Rainbow launches standalone liability coverage for hospitality accounts

Rainbow has introduced a liability-only excess and surplus product for restaurants and other food and beverage businesses in more than 20 states. The launch broadens the company’s hospitality lineup as agents look for more flexible coverage options for multi-location and hard-to-place accounts.

Why it matters: - The new liability-only option gives agents a single policy for general liability, liquor liability, employment practices liability and cyber coverage. - The product is aimed at hospitality accounts that need more flexible placement options, especially when property coverage is difficult to secure. - Rainbow said the launch broadens its platform as demand grows for specialized food and beverage insurance.

What happened: - Rainbow launched standalone liability coverage on an excess and surplus basis. - The product is available in more than 20 states, including California, Texas, Louisiana, Florida, Georgia and the Carolinas. - The coverage is live on Rainbow’s proprietary digital platform and is available to appointed retail agents in eligible states. - The program is written on Sierra Specialty Insurance Company paper, rated A- (Excellent) by AM Best with a Financial Size Category of XV.

The details: - The standalone liability product sits alongside Rainbow’s restaurant-specific lineup, including an admitted business owners policy, a non-admitted BOP for older buildings and later operating hours, and excess liability coverage. - Rainbow said it is now active across 42 states, covering more than 80% of food and beverage establishments in the U.S. - The new offering is designed for single- and multi-location accounts. - The product is positioned for franchisees and quick-service restaurant operators that often need a more tailored approach to coverage. - Since a soft launch weeks ago, agents have originated millions of dollars of premium in Florida and South Carolina, where hospitality property capacity has been constrained.

Between the lines: - The launch reflects a market where insurers are sharpening appetites for the best hospitality risks while agents look for easier ways to place bundled liability coverage. - Rainbow is using its digital distribution model to push deeper into a niche where speed and specialization can matter as much as price. - The emphasis on dislocated states suggests the company is targeting markets where traditional capacity has tightened.

What's next: - Rainbow is likely to keep expanding the product across additional eligible states as agent demand builds. - The company may use early premium traction to strengthen its position with franchise and multi-location hospitality accounts. - More agents may bring hospitality submissions to Rainbow first if the product continues to fill coverage gaps.