Food trucks are a popular business model in the restaurant industry. Many successful brick-and-mortar restaurants gained a following by starting with a mobile business. Successful restaurants added to their business by taking advantage of high-traffic events by bringing the food to the customers. A food truck might seem like a simple version of a restaurant, but its very nature has inherent risks that can be managed through insurance coverage to protect your business.
Types of Insurance Policies to Reduce Your Risk
Food trucks are both a vehicle and a business. Protecting the vehicle is as important as protecting the business. Consider these types of policies when you're discussing food truck liability insurance with your insurer.
Food Truck Commercial Auto Insurance
When you're on the road, you want a business auto policy that provides liability coverage if you hit another vehicle. Because your food truck is your livelihood, you also should have a comprehensive and collision policy for the vehicle. If you use a food trailer, make sure that the trailer is covered under your comprehensive and collision policy. Your personal auto insurance policy will likely not cover a food trailer.
Protect Your Customers With Commercial Liability Insurance
If one of your customers gets injured or if you cause damage to property when you’re parked and serving food, your auto insurance policy won’t protect you. A commercial liability policy not only pays for damages to property or injuries to people during the course of business, but it also provides legal representation if you are sued. Even if you aren’t negligent, a lawsuit can be expensive.
Protect Your Equipment With Property Insurance
In the insurance world, anything not attached to the food truck is considered separate assets from the truck itself. Property damage insurance covers anything that comes loose if your truck is turned upside down, from computers, food, utensils and more.
Protect Your Team With Workers Compensation Insurance
Anyone who works for you needs to be covered under a separate policy. In most states, workers' compensation insurance is a requirement, even if you only have one employee. This insurance covers medical bills and lost wages in the event of an injury.
Insurance Is Peace of Mind
Discuss your insurance needs with your agent to find ways to manage your big financial losses. An insurance company familiar with taxi coveragecan help you find the right policies that protect your food truck.
About American Risk Management, Inc.
American Risk Management, Inc. (ARM), along with its predecessor entities, has provided public auto business owners with coverage for their vehicles and operations since 1938. We provide coverage to taxis, sedans, limousines, ride-sharing vehicles, sightseeing tours, courtesy shuttles, school shuttles, last-mile delivery, and couriers across the Washington, D.C. metro area. Our expertise and experience in the commercial transportation industry allow us to provide our clients solutions that fit their unique risk profiles. To learn more about what we can offer you, call us today at (202) 547-8700.