The Importance of Business Insurance

todd & cueIn today’s economic climate, having adequate insurance is an integral element of everyday life.  Regardless of whether you are governed by law or obligation, you will be faced with a myriad of different types of insurance, including life insurance, health insurance, phone insurance, house insurance, car insurance, travel insurance and many other types of insurance.

The same is also true for business owners; entrepreneurs must take out insurance policies for their business, irrespective of the size of the business, and the industry sector that the business finds itself within.

There have been numerous reports of towns and cities suffering major disruptions due to flooding and other natural disasters.  One disaster can wreak havoc on your fledgling business,irrespective of how much time, money and hard work you have invested into it.  Astoundingly, one pub landlord has been forced to give up the pub he took over because it has flooded 12 times in the space of 2 months, which has cost him over £10,000 in lost trade and repairs.

However, there are measures you can take to protect the short and long term future of your business, which comes in the form of business insurance.

Business insurance is an exceptionally valuable tool that will help you to safeguard and protect your business from unexpected losses and unforeseen risks.  The three most common forms of business insurance are restaurant insurance, pub insurance, and hotel insurance; each form of insurance is individually tailored to meet the unique demands of the most common leisure industries in the United Kingdom.


There are a multitude of independent restaurants in the UK, with each one being capable of accommodating hundreds of individual diners each day.  Unfortunately, this means that the risk of someone choking, sustaining scalds or burns, or falling ill as a result of food poisoning in your restaurant is highly probable.

If you do not have adequate restaurant insurance and a customer sustains one of these injuries in your restaurant, any subsequent insurance claim could see your restaurant incur serious costs and penalties.  Any such claim is bound to damage the reputation of your restaurant and your long term future.

As an added risk, it is also your duty to deliver a clean, healthy and safe working environment for each one of your team of staff, including chefs, waiters, waitresses and cleaners.  If one of your staff suffers an injury as a result of unsafe working conditions, and you do not have adequate restaurant insurance, your business prospects could again be seriously damaged.


The importance of adequate pub insurance in running a successful pub business has been highly publicised; any environment closely associated with the consumption of alcohol is highly susceptible to dangerous and unruly behaviour.  Any form of violent or unruly behaviour presents an immediate risk of accidents and injury to both staff and customers; furniture and fittings can also be easily damaged, and incredibly expensive to repair.

Furthermore, the ubiquity of personal injury claims can mean that someone is now more likely to make a claim if they are injured in your pub. Again, this could leave you liable for any costs incurred if your business doesn’t have adequate pub insurance.


As is the case with restaurant and pub insurance, the hotel industry is also susceptible to public liability claims.  Privately owned hotels in the UK are in abundance; hotel owners should attempt to safeguard their assets and their livelihood by adequately insuring their hotels.

Hotels and pubs share a number of similarities; one such similarity is that a single insurance claim from a hotel guest that sustained an injury on hotel grounds could prove to be catastrophic for the hotel’s business.

This is because any accidents that occur on hotel premises signify that a hotel has not been diligent enough with their risk assessment and health and safety procedures.  This can ultimately result in numerous financial difficulties for the hotel.  According to a spokesperson from corporate insurance broker, Todd & Cue, most hotel insurance packages are designed to include a wide array of protection and cover against the most common eventualities;this includes insurance for flood damage, theft, vandalism, stock, fire, contents, accidental damage, contents, and electronic equipment.

Fortunately, if you are the owner of a pub, restaurant or hotel in the U.K., it is possible to dodge the proverbial minefield of business insurance by contacting an online corporate insurance broker.  Firms such as these have a team of highly skilled insurance specialists and risk consultants, who will be able to discuss relevant pub, hotel, and restaurant insurance policies with you. 

Photo by: Brokentaco
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  1. Business insurance is definitely important! You never know what may happen.

  2. There are so many types of business insurance out there. It took me a long time to figure out what worked for me when I ran my ecommerce company.

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