Common Workers Comp Risks to consider when looking for Restaurant Insurance
When it comes to buying Restaurant Insurance it is important to remember the restaurant business is a service based industry. Because of the industry being serviced based there is an extreme amount of contact with the public. Most businesses that operate in a service based industry tend to have a larger amount of injuries to their employees, but those injuries tend to be less severe in nature. For instance, businesses like construction, roofing or floor installation have less claims, but those claims tend to be more severe because of the nature of the work. Because of the amount of contact directly with the public, employees are exposed to a large amount of risks that can cause an increase in workers compensation claims. Luckily those incidents tend to be less severe in nature, but the need to address these risks is high for business owners and managers in the restaurant industry.
Restaurant Workers Compensation Coverage
Workers Compensations Liability, like in many industries, primarily results from slips, trips, and falls. These incidents typically result as a result of frequent interactions with customers. Cuts and burns happen with an elevated amount of frequency for kitchen staff. There are also extensive risks relating to back injuries that occur as a result of awkward lifting. Extensive training related to safety procedures is a must to keep incidents to a minimum and the rate of workers compensation insurance premium low. Having a well-documented safety program that includes a detailed return to work program can help immensely if your restaurant has a severe injury to an employee or if you have several claims during a particular term. In an industry that works with the public as much as the restaurant industry does, there are going to be accidents and injuries. When those incidents occur, if you have these safety programs in place and they are documented, your agent can show your insurance carrier that the incidents are more of an outlier and not indicitive of how your business will perform in the future. This can prevent or at least limit the amount your premium will rise after a term when you have a severe or several claims.
Because employees in most restaurants are low-wage earners, staff turnover is often high. Well-trained employees with an incentive to do their best have the fewest accidents. These employees have even fewer accidents when they receive clear direction from management. There are many ways to develop incentives to get your employees involved in a safe work culture. Company incentives to encourage long-term employment are positive signs of good management and a focus on employee retention can help you save when purchasing commercial insurance.
Common Restaurant Workers Compensation Class Codes:
- 9082: Restaurants
- 9083: Restaurants—Fast Food Service
- 9084: Bar, Pub, Tavern and Nightclub