Estimated costs for restaurant insurance?

Question

I am working on a business plan for school and need to know what types of insurance an upscale restaurant in Chattanooga, TN would need. Approx. 15 workers, alcohol will be served, and there is outdoor seating. I am having trouble getting any idea of how much this will cost because the online insurance quotes require quite a bit of information, which I don't have because this is not a real business. Any info will help. Thanks!

Answer 1

Call your parents insurance agent. Tell him or her what you are doing and I can assure you that they will be more than happy to work with you to come up with a realistic annual premium. I answered these types of questions many times.

Answer 2

I sell commercial insurance in Georgia, so the rates may be different, and yes, to give you a good quote, it would require lots of information, but here is the types of insurance coverage the restaurant would need:

General Liability

Liquor Liability

Property Coverage (Building and Contents)

Spoilage Coverage

Business Income & Extra Expense

Workers Compensation

Like I said earlier, I would need lots of info for an accurate quote: gross revenue/annual payroll/coverage amount for building and contents/building information, etc, but I think as an estimate, you would be safe to use $7500 per year.

Answer 3

Workers comp, general liability, liquor liability, commercial auto, commercial property, and umbrella.  

It's based on gross receipts, payroll, value of the property, area, entertainment, location, etc - there's LOTS of information.  If you figure in about $30,000, it's probably not going to be far off.