While a power outage may seem like a minor inconvenience for most people, it poses an especially large risk for restaurants. A power outage can bring a halt to order prep, ringing customers out, and valuable customer amenities like air conditioning, restrooms, and more. However, the most costly repercussion by far is spoiled inventory due to no refrigeration or warming. Food can only last a few hours under no temperature control before bacteria grow and ruin the entire batch. When a power outage happens, it can be a major expense for your restaurant and become a significant burden. Luckily, insurance can help reduce the burden for your business and can get your operations up and running much quicker. Let’s dive into all of the ways that insurance can help your restaurant recover from a power outage.
Insurance Can Cover Spoiled Food And Beverages
When a power outage hits your restaurant, you can lose a significant amount of money in perishable foods. Not only do you have to deal with the cost of disposing of the spoiled food, but you will also have to restock your inventory, resulting in a significant loss of time and money.
When you have spoilage coverage through your business insurance, your policy will reimburse you for the amount of inventory lost. If a power outage results in $10,000 in lost supplies, your insurance will be able to pay you for most or all of that, helping you to restock quicker and start serving customers again.
Insurance Can Cover Business Interruptions
Even if your restaurant doesn’t lose a significant amount of inventory, you may still lose a significant amount of sales due to the inability to serve customers. Whether it’s because your POS system is down or because your air conditioning or heating won’t turn on, having no income can put your restaurant in jeopardy. With business interruption coverage, you can get a payout that will help cover expenses while you are waiting to resume serving customers, and can keep your business afloat in the meantime.
Insurance Can Help Cover Electrical Repairs
If your power outage was due to an electrical fire in your kitchen or some other malfunction of your own equipment, a systems breakdown insurance policy can help cover the cost of repairs. This can get your equipment up and running quicker and reduce downtime for your restaurant.
Contact Strickler For Quality Restaurant Insurance Coverage To Protect From Power Outages
Power outages and related losses don’t have to be a major setback for your business. Contact Strickler Insurance to speak with our experienced team about how we can find the perfect restaurant insurance policy for your business. Whether you are looking for insurance with spoilage coverage, business interruption insurance, or other business policies, we can find the coverage that is right for you. Contact us for a free restaurant insurance quote today.
