Premiums For Restaurants On The Rise
Restaurants have seen insurance premium increases of 45%, a level the Restaurants Association of Ireland deems “unsustainable”. Insurance was also a big topic of conversation at the RAI Autumn Branch Meetings, with many there agreeing that insurance was a big issue. However, knowing this, the RAI are looking to insurance companies outside of Ireland to find more affordable premiums for their members. But what can you do in the meantime? We have listed some ways you can help reduce your insurance premium:
Security & Fraudulent Claims
A simple way to reduce any false or fraudulent insurance claims is to install CCTV in high-risk areas. This may discourage anyone from even considering a false claim as you’ll have video evidence, which is hard to dispute with! Also ensure that cleaning checklists are kept up to date and on record. Checklists, which should be kept on record for up to 5 years, form an important part of your defence against fraudulent claims.
Raise Your Deductable
By raising your deductable, you should see your premium decrease, as the insurance company will have to pay out less if you make a claim. However, make sure you’re comfortable with the deductable amount before you do this, as anything over this amount means you’ll have to foot more of the bill if a claim is made.
Slips, Trips and Falls
Claims made because of slips, trips, and falls are common in restaurants where floors are not kept clean and dry, and passageways and walkways are not kept free of trip hazards and congestion. Reducing the potential for accidents relies heavily on the knowledge and experience of your staff to implement and maintain a safe work area. Regular health and safety training for your staff will contribute to safer premises for both staff and customers.
Financing Your Premiums
Paying for your insurance premiums can add additional pressure on a business owner, as it’s not always possible to pay for it with your cash flow. However, it is not a cost that can be ignored. Consider accessing external finance to spread the cost of your premium throughout the year.
What is A Cash Advance?
A cash advance is a simple and quick way to get the funding you need to pay your insurance premiums in one go. This is an especially great option for restaurants because the repayments are made daily as a small percentage of your card machine transactions, meaning it works with how many customers you take in during the day. So, you can pay for your premiums in one chunk, but repay the cash advance gradually, taking some stress and pressure off you and your restaurant.