\nCook \/ Kitchen Assistant<\/td>\n From $20\/month, per worker<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n <\/p>\n
Example 1: One of your staff gets infected with Covid-19, and spreads it to all your other employees. Your cafe manager ends up being hospitalised for one month. The manager\u2019s monthly wage is $5,000. Because this is a work-related infection, you are now legally responsible for paying your manager\u2019s lost salary. If you have Work Injury insurance, it will cover your managers\u2019 lost wages.<\/p>\n
Example 2: While mopping the floor, one of your staff slips and falls, breaking their arm. They require surgery to fix a steel plate in their arm. The hospital bill is $10,000. Because this is a work-related injury, you as the cafe owner are now liable for this $10,000 medical expense for your employee. Work injury insurance will pay for the medical bills, as well as lost wages while your staff is on medical leave.<\/p>\n
4. Business interruption insurance<\/strong><\/p>\nCafes have high overheads, so business shutdowns are expensive.<\/em><\/figcaption><\/figure>\n <\/p>\n
This type of insurance compensates you if your business has to shut down due to unforeseen circumstances. It pays you a daily cash benefit for every day that your business cannot operate.<\/p>\n
Some scenarios where business interruption insurance covers business shutdowns:<\/p>\n
\nFire and explosions damage your premises<\/li>\n NEA shuts your business down to customer hygiene complaints<\/li>\n Supplier is unable to deliver your goods, due to damage to their warehouse<\/li>\n<\/ol>\nExample: Several customers get sick after drinking and eating at your cafe. They file a complaint to NEA (National Environmental Agency). NEA officers inspect your cafe, and find that there were hygiene lapses. Your cafe is ordered to shut for 1 week for a thorough cleaning and staff hygiene re-training. This insurance will pay a daily cash benefit for the 1 week that your cafe cannot operate.<\/p>\n
5. Fidelity guarantee insurance<\/strong><\/p>\nThis could be your business. The worst part is you probably won’t know – until it’s too late<\/em><\/figcaption><\/figure>\n <\/p>\n
If you allow employees to manage the cash register, or handle cash payments from customers, there is a real risk of employees stealing from you. Cafe owners should consider having Fidelity Guarantee coverage to protect against dishonest staff members.<\/p>\n
A Fidelity Guarantee policy pays for:<\/p>\n
\nCash\/cheques that are stolen by employees<\/li>\n<\/ol>\nExample: You assign an employee, Robert, to man your cash register. For two days in a row, you come up short $500. After reviewing the CCTV footage, you discover that Robert has stolen the money. He refuses to return the stolen money. A Fidelity Guarantee policy will pay for the $500 that was stolen from you.<\/p>\n
Note: Fidelity guarantee insurance is common not just for cafes, but for F&B and retail businesses in general. If you\u2019re not handling the cash yourself at all times, make sure you have Fidelity Guarantee coverage. Unless you\u2019re running multiple cafes, you won\u2019t need a lot of coverage \u2013 even a policy with a small limit (e.g. a couple thousand dollars of coverage) will be good to protect you from employees out to cheat you.<\/p>\n
#2. Cafe insurance discounts \u2013 tips and tricks<\/strong><\/p>\nCCTVs \u2013 <\/strong>Having CCTVs in your cafes can attract lower prices from insurers<\/p>\nFire extinguishers<\/strong>, sprinkler systems <\/strong>\u2013 Having fire extinguishers and sprinklers can result in lower prices for property insurance<\/p>\n\u201cRegulatory authority\u201d shutdown coverage <\/strong>\u2013 \u00a0<\/strong>This refers to coverage that activates if a regulatory authority shuts your business down. In the event of such a shutdown, you would receive a daily cash payout (typically around $200, depending on the plan you select) for every day that your business cannot operate. For cafes, the regulatory authority most likely to step in to enforce a shutdown would be NEA (National Environmental Agency).<\/p>\nFor most cafe owners, this type of business interruption coverage is important. However, if you\u2019re bent on saving as much as possible, you can choose to forgo this coverage (though it\u2019s not recommended to do so). Choosing a policy without this coverage will result in a premium that\u2019s slightly cheaper.<\/p>\n
#3. How much does cafe insurance cost?<\/strong><\/p>\nWith Provide, cafe owners can get a comprehensive package of insurance starting from just $200\/year \u2013 i.e. a little over $15\/month. That\u2019s the same price as a Netflix subscription! Considering the significant amount of protection you get, that\u2019s a really good deal.<\/p>\n
\n\n\nCover<\/strong><\/td>\nCoverage Amount<\/strong><\/td>\nTypical Premium (package deal)<\/strong><\/td>\nTypical Premium (individual covers)<\/strong><\/td>\n<\/tr>\n\nPublic liability with food poisoning extension<\/td>\n $100,000<\/td>\n <\/p>\n <\/p>\n
<\/p>\n
<\/p>\n
$200-$500\/year<\/td>\n
$150\/year<\/td>\n<\/tr>\n \nProperty<\/td>\n $100,000<\/td>\n $100\/year<\/td>\n<\/tr>\n \nWork injury<\/td>\n $10 million per company<\/td>\n $80\/year for front-of-house, per worker<\/p>\n$200\/year for back-of-house, per worker<\/td>\n<\/tr>\n
\nBusiness interruption<\/td>\n $20,000<\/td>\n $100\/year<\/td>\n<\/tr>\n \nFidelity guarantee<\/td>\n $5,000<\/td>\n $100\/year<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n <\/p>\n
Recommendation for new cafes:<\/strong> If you\u2019re starting a new cafe, it\u2019s highly recommended to get a cafe insurance package. A package basically combines the most important types of cafe insurance into a single deal. As you can imagine, package deals are always cheaper than buying each type of cover individually. You can think of it as a set meal versus a-la-carte; the former is always going to be cheaper than the latter.<\/p>\nRecommendation for cafes with existing insurance policies:<\/strong> If you have an existing cafe policy and are looking to save money, the best option is to switch insurers<\/strong>. A good insurance broker will be able to get you the same level of cover, but at a lower price.<\/p>\nProvide\u2019s special renewal program guarantees you at least a 10% discount, with same or better coverage than your existing policy. Provide has helped countless cafe owners in their insurance needs. Contact us today to save on your insurance immediately.<\/p>\n
#3. Cafes with live entertainment need extra coverage<\/strong><\/p>\nLive entertainment:<\/strong> Most cafe owners don\u2019t know this, but if you buy a policy that doesn\u2019t specifically cover live entertainment, even having one \u201cmusic night\u201d with a band could void your entire policy<\/strong>. If you plan on staging live entertainment like having bands or comedians, you\u2019ll need to select a policy that specifically covers these risks. Provide\u2019s platform makes it easy for you to cover these risks online, quickly and affordably.<\/p>\n