It’s a restaurant…it’s a vehicle…nope, it’s a food truck, and it needs coverage too. When you take two insurable things — like a vehicle and a restaurant — and combine them, you may not know where to begin when it comes to insuring the business. However, your clients who own food trucks need to know that getting their business covered should be top priority. So, what are the three things your clients should make sure they have covered before opening up shop? Let’s take a look.
Think about it — the basis of a food truck is a vehicle. Don’t all vehicles need coverage? Make sure that your clients have their food truck covered by a commercial auto liability policy as soon as they get the keys. Your clients should know that many commercial auto insurance policies won’t cover any kitchen equipment, so be sure to get a separate policy for that. It’s important to always check driving history for anyone who will be getting behind the wheel of your food truck.
Congrats — the vehicle is covered! But what about other equipment? Or the intangibles that make up your client’s business as a whole? Covering those requires commercial general liability and commercial property insurance. General liability insurance will protect the food truck business if your client gets sued for anything from making false claims in marketing material, to making food that causes someone to get sick. Commercial property insurance covers damage to property and equipment like kitchen equipment, computers used to run the business or any other property your clients may use for their business.
At some point in time, an employees will probably get injured leaving your client stuck with a bill. Having workers compensation insurance will protect from financial loss associated with paying employee’s medical bills. Work-related injuries are not limited to so-called “dangerous” jobs — they can happen in any industry at any time. It’s important that your clients have worker’s compensation insurance for these unpredictable instances.
Chances are your clients are starting to think that owning their food truck is just stressing about how to prevent accidents. It’s important to assure them that insurance is simply a precaution and they may not ever need to use it. But, alas, no one ever plans to get in an accident, so protecting yourself with a solid insurance policy is one of the most important things you can do as a business owner.
At ASL, our goal is to help you find the right coverage for your clients — whether we offer it or not. While we do not have markets for the worker’s compensation or auto portion of the blog above, we can assist in pointing you in the right direction of someone who does. Leave a comment below letting us know what risks you’re working on and let’s get them covered, together.