Looking for Restaurant Insurance in Ontario?
Tell us about your restaurant and a Verdant Insurance broker can review your operation, insurance requirements and available commercial markets.