Personal Effects and Property of Others:  The cost to replace the property of others in the insured’s custody, and employees’ personal effects, that are damaged by a covered loss will be paid up to $ 1,000 for property owned by any one individual with a total limit of $ 10,000

Off- Premise Utility: Coverage is extended to provide for a direct physical loss or damage caused by an interruption of electrical power or water supply services to the premises. The limit included for this extension is $ 25,000.

Money and Securities: $ 25,000 on premises and $ 5,000 off-premises coverage is provided for theft of money from the insured’s premises or from a messenger. This extension contains an exclusion for employee dishonesty and is subject to a $ 250 deductible.

Employee Dishonesty: Coverage is extended to provide for loss of money, securities and property other than money and securities caused by employee dishonesty. The limit of coverage provided by this extension is $ 25,000.

Credit Card Slips:  A limit of $ 5,000 coverage is provided for uncollectible amounts due the insured because of loss or damage to credit card receipts by a covered cause of loss.

Consequential Loss to “Stock”:   Provides coverage for the reduction in value of the remaining “stock”, resulting from a loss to the damaged portion of “stock” from a covered cause of loss.

Lock Replacement Coverage:   $ 5,000 coverage is extended to apply to the replacement of locks when caused by the theft of keys from the insured’s premises. A $ 100 deductible applies to this extension.

Fire Protection Equipment Recharge and Clean Up:   Provides coverage for the cost of recharging your fire extinguishers or fire extinguishing system resulting from the discharge of the fire equipment.

Ordinance or Law Coverage:  Offers coverage for the loss brought about by the enforcement of a building or zoning law after a covered cause of loss occurs.

• We cover loss to the undamaged portion of the building (Coverage A);
• We will pay up to $ 50,000 for the cost to demolish and clear the site of that undamaged portion of the building (Coverage B);
• and We will pay up to a limit of $50,000 for the increased cost of construction of the new building (Coverage C).
• We will not pay under this extension for any cost associated with the enforcement of any law or ordinance which requires the testing, monitoring, cleanup or removal of any pollutants.
• Implementation of the Americans with Disabilities Act may create problems for your insured. The amount of coverage provided should be sufficient for most restaurants.

Newly Acquired or Constructed Property:  The limits for this coverage extension have been increased to $ 1,000,000 for building and $ 500,000 for personal property. This extension increases the limits provided in the standard ISO form, and should be sufficient to cover any new property for your restaurant customer.

Fine Arts:  Automatically includes $ 10,000 per premises to cover damage to fine arts belonging to the insured, or in his care, resulting from a covered cause of loss.  A number of restaurants display a few expensive paintings as part of their decor. This built-in coverage protects them without the need to purchase a fine arts floater.


Electronic Data Processing Equipment, Data and Media Coverage:  Affords coverage for loss or damage to equipment, data or media caused by a covered cause of loss. Equipment coverage is limited to $25,000, and media is limited to $10,000.

Most restaurants will need some EDP coverage, and the limits of this extension should be sufficient  protection for most restaurants. Property exclusions have been deleted in order to provide coverage equal to an inland marine form. In addition, unlike many computer floaters, this extension includes coverage for both mechanical breakdown and electrical disturbance.

Accounts Receivable:  Provides $ 25,000 coverage for extra expenses incurred, interest charges on loans required to offset uncollectible accounts, and additional payments incurred to re-establish records of receivables that result from destruction of those records by a covered cause of loss.  No deductible applies to this coverage.

Valuable Papers and Records:  Coverage is extended to apply to your costs to replace or restore the lost or damaged valuable papers and records for which duplicates do not exist. The limit provided under this  extension is $25,000 at each premises and $5,000 off premises.   Our extension includes coverage for records on electronic media for which there are no duplicates.

Outdoor Property:  Coverage is extended to provide coverage for damage to fences, radio and television antennas, satellite dishes, trees, shrubs and plants (other than "stock" of trees, shrubs and plants) caused by a covered cause of loss. The limit for this extension is $ 20,000.  Insureds can spend considerable sums to landscape their business premises. Unlike most extension endorsements, there is no limit per item if trees or plants are damaged by a covered cause of loss; the total coverage limit would apply. Fences are specifically excluded from most property forms; however, we are providing coverage.

Outdoor Signs:  Increases coverage to $10,000 for damage to outdoor signs caused by a covered cause of loss.  Often your customer will have an expensive sign located at the driveway entrance. If it is within 1,000 feet of the building, it will be covered automatically.

Fire Department Service Charge:  This coverage has been increased to $10,000.

Property Off-Premises:  Provides $ 10,000 coverage for the insured’s covered property that is temporarily at a non-owned or leased location.   A restaurant may do some catering or may send a machine out for repair. This extension provides coverage for this property while it is at another location.

Pollutant Clean Up and Removal:  This coverage has been increased to $25,000.

Business Income and Extra Expense:  Provides reimbursement for actual loss sustained and necessary expenses that result from suspension of business operations due to direct physical loss to the insured  premises caused by a covered cause of loss.  The limit for this extension is actual loss sustained for a restoration period of 90 days, whichever is less.

It provides actual loss sustained coverage up to 90 days, and the waiting period is 24 hours. No co-insurance applies. This limit should be sufficient for most family restaurants, but additional coverage can be purchased and will be considered excess of the amount in this coverage extension.

Claim Data Expense:  Provides up to $ 5,000 to cover expenses related to the costs incurred in preparing claim data we require.  At the time of loss, insureds may need to hire additional staff to take inventory, etc., in order to produce the information we require for loss documentation. This coverage provides reimbursement for those additional costs.

Back-up of Sewers and Drains:  Coverage is extended to provide for loss or damage caused by the back-up of sewers and drains as an additional cause of loss. The limit for this extension is $ 10,000.  Non-Owned Detached Trailers:  $ 5,000 coverage is provided for damage to non-owned trailers that are used in your business and for which you have a contractual responsibility.

Aggregate Limits of Insurance per Location:  The General Aggregate limit (other than Products-Completed Operations) has been broadened to apply separately to each of your locations owned by or rented to you and shown in the declarations.

Named Insured:  Provides automatic coverage for any organization in which the insured has a majority ownership or a majority interest.

Duties in the Event of Occurrence:  The insured will be considered to have knowledge of an occurrence only after the loss is reported to an owner, partner, officer, risk manager or insurance manager.  Also, the notice of loss claim or suit requirement will not apply until such claim or suit is actually known to an owner, partner, officer, risk manager or insurance manager.

For the restaurant owner, this eliminates the concern that the first person to discover a loss may not know the requirements of the insurance contract.

Unintentional Failure to Disclose:   The coverages being provided to the insured will not be affected if the insured, unintentionally, fails to disclose all similar hazards connected with his operations.

We always want to know all the insured’s operations when we first review the risk, but should the insured forget something and the hazards are similar to what we know, there is no loss of coverage.

Bail Bonds:  Provides increased payments to the insured for bail bonds (up to $2,500) and for lost income expense (up to $350/day).

We hope the insured will not have need of this coverage, but if so, the increased limits will be beneficial.

Property Damage Liability:  Elevator and Sidetrack Agreements — Provides property damage coverage to property or the insured’s product, while on or being moved onto or off an elevator, and for liability assumed in a sidetrack agreement.

Non-Owned Watercraft:  Increases length of covered non-owned watercraft to 51 feet, from 26 feet. If an insured has a business event on a leased boat, coverage is provided, so long as no other coverage exists and no charge has been paid by those attending the event.

Fire, Lightning or Explosion Damage:  Fire legal liability coverage is broadened to provide property damage coverage for the additional perils of lightning and explosion, and is increased to a limit of  $ 500,000, from $ 300,000.

This is an important coverage if your restaurant customer is a tenant in a building. Responsibilities would include payment of damages to the building caused by a fire in the restaurant.

Additional Insureds:  By Contract The “Who is Insured” provision is automatically extended to cover any organization the insured is under written contract to add as an additional insured. The coverage is applicable on a primary basis.

Although there may be limited need for this, an exposure could exist if the insured did any off-premises catering.

This extension eliminates the need to endorse the policy to add the additional insured unless cancellation notice is required in the contract.

Incidental Medical Malpractice Liability:  Coverage is broadened to cover the insured for any employees who provide incidental medical procedures, unless the insured is in the business of providing such services.

Insured Contract:   The definition of “insured contract” includes exclusionary wording with respect to indemnification for property damage by fire, lightning or explosion to premises rented or occupied by the insured.

Medical Payments:  Medical payments limit is increased to $ 15,000, and the insured has three years to report a claim, rather than one. This “goodwill” coverage is an important “plus” for restaurant owners. No legal liability must be proven, and up to $ 15,000 is available to pay for medical treatment required by a customer who is injured on the insured premises.

Voluntary Property Damage:  This coverage has been included to provide payment to others for unintentional "loss" to the property of others caused by your business operations.  Provides $ 5,000 coverage for property of others that is damaged by the
insured’s operations. Maximum payment per policy is $ 25,000. A $ 500 deductible applies.

Mobile Equipment Redefined:  The definition of mobile equipment is amended to extend general liability coverage to self-propelled vehicles weighing less than 1,000 pounds, and designed primarily for snow removal, road maintenance or street cleaning. Some restaurants have small tractors to handle snow removal on the premises. Liability coverage for that vehicle is provided here.

Additional Insureds - Vendors:  The policy is extended automatically to provide coverage to vendors where the insured, under a written contract or agreement, is required to add the vendor as an additional insured. This is only provided if the policy includes products liability coverage.

Non-Owned Aircraft:  Coverage is extended to aircraft, which is not owned by the insured, but is hired, chartered or loaned to the insured with a paid crew. This provision does not apply if the insured has any other insurance for bodily injury or property damage that would provide coverage.