Restaurants serve upopportunities for agents
Restaurants serve upBy Wallace L. Clapp, Jr., CPCU
The restaurant has evolved from America's colonial period tavern to today's plentiful lineup of eating places to please families and couples wanting to dine out and explore new eating pleasures.
In larger cities, hundreds of different kinds of restaurants cater to ethnic tastes and local and visiting publics. In large convention cities such as New York, New Orleans, Chicago and San Francisco, many fine restaurants please the tourists' palates.
Even in smaller cities and towns, there are always enough dining places to feed families, senior citizens and moms and pops wanting to have a night out away from the kids. The downtown business centers of cities are famous for their business lunches at popular executive haunts and restaurants catering to the theater-going and sports entertainment crowds in the evenings.
Restaurants originated from colonial inns and taverns, boarding houses and coffeehouses of the 17th century. The earliest establishments were no more than places where men would gather to drink heavily. Taverns were vital to the community, providing a place to meet and discuss politics.
Coffeehouses made their debut in the colonial scene in the late 17th century. By the 18th century they grew into lavish restaurants. The historic Fraunces Tavern in New York City became a central meeting place for every prominent person who came through New York.
The most famous restaurant, Delmonico's, in New York, was established by a sea captain, Giovanni Del-Monico, in the early 19th century. It was copied from the elegant Parisian restaurants in vogue in Europe at the time. New Orleans later was the birthplace for the first French and country cooking restaurants, famous for creole style cooking and fresh Gulf seafood.
As people spread westward in the mid-1800s, saloons sprung up in the western towns of Texas, Nevada, Colorado and California. San Francisco, the mining town of 1848, grew to an important gastrometic center by the turn of the century. The growth of railroads added to the popularity of the early western restaurants.
Harvey House was started as a small restaurant in Topeka, Kansas. It grew into a chain of restaurants, which established the guidelines for success for every chain to follow, including Howard Johnsons and McDonalds.
In the early 20th century, with the increasing flow of immigrants arriving in America, ethnic restaurants such as Italian, Mexican, Chinese, Russian and Spanish grew in large eastern cities like New York, Boston and Philadelphia. This trend spread through Chicago and the Midwest out to San Francisco. Originally catering only to ethnic groups, the popularity of Italian food spread like wildfire across the country. Chinese food, on the other hand, first started on the west coast (San Francisco).
Restaurants have been loosely classified as having seven levels of style of dining: (1) vending; (2) fast food; (3) cafeteria; (4) coffee shop; (5) family restaurant; (6) dinner house; and (7) luxury restaurant. The degree of service for each class correlates with the menu price and pleasurability. Different seat turnover ratios and customer space are factors in distinguishing between the types of restaurants.
The National Restaurant Association, Washington, DC, the leading association of restaurants, has done a study of the sales and employment figures for eating places, updated to 1997. The predictions were that sales would reach $320 billion in over 780,000 locations by the end of 1997, with the sales in commercial eating places (as opposed to institutional) amounting to 68% of the total.
The study predicted that employment in restaurants would reach 9.5 million. One out of every four retail outlets is an eating or drinking establishment. Food and drink sales have risen from $42 billion in 1970 to $320 billion in 1997.
Almost 60% of employees in food service occupations are women. The typical restaurant employee in 1995 was a female, less than 30 years old and single.
Most eating-and-drinking places are considered to be small businesses. Average unit sales in 1992 were $501,000 at full service restaurants and $473,000 at fast food establishments. Most eating-and-drinking firms had fewer than 50 paid employees in 1992. Almost one-half of all adults were restaurant patrons on a typical day during 1995.
Chinese, Italian and Mexican are the most numerous ethnic restaurants, accounting for one-quarter of all table service establishments.
A review of the above statistics would indicate that there are more eating and drinking places than there are insurance agents in any town or city. This sales advantage to the aggressive agent seeking a niche market is further enhanced when one considers that most restaurants are small businesses. Making an entree into the restaurant market is less complicated than if the establishments were part of a larger operation or franchise.
Restaurants may be easy to find, but their risks and exposures can sometimes be difficult to place. Most standard insurance underwriters include food service risks as eligible for BOP or CPP package programs offered to appointed agents. Such programs can be designed to attract the restaurant account by offering property extensions such as food spoilage, automatic inclusion of new buildings and business personal property, breakdown of equipment, loss of business income and extra expense, EDP coverage, fire protection equipment recharge, money and securities and other add-ons.
Agents wanting to get into the market for eating and drinking places must have a good knowledge of the business and have a standard market that will accept most risks or know what programs are available in the specialty market.
Insurance
Before writing the restaurant account, the agent should evaluate the risk in terms of property exposure, general liability, workers compensation and liquor liability risks.
Property insurance is often difficult to place if the property is in an unprotected class (in a rural area away from water supply, on the highway out of town or in seasonal resorts). Nearby hazards, such as congested buildings, trees and other high vegetation or inaccessibility because of steep and narrow roads, increase the exposure to the property because of the fire hazard. Beach front and property in flood prone areas add to wind and rising waters hazards.
Restaurants must be in compliance with National Fire Protection Association regulations. Some of these are: (1) fire protective systems for cooking ranges--hoods, filters, exhaust fans and Ansul fire suppression systems; (2) clearance between cooking equipment and combustible materials; and (3) sprinkler systems, fire and burglar alarm systems.
Hoods, ducts, filters and fans should be periodically cleaned out to prevent combustion from starting in accumulated grease or oil. Combustible decorations should be kept away from smoking areas or tables where candles are set. The restaurant manager should watch for overcrowding in bar areas and in aisleways in the dining room, and allow enough room for customers to leave in an orderly manner in case of fire or smoke.
Liability claims in eating-and-drinking establishments are largely a result of slip-and-fall accidents. Managers should pay particular attention to the condition of floor surfaces, loose carpeting and throw rugs. Adequate lighting in areas where there are steps is important.
The restaurant also should have written procedures concerning food handling and preparation, sanitary conditions and health and training of employees. Products liability in restaurants can be a problem if attention is not given to the possibility of contaminated food spoiled by exposure to the atmosphere, prepared improperly, undercooked or contaminated with food-borne bacteria.
Workers compensation losses arise from such hazards as slip-and-fall mishaps; back injuries; burns; and cuts. Thorough training and proper loss control efforts can reduce these injuries.
Most fine dining and many family restaurants, as well as taverns and bars, serve alcoholic beverages. Standard insurers usually write restaurants with less than 40% sales of alcoholic beverages. Most cover optional liquor liability insurance in all or selected states. Specialty insurers writing eating-and-drinking places cover all restaurants and taverns for liquor liability as an optional part of the package with general liability insurance or offer a monoline liquor liability policy.
When evaluating the liquor liability exposure, underwriters look at the ratio of liquor sales to food sales. Coverage for liquor liability generally is written at standard rates as long as sales account for no more than 25% of the total. At higher ratios, underwriters may increase rates or refuse to write liquor liability coverage.
Late night hours, type of entertainment furnished, and whether the establishment provides "happy hours" or other drink specials are also determining factors for rates.
For any eating-and-drinking place serving alcohol, underwriters want to see that management has put into effect formal policies for dealing with clients who are intoxicated or minors who get served illegally. Employees who serve alcoholic beverages are usually required to have training such as that provided by the TIPS program (Training for Intervention Procedures by Servers of Alcohol).
Insurance coverages
Most standard insurers offer monoline coverage for property and general liability insurance on restaurants, taverns and other eating places. Many include fine dining and family restaurants in multi-peril packages. Such facilities are open only to appointed agents, and brokerage business is not accepted.
Agents who do not have access to a standard carrier that writes restaurants, bars and taverns must locate a specialty market that offers this coverage. Bars and taverns and restaurants with live entertainment and with a higher ratio of liquor sales to total receipts are most frequently written by specialty carriers.
Package policies for most restaurant risks contain standard coverages for property, general liability and business income insurance. The property form is written either on a broad named peril form or on an "all risk" basis. The package is written on SMP, BOP or CPP forms approved by the Insurance Services Office or filed independently by the company. The standard forms are supplemented with various extensions and additional coverages tailored to the restaurant exposure.
Improvements and betterments must be considered when the owner is a tenant. Expensive alterations and decorations can add value to the risk of the restaurant or bar owner. If a fire damages the building, the building policy does not pay for the value of the improvements and betterments. The tenant should cover this item separately on his/her contents policy.
Loss of business income is always considered to be an important part of the property coverage. Damage to the building or contents and repairs can cause a complete shut down of operations until everything is back to normal. The restaurant coverage offered by New Jersey-based Specialty Insurance Agency offers business interruption and extra expense coverage on an actual loss of business income sustained form.
Furniture and fixtures may be insured on a separate policy when the restaurant or bar owner does not own the building. In such cases, sometimes it is difficult to determine whether certain equipment is part of the building or contents.
The Specialty Insurance Agency policy may be written on an actual loss sustained basis for a limit not exceeding $2 million. Such coverage deals with the situation when an insured has separate companies writing building and contents, or an insurance adjuster decides that kitchen equipment insured under the building should be adjusted under contents coverage, leaving the insured with either a coinsurance or underinsured penalty.
Equipment such as broilers, stoves, ovens, etc., would be considered building items; but frequently they do not meet the standard criteria of building items. The definition of building coverage includes equipment which is permanently attached (and which would not cause damage to the building if torn out). Actually, the only items that would create permanent damage through their removal would be the hood and ducts and the fire suppression systems.
Items such as walk-in freezers, steel racks and commercial dishwashers also can be removed without damage. In some buildings, bars are not permanently attached.
In order to eliminate confusion and provide adequate coverage to the restaurant or bar, the actual loss sustained form covers all building, contents and business interruption claims for actual loss sustained up to the limit without a coinsurance clause.
Other add-ons important to restaurant and bar businesses are:
* money and securities;
* mechanical breakdown of equipment (air conditioning, fire suppression systems, electrical equipment, coolers, refrigeration);
* backup of sewers and drains;
* accounts receivable;
* valuable papers;
* extra expense;
* consequential loss;
* adulteration, spoilage of food, changes in temperature;
* property of customers;
* outdoor signs;
* fine arts;
* building glass;
* outdoor property;
* property in transit.
EDP coverage for restaurants and bars using computers and special software to mix drinks and record customers' orders, and for inventory and accounting is very important to assure continued efficient management techniques. Most modern food and drink establishments have established some kind of computer system.
Crime coverages for employee dishonesty, robbery and theft insurance are necessary. Building damage caused by thieves is also covered.
Food-borne illness insurance is a unique form for risks serving food. It is protection against loss of business income and related expenses, such as the cost of advertising to restore business as a result of a food-borne illness. This monoline policy is available through at least one program manager (All American Agency Facilities, Redmond, WA). The policy protects against loss due to food-borne Hepatitis A, as well as other diseases, such as E coli, A coli, salmonella, campylobacter, esherici, giardia and shigella.
General liability insurance is essential for eating-and-drinking establishments. This policy protects against the common slip-and-fall claim, as well as more serious claims for products liability or personal injury claims such as false arrest, libel and slander, wrongful detention, discrimination and others.
A case which received considerable public attention is one that involved McDonalds, where a woman sued the corporation after she was burned when a very hot cup of coffee she had purchased at the drive-thru window spilled on her lap. The jury initially awarded her punitive damages of $2.7 million, but this award was reduced to $640,000. The case was later settled out of court for an undisclosed sum. Unfortunately, the bad publicity remained, resulting in a serious loss of business for a considerable time after the report of the suit.
Another highly publicized case involved Wendy's in 1995 when a customer sued because she allegedly bit into the head of a mouse imbedded in her chili. This case is still not settled, and the defendant is still investigating the facts.
Most cases involving slip-and-fall incidents resulted from a patron encountering a step-up or down that wasn't clearly marked, or no sign warning of a change in elevation. Uneven walkways, potholes in parking lots, snow covered or icy walks and parking lots, and poor lighting are other causes. These losses can be controlled through adequate warnings and signs, and prompt and proper maintenance of the premises and approaches.
Denny's was successfully sued with two class-action suits brought against the parent corporation for not serving African-American customers at units in San Jose, California, and Annapolis, Maryland. The suits, filed in 1991 and 1993, cost the company $54 million to settle. As you might expect, Denny's has established a vigorous education program to make its employees aware of the proper approach to all customers. The company also has embarked on a series of national programs extended to the African-American community helping with youth leadership and education.
Liquor liability insurance is essential, particularly in states that have enacted strong dram shop acts or other legislation holding owners of establishments responsible for illegal selling of alcoholic beverages to minors and intoxicated persons. Several years ago, the Insurance Services Office assessed the strictness of these state laws and rated 38 states as having moderate or strict statutes.
There is no coverage under the general liability policy for injuries or damages arising from the serving of alcoholic beverages. A separate liquor liability policy must be purchased.
Employment practices liability coverage is another important consideration for liability insurance. A relatively new coverage, it was first developed in 1991 in the wake of the explosive increase in claims filed by employees against their employers. The policy pays for claims filed with the Equal Employment Opportunity Commission (EEOC) alleging discrimination, sexual harassment and wrongful termination. Claims may arise from civil rights violations, age discrimination, or when handicapped and disabled persons are denied job opportunities or are wrongfully terminated.
A recent study showed that 84% of all claims filed with the EEOC are against private employers, and 41% of all claims are against companies that employ 15 to 100 people. During fiscal year 1995, 87,500 cases of employment discrimination were filed.
Employment practices liability insurance is available through a growing list of markets, usually on a monoline basis; but it is also available as an endorsement to the directors and officers liability policy and on some business package programs. Insurance can be accessed through the broker or general agent offering restaurant/bar programs.
Workers compensation coverage is required to be purchased by restaurant and bar owners for their employees. In many states, the coverage is available on a safety dividend group program, through state associations or on an individual basis through companies writing bars and restaurants.
Markets for restaurants/bars
As in previous articles, we have conducted a brief survey of markets recognized as underwriters and administrators of restaurant and tavern/bar business. The survey of liquor liability markets was conducted last fall, but the restaurant and bar survey was conducted last month. The following firms have reported to us about the programs they offer to all licensed agents and brokers in the geographical territory they cover:
Specialty Insurance Agency, P.O. Box 448, Brielle, NJ 08730; (908) 223-3000 (Mel Watters). Started writing restaurants and bars in 1984 during the hard market. Their book of business totals about $18 million per year in two companies. Business is written in CT, DE, GA, IA, IL, IN, MA, MD, ME, MI, MN, MO, NC, NH, NJ, NY, PA, RI, SC, TN, and VT. Property limits are $5 million and general liability, $1 million. Liquor liability is written optionally up to $1 million. A multiline package is written using a CPP form. Workers compensation is written in CT, NY, PA, MD, MI and IL.
Lackey & Lackey Inc., 2000 First Ave. N., Ste. 829, Birmingham, AL 35203; (205) 328-0040; 1-800-Lackey1; (Lamar Lackey). Writes all types of restaurants including those with adult entertainment. Bars, night clubs, go-go/adult entertainment bars, private clubs are all written. Capacity is virtually unlimited for property coverage as well as general liability. Both primary and excess layers can be arranged. Liquor liability limits are written for the same limit as general liability. Assault and battery exclusion waived. A multiline package is available. Coverage is written through various A+ XV and B+ rated insurers in all states on an admitted or nonadmitted basis
Northeast Insurance, P.O. Box 14160, E. Providence, RI 02914; (401) 431-9830 (Philip Desautels). Writes restaurants with 50% or less in liquor sales. Some entertainment is acceptable. Maximum property insurance is not limited but prefers risks under $3 million. Liquor liability is written separately with a deductible without assault and battery exclusion. Multiline package is offered. Restaurants and bars are written in CT, MA, ME, NH, RI and VT.
Insurance Center Special Risks Ltd., P.O. Box 1185, W. Springfield, MA 01090; (413) 781-7475; 1-888-773-7475. (David Florian, CPCU). Writes all types of restaurants and bars/taverns including night clubs. In-house authority for property limits is $750,000; limits may be increased. General liability is written to $1 million/$2 million. Liquor liability is not covered but can be written under a separate program. Coverage is available in CT, MA and RI (excluding liquor). Insurers used include Lloyd's, Essex, Agora (MA only), CNA (liquor in CT), United National and Northland.
LoVullo Associates Inc., 689 Main St., Buffalo, NY 14203; (716) 856-3065, 1-800-876-3065 (Paul LoVullo). Writes all types of restaurants and bars, except fine dining. Property insurance is unlimited. General liability limits are up to $10 million plus. Liquor liability is offered on a monoline basis with $1 million/$2 million limits plus excess. Firm offers a multiline package. Serves agents in NY. Coverage available through the following insurers: Acceptance, Essex, Jefferson, Penn America, U.S. Liability, Scottsdale, U.S. Underwriters and Interstate F&C.
American Business Insurance Services, 370 Reed Rd., Ste. 208, Broomall, PA 19008; (610) 544-7722;
1-800-355-ABIS (Chuck Thompson). Writes all types of restaurants and bars/taverns. Property limits are written to $2 million and general liability to $1 million plus umbrella. Liquor liability is covered with limits to $1 million. No assault and battery exclusion. Firm offers a multiline package only in PA. Companies used are CNA, Lloyd's, Public Service Mutual and Utica First.
Jimcor Agencies, P.O. Box 890, Westwood, NJ 07675; (201) 666-8600 (Frank Mastowski). Writes all types of restaurants and bars including night clubs and adult entertainment. Property limits are available to $5 million, and general liability limits to $5 million. Liquor liability is available with limits to $1 million. The firm offers a multiline package in NJ, NY and PA. Insurers include Interstate, U. S. Liability, Mt. Vernon, Scottsdale, Penn America, United National and others.
Pennock Insurance, P.O. Box 688, 435 Devon Park Dr., Ste. 500, Wayne, PA 19087; (610) 975-0444; 1-800-662-5182 (Vic Giordano). Offers a BOP package policy on small, under 1,000 sq. ft. customer area, coffee shops, pizza parlors, carry-outs with less than 15% sales of wine and/or beer, including liquor liability. On larger restaurants and bars/taverns the agency can provide all property coverages and CGL. Liquor liability would be written monoline under a separate policy. Umbrellas are available for all types of restaurants and bars/taverns. Liquor liability limits are up to $1 million/$1 million. Various approved and well-rated carriers are used. Serves agents in DE, MD, NJ and PA.
Modern Insurance Consultants, 10725 SW 104th St., Miami, FL 33176; (305) 595-3832; 1-800-380-4642 (Mark Lann). Writes family style, white tablecloth restaurants. No bars and taverns. Only type of restaurant excluded is one with over 50% liquor sales. Property limits of up to $2 million per location. General liability limits to $1 million/$2 million. Liquor liability is covered optionally to limits of $1 million. Excess liability and umbrellas available to limits of $30 million. A multiline package is written in the states of AL, FL, GA and MS. Lloyd's is the underwriter.
Charles P. Phelan Insurance Inc., 702 Lamberto Dr., Silver Spring, MD 20902; (301) 593-4480; 1-800-544-6454 (Charles Phelan). Writes restaurants, bars/taverns, including carry-outs and night clubs. Property limits are available to $1 million on basic, broad and special forms. General liability written to $1 million. Liquor liability can be added with limits of $500,000 or $1 million. A multiline package is offered. Serves agents in DC, MD and VA. Insurers include Midcontinent, Generali, Illinois Insurance Exchange, Lloyd's, Copenhagen Reinsurance, Union America and others.
The Johannes Cos., P.O. Box 246, Dayton, OH 45459; (513) 433-9946; 1-800-333-7394 (Steve Johannes). Writes all types of restaurants and bars including exotic bars. Property and general liability limits are available up to $10 million. Liquor liability is available in the multiline package or on a monoline basis for limits to $10 million. Assault and battery exclusion may be waived on most programs. Risks are accepted in IN, KY and OH. Insurers used are Capitol Indemnity, Monticello, Great Midwest, Agora Syndicate, Western Heritage, Colonia, and Century Surety.
International Excess Agency, P.O. Box 21370, Cleveland, OH 44121; (216) 291-1818; 1-800-937-3497 (Ken Kukral). Writes all types of restaurants and taverns/bars. Risks excluded are those currently in bankruptcy and with less than three years' experience. Property limits are available to $3 million in-house and up to $20 million excess. General liability is written with limits of $1 million primary and up to $10 million umbrella. Liquor liability is available with limits of $1 million primary and $10 million excess. Risks are accepted in OH and in IN, KY, TN and WV under other programs. A multiline package is offered. Insurers used include Penn America, as well as Scottsdale, United National, Acceptance, Paradigm and Alliance General.
S.A. Freerks & Associates, Inc., 911 Park Ave., St. Louis, MO 63104; (314) 436-2682; 1-800-342-2601 (Stan Freerks). Offers coverage on all types of restaurants and bars/taverns, including night clubs and risks with adult entertainment and without cooking protection. Property limits are unrestricted. General liability is available to $1 million/$2 million plus umbrellas. Liquor liability is available on an optional basis. Firm offers a multiline package in IL and MO. Uses Capitol Indemnity, Penn America, First Financial, Monticello, Calvert, Lloyd's, Century Surety and Reliance Specialty.
Carnegie Insurance Service Corp., 17700 Broadway, Cleveland, OH 44146; (216) 439-5555 (Alan Rubin). Offers insurance for all types of family style restaurants and bars, including adult entertainment, sports exposure such as volleyball courts. Includes all ratios of food to liquor sales and either protected or unprotected kitchens. Property limits go to $750,000 in-house; higher limits are available. General liability and liquor liability limits are written to $1 million/$2 million. Excess general liability is available. Liquor liability is written monoline. A multiline package is offered to agents in IL, IN and OH. Carriers used are Acceptance, Capitol Indemnity, Century Surety, Preferred National and Western Heritage.
ARIS Insurance Services, P.O. Box 8865, Calabasas, CA 91372-8865; (818) 591-1598 (Joe Weckerle, Sr.). Writes all types of restaurants and bars/taverns. Property limits and general liability limits are available to $5 million. Liquor liability is covered up to $5 million. The firm serves agents in CA. A multiline package is offered. Companies used are Alliance General, Western Specialty, Preferred National and Public Service Mutual.
Surplus Insurance/Brokers Agency, Inc., P.O. Box 749, South Bend, IN 46624-0749, (219) 287-2368 1-800-342-5706 (Richard Urbanski) Writes bars, restaurants and tavern coverage. Monoline Liquor liability, $1 million primary limit available. Serving agents in Illinois and Indiana.
LMS Insurance Services, Ltd., P.O. Box 553, Shawnee on Delaware, PA 18356, (717) 223-7111, 1-800-343-8396 (John Martone) Serving agents in Northeast, primarily NJ, NY and PA for hospitality and recreation including restaurants, taverns, country inns, restaurants, clubs, motels/hotels and Liquor liability.
Liquor liability markets
In addition to the markets listed above, the following offices reported to us on their interest in writing liquor liability insurance:
Russell Bond & Co., Inc., Ellicott Sq. Bldg., 295 Main St., Buffalo, NY 14203-2595; (716) 856-8220; 1-800-333-7226 (Gary Hollenderer). Offers a monoline liquor liability policy to all types of risks including restaurants, bars and country clubs. Night clubs and discos are not written. Limits range from $100,000 to $1 million. Serves agents in NY. Policies are underwritten by United National and U.S. Underwriters.
Pomerleau Program Administrators, 108 Church St., P.O. Box 6, Burlington, VT 05402; (802) 863-0544; 1-800-639-1504 (Brian Corcy). Writes monoline liquor liability in the states of AL, CT, GA, ME, MA, NH, NY, NC, RI and VT. Eligible risks include restaurants, bars, country clubs, night clubs and discos. Limits range from $25,000 to $1 million. Firm is a program administrator for CNA.
Princeton Risk Managers, Inc., 201 Wall St., Princeton, NJ 08540; (609) 924-9222 (Jim Griffith). Writes monoline liquor liability for all classes of risks, excluding some night clubs. Limits are available up to $1 million. Excess is available. Risks are limited to NJ. Westport Insurance Co. is used.
American Underwriters Agency, Inc., 4343 Lincoln Hwy., Matteson, IL 60443; (708) 478-9550 (Edward Murray). Writes both monoline policies and package coverage for all classes of restaurants and bars. Risks with prior losses and those in business less than a year are excluded. Limits available are to $1 million/$1 million. Lloyd's underwrites the coverage.
Burns & Wilcox Ltd., 6801 Lake Plaza Dr., Ste. A-108, Indianapolis, IN 46220; (317) 842-5911; 1-800-833-9443. Writes primarily monoline coverage. To a limited extent it can be offered as part of a multiline package to eligible restaurants and bars. Limits are available to $1 million. The office serves agents in IL, IN, KY and OH. Underwriters include Agora Syndicate, Colony, United National, Colorado Western and Tri-Star (Paradigm).
Constitutional Casualty Co., 5618 N. Milwaukee Ave., Chicago, IL 60646-6291; (312) 763-7100; 1-800-833-3427 (Rick Dalka). The insurer writes monoline liquor liability in IL. Eligible risks include bars, restaurants, country clubs and night clubs. Limits are available to $1 million.
Donald Gaddis & Co., Inc., 150 S. Wacker Dr., Ste. 600, Chicago, IL 60606; (312) 853-0071 (Chris Gaddis). Writes monoline liquor liability in the state of IL. All classes of restaurants and bars are eligible. Limits are available to $1 million. Underwriters are Lloyd's and First Financial.
Gateway Underwriters Agency, 755 S. New Ballas Rd., Ste. 130, St. Louis, MO 63141-8713; (314) 567-4200; 1-800-325-7652 (Carl Bartlotti). Writes monoline coverage in the state of IL. All risks are eligible including those with loss history problems, late closing hours and adult entertainment. Program offers limits up to $2 million. Underwriters include First Financial, Lloyd's, CNA and American Alliance.
Illinois Founders Insurance Co., 3425 N. Cicero Ave., Chicago, IL 60641; (312) 777-8080; 1-800-972-8778; (Marvin Pritikin). The insurer writes both monoline liquor liability and as part of a package in the state of IL. It writes restaurants, bars, country clubs, banquet halls, night clubs/discos and private clubs. Limits are available up to $1 million with $1 million excess available.
Insurance Marketing Center, Inc., 14500 Burnhaven Dr., Burnsville, MN 55306; (612) 435-1606; 1-800-245-0023 (Virginia Wimberly). The firm writes monoline coverage in MN. Eligible risks include restaurants, bars, country clubs and discos. Limits are available to $1 million.
Miami Valley Excess & Surplus Agency, Inc., P.O. Box 29, Miamisburg, OH 45342; (513) 438-0491; 1-800-445-9863 (Fred Wootan). Writes both monoline and package liquor liability coverage in IN, KY, OH and WV. Available to all restaurants and bars. Limits go to $1 million. Underwriter is Century Surety.
Geo. F. Brown & Sons, Inc., 55 E. Monroe St., Chicago, IL 60603; (312) 456-5000; 1-800-342-0657 (Ron Lada). Writes monoline liquor liability in the following states: AZ, CO, CT, FL, IL, IN, IA, ME, NH, NM, OH, UT and VT. In IL a companion general liability policy is available. The office has SMP package capabilities in many states for taverns, restaurants and private clubs. In most cases limits are available to $1 million. In some states limits are available only to $500,000. Brown has been the MGA for the CNA in IL for more than 35 years. Brown also manages CNA business in IN. For the remaining states Brown is underwriting manager for the Chicago Insurance Co.
Topa Insurance Co. 1800 Ave. of the Stars, Los Angeles, CA 90067-4213; (310) 201-0451 (Larry Esposito). The company writes both monoline liability and as part of a package in CA. Limits are available for $500,000 or $1 million or higher.
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