Coffee shops offer customers a space to read, work, study or chat with friends. They provide morning commuters with the jolt of caffeine they need to wake up and the beverages to get people through that mid-afternoon slump. Running a coffee shop can certainly be a lucrative and fulfilling business venture in this day and age.
However, anything can happen within the fast-paced environment of modern coffee shops. There’s no way to predict every possible outcome, and only business insurance for coffee shops can help mitigate financial damages from unforeseen accidents, disasters and lawsuits. These six reasons illustrate why coffee shops need business insurance.
Slip hazards exist everywhere. Whether it’s the rainy season and customers have tracked in water or an employee is mopping up spilled coffee, there is always a chance of a trip. All it takes is one missed puddle, tripping hazard or errant cord to send a customer tumbling. The result could be a lawsuit against your business for bodily injury and property damage.
The basis of any business insurance plan is commercial general liability insurance to cover non-professional negligence like “slip ‘n’ falls” and more. Bundling this coverage into a BOP, or Business Owners Policy, protects your company against financial ruin in the case of various lawsuits.
General liability insurance also covers https://www.irmi.com/articles/expert-commentary/does-the-typical-cgl's-advertising-injury-coverage-extend-to-ip-claims/ advertising injury, including copyright infringement, patents and more. If a competitor alleges you copied their slogan or menu, you may face a court battle.
A Starbucks customer in Florida https://www.eater.com/2017/5/19/15662790/starbucks-hot-coffee-lawsuit-florida-100k" sued the company after sustaining first- and second-degree burns when the lid on her 20-ounce coffee popped off as she received her drive-through order. The jury ultimately awarded her $100,000 for pain and suffering plus medical bills. Coffee shops need liability coverage with adequate limits to cover financial damages after such accidents.
Customers swipe or insert their cards every day in dozens of transactions. What if a hacker gains access to that treasure trove of personal and financial information? You’d be in hot water. Luckily, cyber insurance covers many associated costs and damages in the aftermath of a data breach so you can get back to business.
Without your employees, there’d be no perfectly swirled lattes or friendly smiles as customers walked in the door. What if one of your full-time employees gets injured on the job? They’ll likely need medical attention, time off work and rehabilitation. That’s where workers’ compensation comes in: to cover these costs so your company can avoid a lawsuit and your employee can receive the help they need to recover.
One coffee shop in Pittsburgh experienced a small fire when the husks and chaffs of coffee beans got caught underneath their roasting machine, as the Pittsburgh Post-Gazette reports. The same shop experienced a second fire months later. The fact of the matter is, accidents like fires, thefts, vandalism, water leakage and more occur at commercial spaces. Only property insurance can help business owners pay to replace their equipment, repair structures and tide over their income in the interim with business interruption coverage.
Business insurance for coffee shops is an important financial protection for these six reasons and more. Get your free quote from CoverHound today!
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