Australia has one of the most envied coffee cultures in the world. After all, coffee legend suggests1 that the very first flat white was lovingly crafted in Sydney’s Moors Espresso Bar in 1985 by its owner, Alan Preston, after customers grew tired of fluffy cappuccinos.

Fast forward to 2023 and Aussies’ love affair with barista-brewed coffee and coffee culture is very clearly alive and well and here to stay. Indeed, our quest for caffeine will outlast us all.

Notwithstanding, rising interest rates and increases in produce costs2, coupled with waning consumer discretionary spending, has created a perfect storm for café owners in 2023. The challenges for café owners are only being compounded by increases in business expenses such as utility costs. Recent research by Reuters3 found that the cost to make popular cafe orders has risen by 17 per cent in just two years.

The compelling case for business insurance* for café owners

In July 2023 CreditorWatch4 noted that the food and beverage sector, which includes café businesses, is one of the riskiest industries for business owners. Earlier in 2023, CreditorWatch5 even concluded that in terms of probability of default by industry, hospitality ranked number one.

With café business owners facing increasing risks that may leave them stuck between a rock and a hard place, it may now be more important than ever for cafe owners to take proactive steps to reduce their business’s exposure to common hospitality risks and review their insurance cover to find ways to save extra cash on their premiums.

“Aussies love good coffee and coffee culture is alive and kicking in 2023,” says BizCover’s Head of Marketing, Sharon Kenny. “However, if your risks have decreased or if your small business operations have changed, it’s a great opportunity to review your business insurance. What many café owners might find is that when they lower their risks, their premium might decrease too.”

Kenny continues, “BizCover is here to help café business owners manage their risk by making it quick and easy to compare multiple quotes from different insurers and enjoy instant savings when you buy online.”

How business insurance can have your back

There are several types of cover that hospitality business owners can consider. Just to name a few, these include:

  • Public Liability: This type of cover protects you if a customer, supplier, or member of the public suffers personal injury or damage to their property due to your negligent business activities.
  • Business Insurance: Damage to your contents (chairs, tables, and other fittings), machinery breakdown, and business interruption.
  • Management Liability: Provides OH&S support including protection against bullying and harassment, discrimination, and unfair dismissal.

However, insurance requirements can vary from state to state, so it is important to check your local and state regulations and insurance requirements.

Choose BizCover for a better business insurance experience

Australia’s coffee culture will endure, but will your café business? BizCover simplifies buying business insurance for busy hospitality business owners by making it fast, hassle-free, and cost-efficient.

Take Hrair, for example, who operates a café in NSW, and saved** $450 when purchasing his Business Pack Insurance through BizCover. Join Hrair and the 6,500*** other Australian hospitality small business owners who insure their business through BizCover and find out how much you can save on your business insurance today.

When you next renew or review your business insurance, visit to compare multiple competitive quotes from selected leading Australian insurers and get instant cover in less than 10 minutes.

  1. Unorthodox Roasters, I’ll Have A Flat White, Please, March 2021
  2. ABC News, Australia’s cafes an early casualty of rising interest rates and produce costs, July 2023
  3. Reuters, Ground down: Australia coffee shops an early inflation casualty, July 2023
  4. Creditor Watch, Momentum slows in Construction and Hospitality sectors, July 2023

         5.    Creditor Watch, Rocky road – key indicators suggest downturn for Aussie businesses has begun,      February 2023

*This information is general only and does not take into account your objectives, financial situation or needs. It should not be relied upon as advice. As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording.

**Savings made in November 2022. This information is provided as a guide only and may not reflect pricing for your particular business, as individual underwriting criteria will apply.

***Based on data from 1 July 2022 and 30 June 2023.

BizCover Pty Limited, all rights reserved. ABN 68 127 707 975; AFSL 501769