Restaurant insurance reflects the business it protects. It can be tough to get to grips with at times, but the payoff of getting it right can be huge. Restaurants and hospitality businesses contribute a significant amount to the local and national economy. Although the eating out industry took a hit during the pandemic, Lumina Intelligence estimate that the sector will be worth £95.2bn in 2022, up 4% from pre-pandemic levels in 2019.
One of the characteristics of the restaurant business is that many of the players within it are small businesses run by passionate people. It’s so important to make sure that this passion (and the connected livelihoods) are protected. Business in the Community estimates that 40% of small businesses do not re-open after catastrophic flooding – something that has a much larger impact on the restaurant business than many others.
Fortunately, there is a restaurant insurance solution for even the worst flood risks. British restaurant owners of all sizes use FloodFlash to make sure that they don’t endure another big loss after COVID disruption. Here are the top five reasons why…
Eating out has had to weather a very difficult few years. The pandemic put pressure on restauranteurs to adapt their business, and rising rents, food and energy prices continue to affect the industry. That isn’t the only source of disruption though. Many high streets that play host to restaurants across the UK have played host to devastating floods.
Many insurers add an excess or remove cover after a business owner submits a flood claim. Some insurers even deny cover to restaurants based on the risk alone. FloodFlash provides flood quotes that sit alongside the primary restaurant insurance. That way you can keep your cover in place whilst making sure you are not exposed to flood losses. Even properties that have flooded more than once can get rapid-payout cover, so no restaurant needs to go without affordable cover.
FloodFlash commercial flood insurance can be used for any commercial property no matter the business use. You can get cover as the landlord to protect the building or as the tenant to protect the stock, machinery and business interruption. As long as the address is not a residential address used by the owner FloodFlash can provide insurance.
Here are some examples of where FloodFlash can help:
FloodFlash can be used for any restaurant premises, regardless of the activity. Only homeowners don’t currently have access to FloodFlash. Everyone else is free to request a quote.
The great thing about FloodFlash is that it means that our premiums are lower because it’s specific to our location. The saving we’ve made allows us to invest in other parts of the business and make improvements there.Wil Akroyd – Engine Social
Flooding can have a string of effects on a restaurant business. Short term issues like denial of access and stock destruction give way to equipment damage and business interruption. If the claim takes too long further issues arrive in the form of mould or even reputation issues when closed for a long time. Take into account that bills don’t go away, and nor do wages if you want to hold onto the best staff, and the costs go up very quickly.
Traditional insurance often takes months to settle in full. A slow payouts adds significant stress for the business and often prolongs the time that it is closed. FloodFlash is different. We pay out within days, not months. When Storm Franklin hit in February, FloodFlash paid one claim in under 6 hours. For businesses that choose rapid-payout insurance, repairs begin faster and restaurant doors reopen faster.
When you choose FloodFlash for the flood risk of your restaurant insurance you can recover your way. There are no restrictions on how you use the claim money. You can assess the damage and apply the funds as you see fit. This may mean hiring alternative premises, hiring delivery staff or replacing stock. FloodFlash claims can also be used to cover intangible losses like staff wages, lost covers or PR damage.
When flooding does happen many businesses look for a way to protect themselves. FloodFlash clients can reinvest their claim money into protecting their business from future floods, increasing their resilience.
Many restaurant managers are aware of their risk. Risk-aware managers often take out flood defences like Floodgates, pumps and non-reverse valves. All of these make a business more resilient and every effort made can lead to a cheaper FloodFlash premium.
With FloodFlash you choose what flood depth you want to cover. The higher the depth you choose, the cheaper the premium tends to be. This means that if you’re protected up to a certain depth with physical resilience measures or a step into the property, you can raise your trigger and benefit from lower premium.
Gianni Ristorante is an Italian restaurant based in Cheltenham. Although they have never flooded, they were facing rapidly increasing premiums and excesses, as well as flood cover being excluded from their policy.
FloodFlash has given the client another insurance option to consider. The cover has given them peace of mind in the event of a flood.Greg Bishop, Broker at Lansdown Insurance
With the help of their broker at Lansdown Insurance, the restaurant found FloodFlash. The owner’s main concern was business disruption. With FloodFlash, they were able to tailor the policy to suit their needs. If they flood, their payout will be sent directly to them within days, leaving them to use it as they wish.
Engine Social is a great small dining experience in Sowerby Bridge near Halifax. When restaurant manager Wil Akroyd realised he was paying too much for his flood cover, he turned to FloodFlash.
Businesses across the UK are already turning to FloodFlash for their restaurant insurance. To request a quote, visit the homepage or contact us via your broker.
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