If you own or manage a restaurant, having the proper business insurance is imperative; and having the right amount of insurance is right up there with being properly insured. Food borne illness, and food product recalls can greatly affect your food service business. Your restaurant needs food borne illness liability insurance and business interruption insurance for maximum protection in the event of a loss.
The Ranchero Feeding Corporation's beef recall has now affected 43 states. It was determined Ranchero slaughtered animals that were "diseased and unsound’ which was what caused the shutdown last month. Often times, a recall or a food borne outbreak affects businesses that were not specifically involved in the problem.
For example, the peanut butter Salmonella outbreak a few years ago cost the company it was tracked to $78 million in costs, but, it cost producers in general $1 billion because of the drop in sales of peanut butter across the board.
Unfortunately, food borne illness happens and being in the food service industry, you must be careful and wary. Responsible restaurants, caterers and establishments that serve food need to be insured for liability from injuries or lawsuits. This means being insured against loss of revenue as a result of potential Food Borne Illness Outbreaks.
Business interruption insurance and food borne illness liability protects you against the stoppage of revenue as a result of food borne illness or food product recalls. The food service industry is susceptible to food borne illness. The results of food borne illness outbreaks are devastating. Standard Commercial Insurance may not help you in the event of a food borne illness. TriState Business Insurance underwrites Business Interruption Insurance and food borne illness insurance for restaurants, caterers, bars and other businesses in the food service industry.