What insurance does a shisha lounge need in Australia?

At minimum, shisha lounges need Public Liability Insurance to cover customer injuries and property damage. Most venues also require contents insurance, glass cover, and product liability. If you employ staff, Workers Compensation is mandatory.

Interior of a shisha lounge with ambient lighting representing hospitality venue insurance needs

Shisha Lounge Insurance

Q: Are shisha lounges harder to insure than regular cafes?

Yes. The combination of open flames, hot coals, and smoke creates a higher risk profile than standard hospitality venues. Many mainstream insurers decline shisha lounges outright. Specialist markets are required.

Q: Can I get insurance if other brokers have declined my shisha lounge?

Yes. Specialist brokers work with underwriters and Lloyd's of London markets that consider higher-risk hospitality businesses including shisha venues that have been declined elsewhere.

Specialist cover for hookah cafes, argileh lounges, and waterpipe venues. Protection against fire, liability, and the unique risks of your business.

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Recognition

Shisha, hookah, and argileh lounges face unique risks that mainstream insurers often do not understand. We specialise in placing cover for waterpipe venues that have been declined elsewhere.

Get a Quote Call 02 9000 1155

The Challenge

Open flames, hot coals, and smoke from hookahs create a risk profile that many insurers will not touch. Add liquor licensing and late-night trading to your shisha or argileh lounge, and finding adequate cover becomes genuinely difficult.

Our Approach

We work with specialist hospitality insurers and Lloyd's of London markets that actively write hookah cafe and waterpipe lounge cover. The key is presenting your risk properly, and that is what we do.

WHY TANK INSURANCE

Why hookah and shisha venues come to us

Running a hookah cafe or argileh lounge means managing risks that most hospitality businesses do not face. We understand waterpipe operations and know which insurers will consider them.

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Specialist Market Access

We work with underwriters who understand hookah, shisha, and argileh operations. These are not the same insurers you find through online comparison sites.

Declined Risk Specialists

If you have been knocked back by other brokers or insurers, we can often find a solution. This is a significant part of what we do.

Comprehensive Cover

From public liability to contents, glass, and product liability, we build packages that cover your actual exposures.

Claims Support

When something goes wrong, we advocate on your behalf. A broker who knows your industry can make a real difference at claim time.

RISK ASSESSMENT

Unique Risks of Hookah and Shisha Venues

These are the exposures that make shisha, hookah, and argileh lounges harder to insure than standard hospitality venues.

Fire hazards from charcoal heating and hot coals

Burns to customers from equipment or accidental contact

Smoke inhalation and ventilation compliance issues

Slip and fall incidents from spilled liquids or hoses

Product liability for tobacco and accessories sold

Property damage to leased premises

Food safety if serving meals or beverages

Liquor liability if holding a liquor licence

POLICY SCOPE

What Shisha Lounge Insurance Covers

A comprehensive shisha venue insurance package typically includes several types of cover working together.

Interior of hospitality venue representing business insurance coverage needs

Usually Covered

✓ Public Liability - Customer injuries, burns, slips and falls.

✓ Product Liability - Claims arising from tobacco or accessories sold.

✓ Contents Insurance - Furniture, shisha equipment, and stock.

✓ Glass Cover - Shopfront windows and internal glass.

✓ Business Interruption - Lost income if you cannot trade.

✓ Fire and Theft - Protection for premises and contents.

Not Typically Covered

✕ Deliberate illegal activity or non-compliance with regulations.

✕ Claims arising from unlicensed operations.

✕ Employee injuries (Workers Compensation required separately).

✕ Motor vehicle incidents (Commercial Motor required).

✕ Cyber attacks and data breaches (Cyber Insurance required).

✕ Professional advice errors (not applicable to most venues).

QUESTIONS

Shisha & Hookah Insurance FAQs

01 What insurance does a shisha, hookah, or argileh lounge need in Australia?

At minimum, hookah cafes and waterpipe lounges need Public Liability Insurance to cover customer injuries and property damage. Most shisha venues also require contents insurance, glass cover, and product liability. If you employ staff, Workers Compensation is mandatory.

02 Are hookah and shisha lounges harder to insure than regular cafes?

Yes. The combination of open flames, hot coals, and smoke from waterpipes creates a higher risk profile than standard hospitality venues. Many mainstream insurers decline hookah cafes and argileh lounges outright. We work with specialist markets that understand these risks and can provide appropriate cover.

03 Does public liability cover burns from shisha or hookah equipment?

Yes, provided the incident arises from your normal business operations and you have followed reasonable safety procedures. Burns from hot coals or waterpipe equipment are a common claim type for hookah and argileh venues, which is why adequate cover limits are important.

04 What liability limits do shisha lounges typically need?

Most shisha lounges require a minimum of $10 million public liability. If your lease or local council requires higher limits, we can arrange cover up to $20 million or more depending on your circumstances.

05 Can I get insurance if other brokers have declined my hookah cafe or shisha lounge?

Yes. This is common for waterpipe and argileh venues. We work with specialist underwriters and Lloyd's of London markets that consider higher-risk hospitality businesses. If you have been declined elsewhere, get in touch and we will review your situation.

Insurance for Hookah, Shisha, and Argileh Venues That Actually Works

Whether you are opening a new hookah cafe or waterpipe lounge, renewing your policy, or have been declined by other insurers, we can help find the right cover.

Call 02 9000 1155 Request a Quote →

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