Uncategorized Archives - Page 4 of 4 - Hospitality Insurance Group

July 10, 2019by Jen Davey Jen Davey No Comments

Summer is a Good Time for Restaurant Owners to Focus on Preventing Communicable Diseases

By: Richard E. Welch, Jr.

President & CEO, Hospitality Insurance Group

An outbreak of a foodborne illness is the angst of every restaurant owner. This type of risk at a restaurant could have significant consequences, potentially leading to liability, reputation damage, fines & penalties, or ultimately closure of the restaurant. As more people dine out at restaurants this summer, it is worth highlighting that the warmer months are the peak season for foodborne illnesses. Fortunately, restaurant owners have several options to help prevent the spread of communicable diseases.

According to the Centers for Disease Control and Prevention (CDC), there are almost 50 million cases of foodborne illnesses in the U.S. per year on average, resulting in over 125,000 hospitalizations and about 3,000 deaths. The most common causes are norovirus, salmonella, clostridium perfringens, campylobacter, and staphylococcus aureas. Less common but more serious are clostridium botulinum, listeria, E. coli, vibrio, and hepatitis A.

The most cited risk areas for restaurants are contamination from employees who are sick or have dirty hands, cross contamination from one food to another, leaving perishables exposed to the elements, and supply chain risks.

Foodborne illnesses can be costly if restaurant owners do not take proper precautions. Therefore, it is essential for restaurants to encourage the proper standards to reduce this type of risk. Restaurant owners can help protect guests from this threat by educating employees about the risks from foodborne illnesses, having them avoid handling food if they are sick, asking them to wash their hands thoroughly before handling food, and to wear gloves whenever possible.

The National Restaurant Association offers a Food Safety Manager Certification as part of its ServeSafe® program that could help reinforce important precautions at your establishment. Another worthwhile precaution includes checking the insurance limits of your general liability coverage with your insurance carrier.

If you suspect you may have experienced an outbreak of foodborne illness, it is important to do everything possible to mitigate the damage by reporting the incident to the appropriate authorities and notifying your general liability insurance carrier.

The opinions expressed are the views of the author alone and should not be attributed to any other individual or entity and shall not constitute a legal opinion.

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May 17, 2019by Jen Davey Jen Davey No Comments

Does Legal Cannabis Make the Restaurant and Bar Business More Risky?

By: Richard E. Welch, Jr.

President & CEO, Hospitality Insurance Group

As the legalization of marijuana sweeps across the United States, it has the potential to disrupt the restaurant and bar business. Growing cannabis use has the possibility to reduce consumption of alcohol, which could hurt businesses that serve alcohol. On the opportunity side, many entrepreneurial restauranteurs are devising ways to serve cannabis infused foods or beverages in the hope of participating in a new market sector. While time will tell how these forces will play out, there is one change to the business that is being felt presently. Bars and restaurants are facing an increasing number of patrons consuming cannabis before or while drinking alcohol, which increases the risk of intoxication related incidents. The rise in consumption of cannabis infused edibles could only increase this risk.

Cannabis consumption in the United States has been around for a long time, but usage is growing as legalization makes it more socially acceptable. Edible cannabis has soared in popularity recently, especially among young adults, and these products are creating a new set of risks. Marijuana-infused edibles take longer for their effect to be felt and when they do kick-in, users could be under the influence of cannabis for several hours. Because edibles take effect more slowly, there is significant potential that a user can take too much before they have even felt the effect of the drug. Bartenders could be surprised to see someone completely sober one minute and clearly under the influence a short time later. Recent studies show that edibles are more likely to send users to the emergency room than its smoked equivalent.

Establishments that serve alcohol are governed in most states by “Dram Shop” laws, which hold them responsible for damages that result from the over-service of alcohol or the service of alcohol to minors. Dram Shop laws explicitly prohibit serving alcohol to people who are visibly intoxicated. While bartenders and servers are trained to spot people who are inebriated, identifying someone who is under the influence of cannabis can be a different challenge.

All of this poses a liability risk for restaurants and bars because it can be murky to distinguish whether a guest caused an accident or injured someone as a direct result of alcohol or a marijuana-laced product consumed at your establishment. Currently, there are no national equivalent cannabis laws to Dram Shop laws, so business owners that serve alcohol may still have to defend lawsuits if their patrons injure people as a result of the over-consumption of cannabis.

Business owners might find it hard to combat this change in culture, but there is hope for businesses willing to remain vigilant. The most effective way to protect your restaurant or bar from liability claims is to stay informed of trends and keep your bartenders trained on proper service of alcoholic beverages. The second is to make sure you are carrying the appropriate liquor liability insurance coverage. Liquor liability insurance protects bars and restaurants when they are accused of overserving alcohol to a patron and that patron goes on to injure someone. Liquor liability insurance will cover the cost of these claims up to the policy limits and the associated defense costs. This insurance will also pay for defense costs if lawsuits are presented that are ultimately determined to be related to the consumption of cannabis rather than alcohol.

Without the proper coverage, businesses could be hurt financially or even forced to close from a single claim involving cannabis. With proper coverage, if it is later determined that liquor was not the driving factor that led to bodily injury, business owners can rest assured knowing that their insurance provider will pursue legal actions to exonerate them in pending legal cases.

Hospitality Insurance Group specializes in providing liquor liability insurance, and our staff can make sure you are adequately protected from claims through your liquor liability insurance package. Even if your business is targeted following an accident linked to cannabis consumption, you can have peace of mind knowing that you are completely covered.

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May 16, 2019by Jen Davey Jen Davey No Comments

Hospitality Insurance Group Bids Farewell to Retiring Board Member Gerald Cassidy

SOUTHBOROUGH, MASS. (May 16, 2019) — A founding member of Hospitality Insurance Group’s Board of Directors has retired. Gerald Cassidy, who brought decades of insurance experience and knowledge to the Board, announced his retirement on May 8, 2019.

Cassidy served as the President and Chief Executive Officer of Hospital Underwriters Mutual Insurance Company (HUM) when he was a founding member of the board in 2008, and he delivered valuable guidance throughout his tenure.

“Hospitality Insurance Group is deeply appreciative of Jerry’s commitment to the Board, and his counsel and opinions on a myriad of insurance issues. A board member with Jerry’s expertise and enthusiasm will be greatly missed,” said Richard E. Welch, Jr., President & CEO of Hospitality Insurance Group.

“I have had the privilege of serving on several boards with Jerry over the last four decades. He was a gifted insurance professional and a valued personal friend,” said William T. McGrail, HIG Chairman.

Cassidy’s extensive experience in the insurance industry helped guide important decisions that have expanded the operations of Hospitality Insurance Group. Highlights from Cassidy’s time on the Board include voting on the acquisition of Eastern Casualty and prompting the use of their inactive licenses. He was also involved in transitioning Liquor Liability Joint Underwriting Association of Massachusetts, initially created by legislators in Massachusetts, to Hospitality Mutual Insurance Company and Hospitality Insurance Company — which both co-operate as Hospitality Insurance Group.

A seasoned insurance executive with over 50 years of experience, Cassidy served in managerial roles at St. Paul Fire & Marine Insurance Company and the Phoenix of Hartford Insurance Company.

Cassidy has also lent his expertise to other boards and committees throughout his career. His additional appointments include being on HUM’s Board of Directors and its Executive, Finance, and Employee Benefits Committees, as well as serving on the Board of Directors of Child’s Hospital in Albany, N.Y., Chairman of the Hospital Insurance Forum, and Vice Chairman of the Massachusetts Reinsurance Plan.

Cassidy plans to spend his time between Florida and Maine, where he will enjoy spending more time with his grandchildren and playing golf.

About Hospitality Insurance Group

Hospitality Insurance Group (HIG), headquartered in Southborough, Mass., provides commercial property, general liability, liquor liability and excess policies to owners of establishments that serve or sell liquor, including bars, taverns, restaurants, social clubs and liquor stores, as well as caterers and other qualified businesses. HIG writes insurance in seven states that include Connecticut, Massachusetts, New Hampshire, North Carolina, Pennsylvania, Rhode Island and Vermont.

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September 25, 2018by Jen Davey Jen Davey No Comments

Meet Our Administrative Assistant, Christine!

In August, we welcomed Christine to Hospitality Insurance Group as an Administrative Assistant at our headquarters in Southborough, Massachusetts. Get to know Christine in our latest Q&A interview below.

What is your full name?

Christine

Where do you live?

Sutton MA.

Tell us a little bit about your background.

Retired from the Massachusetts Department of Correction after 32 years of service. Began my career as a Correction Officer at the women’s facility in MCI Framingham and transferred to North Central Correctional Institution in Gardner MA. which is a male facility. During my tenure with the DOC I held numerous positions to include investigator and ascended to the rank of Superintendent.

Since we’re in the hospitality business, what is your favorite drink of choice to order when out with friends? (cocktail, beer, wine, etc.)

DiSaronno on the rocks.

What is your favorite restaurant in your area?

Mare Y Monte in Worcester

What do you enjoy doing most in your spare time?

Golf and anything outdoors, Working out at the gym.

If you could go to any Boston sporting event, what would it be? (Boston Bruins, Red Sox, Patriots, Celtics)

Patriots

Tell us something that makes you unique or something wacky, yet interesting about you? I enjoy riding a motorcycle.

How can people contact you?

Christine Verdini
Administrative Assistant
Hospitality Insurance Group
Office: 774-512-9258
Cverdini@hmic.com

December 15, 2017by Jen Davey Jen Davey No Comments

Meet Hospitality Insurance Group’s New President And CEO

We are pleased to announce Richard (Dick) E. Welch, Jr. as our new President & CEO. He will assume responsibilities in January 2018 and will succeed John W. Tympanick, who recently announced his retirement after 26 years of service with the company.

Dick brings decades of property and casualty insurance experience to Hospitality Insurance Group. Previously, he was the Vice President of Corporate Planning for The Concord Group of Insurance Companies in Concord, New Hampshire, the Founder and Principal of REW Insurance Consulting Services and President and CEO of the Premier Insurance Company of Massachusetts.

Dick brings with him a strong track record in directing insurance operations and has demonstrated skills in financial management and strategic planning.

“I am excited to be joining a strong team and a quality organization at Hospitality Insurance Group,” says Welch. “I look forward to working together with the HIG team and its agents to continue growing the business by providing superior protection and outstanding service to the hospitality industry.”

Dick is a former member and Chairman of the CAR Actuarial Committee, Massachusetts Property Insurance Underwriting Association and Center for Industrial Mathematics and Statistics at Worcester Polytechnic Institute. He also served on the Board of Directors at Premier Insurance Co of Massachusetts, First Floridian Auto and Home Insurance Company, and First Trenton Indemnity Company. He holds a Bachelor of Arts degree in Economics from Columbia University in New York.

Dick currently lives in Holden, MA with his wife, Lori.

According to Bill McGrail, Chairman of the Board of Hospitality Insurance Group “We are fortunate to have a person
of Dick’s caliber on board and are confident he will bring the company the leadership it will need in the coming
years.”

September 18, 2017by Jen Davey Jen Davey No Comments

August 2017 Liquor Liability Policies

Take a look at some of the policies Hospitality Insurance Group wrote in August 2017 including the type of coverage included, insurance discounts applied and a glimpse at the total insurance premium.

Irish Pub in Lancaster, PA
Coverage Needed: Liquor Liability
Limits: 1M/1M/2M
Total Sales: $3,750,000
Liquor to Food Sales Ratio: 47%
Endorsements: N/A
Discounts Applied:
– Alcohol Awareness Training
– Membership Credit (PA Taverns Association Membership)
– Elite Discount Applied
Total Premium: $21,484

Bar in Jacksonville, NC
Live Entertainment
Coverage: CP, GL & LL
Limits: 1M/1M/2M
Total Sales: $2,156,000
Liquor to Food Sales Ratio: 40%
Endorsements: GL A & B, Property Damage
Discounts Applied:
Alcohol Awareness Training
ELITE Discount
Membership Credit (North Carolina Restaurant Lodging Association)
Total Premium: $15,672

Bar in Chicopee, MA
Coverage Needed: CP, GL and LL
Limits:
CP: Business Personal Property $100,000 – 80% at Replacement Cost; Business Income $160,000 – 80%; Spoilage $10,000
GL: 1M/1M with $180,000 total sales, 1 Additional Insured and Hired and Non-Owned Auto Liability
LL: 1M/2M with $160,000 liquor sales, 1 Additional Insured
Total Sales: $180,000 Total sales – $160,000 of this total was liquor sales
Liquor to Food Sales Ratio: 89%
Endorsements:
GL: Hired and Non-Owned Auto and Additional Insured
LL: GL A&B, Property Damage, and Additional Insured
Discounts Applied:
LL: Mass Restaurant Association
Total Premium: CP: $1,877; GL: $1,888; LL: $6,131 – Total Package with Liquor: $9,896

Restaurant in Newton Center
Coverage Needed:  Liquor Liability only
Limits: 1M/1M/2M
Total Sales: $2,686,000 total – $1,040,000 of this is liquor only
Liquor to Food Sales Ratio:  39%
Endorsements:  GL A&B, Property Damage and Additional Insured
Discounts Applied:  TIPS (alcohol awareness credit) and Mass Restaurant Association
Total Premium: $10,681

October 2, 2015by Jen Davey Jen Davey No Comments

Liquor Liability: The Season to Sell

Looking to target bars, restaurants, social clubs and the like? There’s no better time than now.

Since 2010, the Commonwealth of Massachusetts has mandated all liquor licensees provide proof of insurance to their local licensing authority when filing a request for a new liquor license or when renewing an existing liquor license. With all licenses renewing on January 1st, now is the time to target these establishments to ensure they not only have the coverage mandated by the state but the coverage they need to protect their establishment against costly claims.

The Act has two components: (1) it mandates liquor liability insurance for establishments with pouring licenses, and (2) it revises existing law to be consistent with the new mandatory liquor liability insurance requirement. The first component is discussed below.

Mandatory Liquor Liability Insurance Requirements

The law requires liquor licensees serving alcoholic beverages on premises to obtain liability coverage for bodily injury or death for a minimum amount of $250,000 for injury to or death of one person, and $500,000 for any one accident resulting in injury to or death to more than one person. Insurance companies offering such coverage must do so in accordance with the ratemaking provisions and filing requirements of the Massachusetts Division of Insurance.

The law requires that any applicant for a pouring license or for renewal of a pouring license must file a certificate of insurance in a form acceptable to the local licensing authority prior to issuance of any such license or renewal.

What does this mean for agents?

There is no better time than now to target those liquor-serving establishments, but don’t wait until the last minute. Hospitality Insurance Group is ready to accept applications to provide a comprehensive and competitive quote. We will work with you to issue your liquor liability policy so you can align all of your client’s coverage’s into one expiration date.

We now offer:

Package Policies (Property and General Liability)
Stand-alone Liquor Liability with optional GL Assault and Battery
Stand-alone General Liability
Excess Liability (up to an additional $3 million)
Property Damage

So if you haven’t tried Hospitality Insurance Group lately, please give us the opportunity to provide you with superior service and competitive pricing. When talking liquor liability, this is the season to sell.

John Tympanick is the President & CEO/Director of Hospitality Insurance Group

Please be advised that the opinions expressed are the views of the author alone and should not be attributed to any other individual or entity and shall not constitute a legal opinion.