Owning a restaurant is a great way to make a solid income while sharing your love for the culinary arts. But what happens when patrons decide to skip out on a check? And how can you make sure you’re covered for this type of loss?
Here’s more information on how restaurant insurance pertains to dine-and-dash losses.
What Is Dine-And-Dash?
It’s important to first define what a dine-and-dash loss includes. Essentially, this is where a restaurant patron orders a meal and leaves without paying the check first. This can be something as simple as a small item or — in the case of what a few professional thieves try to get away with — ordering hundreds of dollars in expensive foods to rack up the highest bill possible. In some restaurants, management requires servers to pick up the tab. But most modern eateries are moving away from this archaic policy and instead absorb the cost themselves.
How Restaurant Insurance Covers Dine-And-Dash Losses
You likely already have business insurance coverage. But you might wonder how it fits into this type of scenario. Technically speaking, restaurant insurance does cover dine-and-dash losses. In short, this is theft and falls under a broad umbrella of different incident types.
However, that doesn’t necessarily mean that it is wise to file a claim. In most cases, you’ll have a deductible on your commercial insurance policy that must be met, including with theft claims. For some situations, it just isn’t worth filing.
When It Makes Sense To File A Claim
Of course, the type of restaurant you own and the price point of your menu have a large bearing on whether or not you should file a claim for a dine-and-dash loss. For example, if a patron skips out on a measly $50 bill, it might not be fruitful for you to pursue a claim. But if you own a fine dining establishment where food and beverages could easily create a bill that’s over $500, it might be a good idea to contact your insurance agent to file against your policy.
Furthermore, frequent claims on your policy could create a problem in the future, so it is always best to speak with your agent before filing a claim for dine-and-dash losses.
Ready to learn more about covering your restaurant against risk? Please contact our team of commercial insurance professionals today to schedule a no-hassle policy review appointment.