Brokers, your next course is coming right up! If you missed our recent webinar, “Restaurant Business Owner’s Policy (BOP) Q&A: Serving Up Broker Success,” don’t worry. You have the opportunity to gain more insights into our Restaurant Business Owner’s Policy (BOP) that will set you apart from the competition. Access the full recording now!
Get the Business Owner’s Policy (BOP) for Restaurants session handouts here:
+ Slides
Below are some of the insightful questions from attendees during our session.
Eligibility & Appetite
Q: Are new ventures eligible?
A: Yes. When submitting through the portal, please indicate the location has been open for a year and continue with the submission. We do require additional underwriting information on new ventures and the BOP underwriter will be in contact after receiving your submission.
Q: Are restaurants in a mixed use building eligible and do they require a sprinkler system in mixed-use building?
A: Restaurants in mixed-used buildings are eligible for consideration subject to individual underwriting. Provided the restaurant is a tenant and not the building owner, we typically do not require a sprinkler system.
Q: Do you write restaurants located in protection class 10?
A: We will write restaurants in protection class 1-5. Anything higher is out of appetite.
Q: Are there limitations on the age of the building?
A: We do not write building coverage in the program. We do require information on building updates and will review on an individual risk basis but there is no automatic cut-off based on building age.
Q: Are franchise QSR’s like Taco Bell, KFC’s, and Dunkin’ Donuts eligible?
A: Traditional fast food franchises like Taco Bell, KFC, and Dunkin’ Donuts are not eligible. We do write fast casual restaurants, which are one step up from fast food in terms of menu offerings and ambiance. Franchises like Panera, Crisp & Green, or Jimmy John’s would fit this category, as would local delis, sandwich shops, and other limited-service restaurants.
Q: Are restaurants located in FL eligible?
A: The Restaurant BOP is not available in Florida. However, our Restaurant Package program is available in Florida. Email submissions to: [email protected].
Q: Are restaurants with table-side cooking exposures, such hibachi, BBQ or hot pot eligible?
A: Hot pot and BBQ that is cooked at the table by the customers is out of appetite. Hibachi is acceptable.
Q: Are restaurants with catering eligible?
A: We do not write restaurants with full-service catering in the BOP program. If they offer catering with drop-off service only, we would consider as long as auto is excluded. If catering orders are always picked up by customers at the restaurant, the restaurant is within the BOP appetite.
Q: Are pizza shops with a separate delivery policy eligible?
A: If there is first-party delivery service and a separate auto policy, the restaurant is eligible. If delivery is exclusively through a third-party service like GrubHub or Uber Eats, that is also eligible.
Q: Are restaurants with buffets eligible?
A: A restaurant that is solely buffet-style is out of appetite. Restaurants that have a Sunday brunch buffet and/or regular lunch buffets will be considered on a case-by-case basis and require loss runs with the submission.
Q: How are risks with prior claims history evaluated?
A: Restaurants with one or more claims require additional evaluation for frequency and severity. We can often still quote restaurants that have claim activity.
Q: What are your coastal guidelines?
A: For restaurants located 50 miles or less from the coast in AL, GA, LA, MS, NC, SC and TX, the BOP is not available. Coastal locations in the Northeast are evaluated on an individual risk basis.
Q: Are restaurants with food trucks eligible?
A: Food trucks are not acceptable in the BOP program.
Q: What is your underwriting appetite for fast food restaurants?
A: When it comes to fast food, our appetite is focused on fast-casual restaurants rather than traditional fast food.
- Higher-quality, often fresh ingredients
- Customizable meals
- Counter ordering; sometimes table service
- Modern, comfortable café-style atmosphere
- Moderate prices ($10–$15)
- Quick, but slightly slower than traditional fast food
Q: What are the guidelines for acceptable risks?
A: Restaurants are complex and require careful underwriting. Generally, acceptable risks should look like:
- Fast casual; family casual; or upscale dining
- Liquor sales up to 30%
- Gross sales under $5M
- Closes by midnight
- No entertainment (Trivia nights, bingo nights, karaoke, dj’s or pool tables)
Q: Are restaurants with high alcohol receipts eligible for BOP?
A: Our Restaurant BOP program allows up to 30% liquor sales. Over 30% liquor will need to be handed to our Package program.
Q: Are restaurants with CBD/CBN/THC drinks eligible for BOP?
A: Cannabis is specifically excluded in our BOP program. Any restaurant selling food or drink with cannabis products is out of appetite.
Q: Are restaurants going through a restructuring bankruptcy eligible?
A: No, restaurants going through a restructuring bankruptcy are not eligible.
Q: Do you write frame construction restaurants?
A: Yes, we will write frame construction if it is sprinklered. Any frame and non sprinklered building is a decline.
Q: Are drive thru only kiosks for building, equipment and liability eligible for BOP?
A: Drive thru only kiosks are out of appetite. What we look for in our Restaurant BOP is some form of customer service and interaction.
Coverage & Program Structure
Q: Do you offer an umbrella product?
A: Yes, excess is offered over our BOP with limits up to $5M.
Q: What is the maximum number of locations you can write on a BOP policy?
A: The Broker Connect portal will only allow for 2 locations. 3+ locations can be sent to [email protected] via accords.
Q: Will you offer Hired & Non-owned Auto with delivery exposure?
A: Delivery is acceptable if it is by a third party such as Uber Eats or GrubHub. If delivery is provided by your employees, the HNOA coverage will not be provided.
Q: Can the excess policy extend over Work Comp and EPLI, or commercial auto with proper underlying limits?
A: Our excess will go over a work comp policy so long as the carrier is A-rated. We will not extend over EPLI, commercial auto or any other underlying policies outside of our BOP.
Q: Is plate glass coverage available?
A: There is tenant glass coverage included in our policy.
Q: Does the EPLI cover wage & hour?
A: No. EPLI does not cover wage and hour.
Q: Do you exclude wind/hail?
A: Typically not. We may apply a wind/hail deductible for some locations.
Q: Are accounts audited?
A: We do not audit our Restaurant BOP policies.
Q: Are BOP policies rated off sales or square footage?
A: The rating basis is sales.
Q: What are your TIV limits per location on Building/BPP/TIB and/or sales volume permitted in the program?
A: The max TIV per location is $5M and per policy is $10M. The max gross sales (food+liquor) is $5M per policy.
Submission Questions
Q: Is this program available to agencies operating as a sole proprietorship under a DBA?
A: No, this program is not available to agencies operating as sole proprietorship under a DBA.
Q: How do we get appointed with Distinguished?
A: Register your agency with us and you are good to go! Follow this link: Distinguished Programs.
Q: If we have a risk that may not fit the BOP, can we still submit for a Package?
A: Yes, please send package submissions to [email protected].
Q: Will you request POS reports?
A: In most cases, no, but we may do so in certain underwriting situations.
Q: Are renewals automatic or do they require a renewal submission each year?
A: We require a basic renewal submission.
Q: Do you require loss runs in order to get a quote?
A: Many accounts can be quoted without loss runs or quoted “subject to” receiving them at binding. Loss runs will be required prior to quoting in some cases, such as when there is prior claim activity. We may also require loss runs to quote based on premium size or certain risk characteristics.
Expert Panel
Christine Lind, Restaurant BOP Program Underwriter, Distinguished Primary Hospitality
Christine brings more than 30 years of expertise in the insurance industry, starting her career as an Account Manager and progressing to underwriting commercial package policies. In 2025, she joined Distinguished as an Underwriter for our newly launched Restaurant BOP program. Christine lives in North Idaho with her husband and two Jack Russel Terriers. In her free time, she enjoys gardening, camping, and crocheting.
