The Insurance Package For An I-Café
After discussing the various risks that need to be covered by the insurance policy that an owner must purchase for his i-café business, we will now talk about the specific insurance package for each risk. Please note that the insurance package must be of amounts just enough to cover your investment against the risks. It is not advisable to over-insure nor under-insure your i-café: you will just lose both ways.
As stated in my post on the various risks, an i-café, like any other business needs more than just a simple and ordinary kind of insurance. so what are the details of the covers you need? Below are what a non-life insurance company will normally offer as the parts of the insurance package for your i-café:
A) Premises/Operations Liability – indemnifies you for the bodily injury, including death, and property damage to third parties in connection with your business operation. Does this mean that if your customers quarreled and some get hurt or killed, your insurer will pay for the hospital and/or funeral bills? The answer is NO. This cover is for unprovoked incidents only like when your customer got hurt when hit by a falling CPU.
B) Fire and Lightning (F/L) Insurance – Pays for loss or damage of business or leasehold improvements, equipment, furniture, fixtures and other business contents usual to an i-café caused by fire or lightning. Also pays loss or damage due to Broad Water Damage (BWD) as in natural flooding and water from a fireman’s hose when a nearby establishment is burning.
C) Loss of Business Appliance/Equipment and Stocks – Pays for the loss of computer units and accessories including stocks arising from Robbery and Burglary, subject to a deductible of ten (10%) of each loss or a minimum of PhP10,000.00 whichever is higher.
The above are what you want to be included in the insurance policy that you need to purchase for your i-café but the next question will be how much should the amount of cover be for each kind. That will be next in our agenda on this topic. Again, watch for it.