Restaurant Insurance And The Need For Valet Parking Liability
Most hotels and restaurants include the service of valet parking. Considered a value-added service provided to clientele, its costs and risks are a growing concern. While many establishments choose to employ their own staff as attendants, more are leaning toward contracting outside firms who use their own employees. A very important aspect of restaurant insurance is Garage Keeper/valet parking liability.
Although outsourcing this risk does lessen some of the liability, both in-house and outsourced services have the same everyday problems that may ultimately end up in the establishment's lap. Such going concerns include:
Bodily injury to guests and pedestrians
Property damage to cars driven by valets, and
Damage to vehicles not handled by valets
With seemingly everything becoming more expensive, from the high price of cars to medical bills, no one can afford to make up the costs of carelessness, improper management or inadequate insurance coverage. If there is concern with the valet services currently provided with negative trends occurring more frequently, maybe its time to re-evaluate the valet program. Here are several indispensable guidelines to help to improve the quality of the valet service, ultimately reducing the claims frequency and cost and keeping the goodwill of customers.
With the average age of a valet attendant between 19 and 25, valet parking services tend to have high turnover. While there may not be a shortage of applicants (often local college students), the driving experience of the typical applicant is often less than average. In order to improve the talent pool, a smart business owner must be able to implement a training program or better screening process.
Verification of valid license and driving history
It is fundamental to know that the person being hired has a valid drivers license. It is equally important they have a clean driving history. Employee driving records can tell how responsible these drivers are. Have the applicant apply for the job by supplying his/her driving record. The employer should review their attendant's current driving records annually and perhaps more frequently if there is high turnover.
High performance vehicles add additional risks
If the operator is not acquainted with high-end vehicles such as Ferrari, Porsche, and Corvette, many of these sports cars not only have manual shift, but large
horsepower also accompanies them. An inexperienced attendant could cause major damage to the vehicle as well as to other vehicles or people around them.
General Liability or Garage Liability will cover the insured against claims brought by third parties for bodily injury and/or property damage caused by an attendant, such as hitting a patron with a car in the course of valet parking or hitting another car parked on the premises.
by: Clarence S. Frazier