Since contracts had yet to have been drawn up, our conversations concerning the fit out included theoretical discussion with respect to the contractors’ insurance requirements. For restaurant insurance we discussed aspects from the business plan, such as the fit out budget, which allowed us to calculate the sums needed for the Tenants Improvements Sum Insured, money planned for furnishings and equipment for Contents insurance and financial estimates for the first three years of trading to help calculate the correct Business Interruption Sum Insured, of course taking into account the likely build up of trade. CLEAR continued to assist with the correct calculation of estimations to provide insurers for turnover and payroll together with associated the Business Interruption Indemnity Period. Finally, to protect the business for all eventualities we discussed cover for Key people and their salaries, and we identified the necessary Tronc estimates to allow us to look at Group Personal Accident insurance.
Following the meeting, CLEAR’s adviser worked on quotations and also in providing initial cover. Our work included confidential contact with our client’s accountant to provide breakdown of financials, which hadn’t featured in the business plan. We also provided our guidance having had sight of the building contractor’s contract when this was drawn up to ensure adequate insurance was in place during their involvement.
As the construction and fitting out works drew to a close, restaurant staff were being recruited and contents began to be moved in, CLEAR started to put the various insurances in place ahead of its opening. We attended a final survey with insurer ensure that everything was in order and the policies were deemed valid for our client to begin trading with complete peace of mind.