With new restaurants opening around the nation, insurance agents and brokers have continual opportunities to sell workers compensation insurance to restaurant owners.
According to the National Restaurant Association (NRA), restaurant industry revenue exceeded $799 Billion by the end of last year.
A quick look at statistics by the NRA paints a picture of favorable conditions for a targeted class that insurance agents should focus on serving. For instance, did you know that U.S. restaurants:
- Represent 10 percent of the overall workforce
- Employee 14.7 million restaurant workers
- Report one million locations
The potential for minor and major accidents to occur at restaurants is consistent. In fact, Marsh’s 2017 Restaurant Loss Cost Trends Report shows that 24% of all restaurant workers’ compensation claims were from cuts, punctures, and scrapes.
Anything from grease burns to knife cuts to falling on a coke spill can happen in the blink of an eye. Each incident can leave a restaurant short-staffed while injured employees see medical treatment. Every situation costs time and money that restaurant owners typically cannot afford to add to their bottom line.
Fortunately, as insurance brokers and agents you can help restaurant owners protect their business and employees with workers compensation insurance that covers everything from medical expenses to potential legalities.
Since a restaurant owner has to juggle a laundry list of responsibilities, they may not be aware of the options available to them.
Educate Restaurant Owners
If you proactively reach out and educate restaurant owners about how insurance can cover potential risks and limit their exposures, you are sure to build long-term relationships that look to you for your insurance expertise.
No matter what state a restaurant resides in, this type of insurance is critical. However, you should remind them that policies can vary based on state laws.
One of the first ways you can educate restaurant owners is by showing the benefits of workers compensation coverage, and how it can give them peace of mind.
At a high-level, you can share with restaurant owners the following overview that shows what workers compensation insurance covers.
- Medical expenses from injuries that occur while on the job.
- Wages missed if an employee is injured on the job and needs time to recover. (Typically, this covers a portion of their full wages.)
- Illness caused by job-related issues, such as exposure to dangerous chemicals, etc.
- Legal fees for defending the business should an employee sue for work-related injuries.
Examples of common restaurant work-related injuries include:
- Burns from hot surfaces, materials, and liquids
- Cuts from improper knife use or storage
- Falls from spills and wet floors
- Sprains and strains from lifting heavy trays
- Robbery during a catering job
- Accidents traveling to and from locations for catering jobs
- Hand injuries from repetitive tasks
- Machine-related injuries from equipment malfunction or improper use
The more you provide your prospective and current restaurant owner clients with educational insights about insurance, the more you’ll build your brand as a helpful resource they can count on. Consider sharing tips for restaurant owners tips about:
- Lowering the cost of individual claims,
- Training employees to recognize potential accidents before they happen,
- Getting employees back to work faster,
- Accident reporting procedures,
- Offering return-to-work programs that give employees modified duties during recovery.
Download your free one-page overview—“Why Restaurants Need Workers’ Comp— that you can share with restaurant clients today!
Interested in learning how Syndicated can help you access Workers Comp options for all restaurant classes? View our page for a taste of what we cover.