What Restaurants Should Know About Insurance When Expanding into Catering

Catering does not always look like weddings or large staffed events. For many restaurants, it starts much simpler. A large office lunch. A holiday meal for a family gathering. A bulk order that needs delivery and light setup before staff head back to the restaurant. These orders feel like an extension of takeout, but from an insurance standpoint, they introduce new exposures that deserve a closer look.

Delivery Expands Auto Exposure

Office lunches and holiday meals often involve delivery. If employees use personal vehicles to deliver orders, hired and non-owned auto liability coverage becomes critical. Without it, the restaurant may have little protection if an employee is involved in an accident while delivering food.

If the restaurant owns or brands a delivery vehicle, commercial auto coverage should be reviewed to ensure proper limits and usage classification.

Employees Entering Offices and Homes Changes Liability

When staff enter offices, breakrooms, or private homes to drop off and set up food, new property damage exposures arise. Spilled food, damaged counters, or any other property damage can lead to claims.

General liability policies typically cover these exposures, but only if off premises operations are part in the policy structure. This is especially important if staff are setting up warming trays or chafing dishes, as they are working at a 3rd party location.

Other Coverage Areas Worth a Quick Review

As bulk orders and deliveries become more routine, it is also smart to review other parts of your insurance program. Workers’ compensation should reflect any changes in employee duties related to lifting, delivery, or setup. Property coverage should be reviewed to confirm how portable equipment, warming trays, and food are protected while in transit. While these areas often remain adequate, a quick check helps ensure coverage keeps pace with how the restaurant is operating today.

Growth Without Overcomplication

Office lunches, family gatherings, and holiday meals are a natural extension of restaurant service and an effective way to grow revenue without changing your brand. From an insurance perspective, the goal is not to over insure or treat your operation like a full-scale catering company. It is simply to confirm that your existing coverage keeps pace with how your restaurant currently operates.

A brief coverage review before catering orders become routine can help prevent surprises and support sustainable growth during busy seasons. Concklin Insurance Agency works with restaurants nationwide to align coverage with real world operations, including expanded delivery and large order services.