Bar & Restaurant Insurance Spain

Thousands of British, Irish, Dutch and Scandinavian expats run bars, restaurants, cafés and chiringuitos along the Spanish coast. It's a rewarding business — and one with more insurance obligations than most owners realise. Getting the wrong cover doesn't just risk a claim being refused; in many regions it can cost you your opening licence. This page explains what a Spanish hospitality business needs and what it costs.

Insurance You Are Legally Required to Have

Public Liability (Responsabilidad Civil)

Most autonomous communities — including Andalucía, Valencia, Murcia, Catalonia and the Balearic and Canary Islands — require proof of public liability insurance before issuing or renewing a licencia de apertura or licencia de actividad. The minimum limit is set regionally and by capacity: typically €150,000 for a small bar up to €600,000–€1,200,000 for a restaurant with a terrace or live music. The town hall will ask for the certificate.

Staff Accident Cover (Seguro de Convenio)

The Spanish hospitality collective agreement (convenio de hostelería) obliges employers to hold an accident policy for employees covering death and disability, on top of Social Security. Inspections by the Inspección de Trabajo routinely check for it, and the fines for non-compliance are substantial.

Cover You Should Seriously Consider

• Contents and equipment (contenido) — kitchen equipment, furniture, bar fittings, tills and stock. Commercial kitchens are a high fire risk and extraction systems are scrutinised at claim time, so declare them properly.
• Buildings (continente) — if you own the premises, or if your lease makes you responsible for it (many Spanish commercial leases do).
• Loss of profits / business interruption (pérdida de beneficios) — pays your fixed costs and lost margin if a fire or flood closes you for weeks. Seasonal businesses should set the indemnity period to cover a lost summer.
• Refrigerated stock (bienes refrigerados) — spoiled food after a power cut or compressor failure.
• Food poisoning liability — usually an extension of the public liability section; check it is included.
• Glass and signage — shopfront glazing, terrace screens and illuminated signs.
• Terrace cover — tables and chairs on the pavement are frequently excluded unless declared, and they are a theft and liability exposure.
• Theft and money — cash in the till and in transit to the bank.
• Legal defence — for licensing disputes, employment claims and neighbour noise complaints, which are common.

What Does Bar or Restaurant Insurance Cost in Spain?

A combined commercial policy (seguro multirriesgo de comercio) for a typical expat-run business costs roughly:

• Small café or bar, no kitchen, two staff: €350–€650/year
• Restaurant with full kitchen and terrace, 40 covers: €700–€1,500/year
• Beach bar / chiringuito or venue with live music: €1,200–€3,000/year

The main rating factors are the presence of a fryer or open-flame cooking, whether the premises has a certified extraction and fire suppression system, the declared contents value, the capacity (aforo) on your licence and your claims history.

Common Mistakes Expat Owners Make

• Taking over the previous owner's policy — policies are not transferable, and the sums insured are usually years out of date.
• Under-insuring contents — Spanish insurers apply average (regla proporcional): if you insure €30,000 of equipment for €15,000, every claim is paid at 50%.
• Ignoring the lease — many leases make the tenant responsible for the building's insurance or for specific risks like water damage to the flat upstairs.
• Not declaring music or events — a licensed bar hosting live music or quiz nights without declaring it can have a liability claim refused.
• Letting the convenio policy lapse — it must be maintained continuously while you have staff.

How We Help

We arrange hospitality cover for expat-owned businesses across Spain, from Costa Blanca cafés to Canary Island restaurants. We will review your lease and licence, work out the limits your town hall requires, and place the policy with the insurer that rates your type of business best. Everything is explained in English, and we handle the claim if something goes wrong — including the paperwork the insurer will ask for in Spanish.