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7 Types of Insurance for Malaysian Restaurants

With ever-changing trends in the market, restaurants are now in a more competitive industry than ever. Therefore, Malaysian restaurant insurance becomes all the more important as it can protect you and your business from a wide range of problems including equipment damage as well as liability lawsuits.

However, for most if not all restaurant owners, the only worry with restaurant insurance is of course, its cost. And so, businesses should be more selective with the kind of insurance they purchase.

1. Commercial Fire Insurance

Whether renting or owning, it is extremely important for restaurant owners to insure their restaurant if the property is listed under their name. Having certain Risk Insurances covers you in the event of mishaps that would require replacements to your restaurant, fixtures and contents and even extends to outside landscaping if the restaurant decoration forms a part of it.
As every sector is different from the other, the perils recommended in Fire Insurance is also distinctively different. For example, a restaurant would only need certain coverage unlike an SME manufacturer. If the restaurant has an outdoor setting, then a small additional premium is needed to cover for unforeseen circumstances. List of perils needed for an adequate coverage are as below:-

  •    Aircraft Damage
  •    Earthquake and Volcanic Eruption
  •    Storm, Tempest
  •    Flood
  •    Impact Damage
  •    Bursting or Overflowing of Water Tanks Apparatus or Pipes

 For a further write up on Commercial Fire Insurance, read more here.

2. Public Liability Insurance

If your business is exposed to third-party visitors, it is vital for you to consider a Public Liability Insurance. This is especially applicable for restaurant businesses. For instance, if someone were to slip and fall, or get food poisoning due to the food served in your restaurant, the Public Liability Insurance policy would come into effect and cover the medical or damages claim brought forth by the customer. 
For a further write up on the coverage of Public Liability policy, click here.

3. Employee Benefits Insurance

To ensure that the employees’ healthcare are taken care off, one would need to purchase Healthcare Insurance as part of their employee’s medical benefit. Some business owners might not realise this, but health care is considerably part of an added incentive for employees to stay in your company.

4. Business Package Policy

A business package policy enables a restaurant to cover for various scenarios in event of a claim. For example ???

5. Fidelity Guarantee

This covers your business cash flow in the event of theft that may also happen internally. For example, in case cash payments go missing along with an employee.

6. All Risk Insurance

This covers the business in the event of damages done to equipments and machineries that is purchased by the restaurant to run its business, as per listed and agreed upon during the policy sign-up. For a further write up, please click on this link.

7. Plate Glass Insurance

Plate Glass Insurance covers your business in the event of damage done to the exterior linkage, such as glass panels.

How to get the best restaurant insurance cost

The restaurant business in today’s market is extremely challenging. Regardless of your restaurant type, you would want to spend the minimum on insurance purchase while getting a comprehensive coverage. We can help you there. Cycle for SMEs, we built a customer-centric online product that is intuitive and responsive to fill the gap between insurance companies and their distribution channels. This will provide your business with a guideline to negotiate with insurance companies at an industry rate.

Our Business Calculator software allows business owners to calculate the average premium needed for their Business Insurance in relevance to each industry and/or Small Medium Enterprises.