Insurance for Hospitality Businesses

When you own a hospitality business there are dozens of unexpected obstacles that can interrupt your operations, result in financial losses, or even shut your shop down.  

At Insurance Web we’ve seen it all: people slipping and falling in a restaurant, food contamination and subsequent poisoning, water damage or fire damage destroying your stock and equipment.  

While you need the right safety procedures in place, there are some accidents that just can’t be predicted.  

That’s why we believe it pays to be prepared, with the right insurance in place.  

Let the team of experienced broker representatives at Insurance Web tailor coverage that best suits your business.

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Risk Exposures for Hospitality Businesses

For restaurants, the four biggest risk exposures from an insurance perspective are: 

  • Public Liability  
  • Product Liability  
  • Business interruption  
  • Property damage 
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Key Insurance Requirements for Hospitality Businesses

Product and public liability

To protect yourself against any potential incidents that happen to third parties.

Property damage

Protect your business in the event of unexpected and significant property damage. 

Business interruption insurance

Protect yourself from substantial losses in the event of an unpredictable business interruption or shutdown.

Product and Public Liability Insurance

Public Liability Insurance is vital for any business in the hospitality industry.  

If a customer is injured in your restaurant, café or bar, by slipping on a wet surface, burnt by hot food, or hurt after falling from a broken chair, for example, you might be protected from any associated costs with this kind of insurance.

While hospitality businesses must comply with regulations, product liability is a must.  

Many product liability claims are because of food poisoning or foreign objects in meals. 

Property Damage

For large restaurant chains and franchise operations, your property damage risk exposures will be much higher than those with one location.  

For this reason, coverage can vary greatly from a small operation and the insurance for a chain may even be organised on a group basis.  

When drawing up your policy, we take all risks into consideration and ensure you are only covered for what you need. 


Even the shortest interruption can cause huge losses for a small local business. Having the right insurance coverage in place, with the right advice, can get you back on your feet quickly and minimise any losses or forced closures.  

Business Interruption Insurance for Hospitality Industry

Business interruption coverage can vary greatly from one hospitality business to the next.  

Business interruption cover ensures you can still pay the bills even when the business can no longer trade provided the trigger for the loss is within the terms and conditions of the policy taken. 

In our experience, we recommend that restaurant, cafés or businesses should be insured for: 

  • Loss of Trading Profits for a minimum of 12 months benefit period, even longer if you own your own premises i.e. 18 months or 24 months 
  • Additional Increased Costs of Working cover to a minimum of $75,000 – ensuring you are compensated for more than just the loss of trading income if you incur other additional costs as a result of the inconvenience  
  • Include cover for part time and casual staff by insuring 100% of your payroll – you could draw an analogy here to the Job Keeper program allowing you to hang onto good staff even when the business is not operating, or not operating to its full capacity 
  • Make sure you allow for upward business trends so as to maximise benefits payable based on the business growth, not just at the time of placing cover 

Book a FREE 30-minute consult

with your local insurance broker representative, Insurance Web.

We’ll go through your personalised Needs Analysis – no strings attached – and we’ll check whether your business is underinsured or if you’re paying for coverage that isn’t relevant.

Insurance for hospitality businesses doesn't need to difficult or overwhelming!

We're Local

We’re based in Strathpine on the northern outskirts of Brisbane, servicing a large area. We work hard to ensure you know we’re on your side and have your best interests in mind when organising your insurance cover.

Industry Expertise

We work with hundreds of small business clients across a wide range of industry. We know exactly what insurance you do – and don’t – need for your line of work. We recommend insurance policies that don’t leave your business exposed.

We Negotiate For You

Insurance Web take the hard work out of your small business insurance. We have the ability to quote up to 10 insurers – and negotiate with them – to get you the best policy and give you peace of mind.

Claims Help

We know that making a claim could be a stressful time for you and your business but we are here to ensure it is a smooth and easy process if the need ever arises. We’ll manage and follow up your claim from lodgement to resolution.

Get Started Today!

The first step is to book a FREE 30-minute face-to-face consultation. No strings attached. We’ll go through your personalised Needs Analysis, and check whether your business is underinsured or if you’re paying for coverage that isn’t relevant.

To claim your free consult call us on 1300 800 901, or fill our our form and we’ll be in touch.

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Hospitality Insurance Articles

Need help with your Hospitality Insurance?

Want the best coverage for your hospitality business?  

For professional advice and affordable coverage tailored to your specific circumstances, talk to the friendly team at Insurance Web today.