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9 Tips to Reduce Your Restaurant Insurance Costs

Posted by David Ross on Sat, Oct 17, 2020

Obtain affordable restaurant insurance in Philadelphia, Scranton, Erie, Pittsburgh, Lancaster, Harrisburg, Reading and beyond by following these tips.If you want to protect your restaurant, you need the right Restaurant Insurance coverage, but that doesn’t mean you need to pay a higher price for that coverage.

Here are nine smart tips from the independent agents at American Insuring Group to help you lower your insurance costs.

 

Focus on Safety

Having a safety program in place, along with proper safety training and enforcement, will create a safer restaurant and fewer claims, and restaurants with fewer claims are rewarded with lower insurance premiums. Check out our blog for tips to help you create a safer restaurant – from fire prevention to knife safety.

Improve Security

Insurance is all about risk. Lower the risk – whatever that may be fire, injuries, or theft – and you’ll lower your insurance costs. Here are a few security measures to consider:

  • Security alarm systems
  • Access control systems
  • Video surveillance cameras and video monitoring
  • Fire alarm systems
  • Fire sprinkler systems

Hire Wisely

Employees are one of your biggest assets and probably one of your biggest costs, but there are steps you can take to help lower insurance costs related to employees. For example, if an employee is going to drive one of your commercial vehicles, check their driving record before hiring. An employee with a bad driving record will increase your commercial auto insurance costs.

Also, make sure all of your employees are assigned the correct PCRB classification codes. These codes - based on the probability of an employee getting injured on the job - are used to calculate your Workers’ Compensation premium. If an employee is assigned a classification code meant for someone in a more dangerous job, you’ll end up paying more for WC Insurance. On the other hand, you don’t want an employee assigned a classification code for a less dangerous job, or you could find yourself without coverage when you need it.

And finally, make sure that you promptly let your insurance company know if you hire a new employee, or an employee leaves your restaurant.

Pay Upfront

If you’re making payments throughout the year on your insurance instead of paying the full balance upfront, you’re probably paying more than you have to.

Increase Your Deductible

If you increase the amount of your deductible – the amount you need to pay if a claim is made before the insurance company kicks in - you can lower the cost of your premiums. However, you must ensure that you have money set aside to pay that higher deductible if you have to make a claim.

Carry the Right Coverage

You don’t want to have coverage you don’t need, but then again, you don’t want to have gaps in your coverage that end up costing you more when you try to make a claim. The experienced agents at American Insurance Group specialize in Restaurant Insurance, and can help you determine the best coverage for your restaurant at the best price.

Bundle 

Typically, when you buy anything in quantity, you pay less, and the same is true with insurance. You probably need several types of insurance – WC, liability, maybe commercial auto, etc. If you purchase several or all of your policies with one insurance company, you will often pay less.

Review Your Policies Annually

You have a lot on your plate, and insurance is probably not something you want to spend a lot of time on; however, Heraclitus, a Greek philosopher, said, “change is the only constant in life.”

And that is certainly true in the restaurant industry – you may have purchased a new vehicle, decreased your staff, started serving alcohol or delivering food, or any number of things that could affect your insurance coverage and costs. Therefore, it’s essential to make time to review your policies every year to make sure you have the right coverage at the best rate.

Work With an Independent Agent!

The independent agents at the American Insuring Group will check with many insurance carriers to ensure that you get the best price on quality insurance protection. Give us a call at (800) 947-1270 or (610) 775-3848 or connect with us online.

Tags: Restaurant Insurance, commercial vehicle insuarance, Restaurant Insurance Costs

Personal vs. Commercial Vehicle Insurance

Posted by David Ross on Mon, Jun 02, 2014

You need commercial vehicle insurance if you have a business-related accident. In those cases personal vehicle insurance will not cover the accident. Call us to learn more about commercial car, truck, and fleet insurance for your business. Serving Reading, Philadelphia, Lancaster, Harrisburg, Erie, Altoona, York, Allentown, Pittsurgh, PA and beyond.Picture this: a pizza delivery guy, a shuttle driver (sole-proprietor of the business), and an independent landscaping contractor collide into each other at the intersection of First and Main.

As they all get out of their vehicles to examine the damage, the delivery man asks, “Do you guys have commercial vehicle insurance?”   Both drivers shake their heads no.  “Do you?” asks the shuttle driver.  The delivery man looks down at his feet, and says, “No, but I’ve been meaning to talk to my insurance agent about it.” 

Insurance Claim Denied

In this scenario, chances are that all three would hear the same answer from their insurance agent, “Sorry, but your personal vehicle insurance won’t cover this accident.”  

If you own a fleet of vehicles and hire many drivers, you probably know you need commercial vehicle insurance.  But what if you just use your personal vehicle for business occasionally, or it’s just you driving your truck from job to job?   Won’t personal car insurance cover you in the event of an accident?  It depends. 

Like personal vehicle insurance, commercial vehicle insurance covers things such as liability, collision, comprehensive, medical payments, and uninsured motorist coverage. However, there may be a difference in eligibility, definitions, coverage, exclusions, and limits. Certain business usage and vehicle types can be excluded from personal policies. Some businesses need coverage only found in commercial car and truck insurance. 

Commercial Vehicle Insurance Benefits

Commercial vehicle insurance generally includes higher liability coverage.  Sometimes commercial insurance also insures the items (such as work equipment) within your vehicle; it may include rental reimbursement to help cover the cost to temporarily replace a commercial vehicle; and it may offer single-deductible options, which allow you to extend coverage to trailers or other specialized equipment you haul. 

So, how do you know if you need commercial vehicle insurance or if personal vehicle insurance is enough? It depends on the nature of your business, how you use your vehicle, and your insurance company’s policies.  Here are a few questions you need to consider - if you answer yes to any of them, you may need commercial car insurance.

·       Is your vehicle used to transport goods or people for a fee?

·       Is your vehicle owned or leased by a partnership or corporation?

·       Is your vehicle registered or titled to a business, corporation, partnership, or DBA?

·       Do employees operate your vehicle?

·       Is your vehicle a pickup, van, or utility vehicle with a gross weight exceeding 10,000 pounds or does it have a rated load capacity over 2,000 pounds?

·       Is your vehicle equipped with snowplow equipment, cooking or catering equipment, bathrooms, altered suspensions, hydraulic lifts, or racing equipment?

·       Is your vehicle equipped with a ladder rack or permanent toolbox that is used for your business?

 

Don't Take Chances on Insurance for Your Commercial Vehicle - Contact Us Today

Contact us to make the right decision on your commercial or personal vehicle insurance needs and coverage.Personal vehicle insurance provides enough coverage for some businesses; however, there are times when commercial vehicle insurance is required.  If you don’t want to be like the pizza delivery driver, the shuttle driver, or the independent landscaping contractor in our story, contact us for advice in making the right insurance decision at (800) 947-1270 or (610)775-3848.  We'll help you obtain the right type and level of vehicle insurance for your business. 

Tags: Car Insurance Harrisburg PA, Car Insurance Lancaster PA, Commercial Vehicle Insurance, truck insurance, Car Insurance, Car Insurance Reading PA, Car Insurance Allentown PA, Car Insurance Philadelphia PA, commercial vehicle insuarance, Business Insurance