August storms roll through, the power drops for eight hours, and every walk-in and reach-in in your kitchen becomes a very expensive garbage can. Spoiled inventory is one of the most frequent restaurant losses there is — and whether it’s covered depends entirely on endorsements many policies don’t automatically include.
Standard property forms cover your food as business personal property against fire and theft — but not against temperature change. A food spoilage endorsement adds coverage when refrigeration fails due to power outage, equipment breakdown, or in some forms, accidental contamination. Check three things: the limit (count your full walk-in at peak inventory, not an average Tuesday), whether off-premises power failure is included, and the deductible.
When the compressor itself dies, spoilage coverage handles the food — equipment breakdown coverage handles the compressor. It also picks up HVAC, POS systems, ovens, and dish machines after mechanical or electrical failure, which standard property forms exclude. For a restaurant, it’s one of the highest-value, lowest-cost endorsements available.
Questions about your coverage? I’ve spent more than 46 years helping Kansas City area businesses and families get insurance right. As an independent agent with access to over 50 markets, I work for you — not an insurance company. Call or text Jay Stoetzer at 816-384-7738, or email jay@insure247.com for a no-pressure review.