Food trucks will require auto insurance by law, where as a food trailer may or may not need a separate auto insurance policy.
When a trailer is being pulled the auto liability (property and injury to others) comes from the auto insurance on the vehicle pulling it.
Depending on your use of the trailer and your personal auto carriers guidelines, you may need to switch to a commercial auto policy.
General liability covers bodily injury or property damage to others.
This includes your products (food), your premise (slip and fall), personal injury / advertising injury (libel and slander), and property damage to others. The best part is it also covers the legal fees to defend such claims, even if its found you were not at fault!
An example of each:
Someone with a food allergy gets sick and blames your business for not disclosing the ingredients properly. Or the best know example, the coffee is too hot!
You owe an extra duty of care to guest of your business to keep them safe. If they trip over an uneven surface, or a chair you provide breaks and causes injury you can be found liable.
If you unintentionally infringe on a trade mark of another business, that company may sue you for damages.
If your kitchen causes a fire and the fire was to spread to neighboring property, the policy will cover those damages you are found to be negligent for. It's important to note general liability does not cover property damages to others while being towed, that coverage comes from the auto policy. It is also subject to a limit of 100K for property that is owed by your landlord.
The amount you should insure your truck or trailer for is the actual cash value. In other words at the current value, not the value it would cost to buy a brand new truck or trailer.
This is similar on how personal autos are covered by insurance. In the event of a loss the insurance pays on the current value taking into consideration the condition and age of the property.
For more info check out our blog post: What is the value of your food truck or trailer?
The trailer property value includes the trailer and attached equipment. Attached equipment is defined by anything bolted to the trailer or attached by plumbing or gas line.
Contents is property that is not attached to the trailer.
Example: A fridge can be considered attached (trailer) if it is bolted to the trailer, or it could be consider not attached (contents) if it is just placed in the trailer with no bolting.
No we do not in most situations, while others often charge up to 100 more per adding an additional insured!
Meaning no charge for adding commissary kitchens, landlords, events, etc. Just Email, call, or fill out our online form and we respond fast, and at no additional charge.
Note that one of our insurance carriers does provide the first 6 free and charges $10 per additional insured there after. We will let you know if we quote with that company.
An additional insured is a person or organization, that you are doing business with that is added to your insurance policy.
By adding an additional insured, you are extending coverage on your policy to protect the person or organization from claims resulting from your negligence.
For example: A suit from a customer eating spoiled food. Since the lawsuit would sue you, and most likely the venue, your policy would help protect both of you.
The additional insured will want to be shown proof of being added. This is accomplished a standard form called an Acord 25. Some agencies will charge extra for this work; we do not. We also offer a form for the information needed to generate the certificate for you here.
You should buy food trailer insurance for several reasons.
For Liability claims the deductible is 0.
Meaning if a lawsuit occurs it can be turned over to the insurance company, protecting you from paying costly legal fees.
On property coverage the typical deductible is 500 per occurrence.
In some states the policy fee is fully earned (no refund) but the premium can be prorated cancelled. In others the policy premium is considered fully earned and no prorated refund can be provided.
Yes! While food trailers and food trucks are our niche market, the insurance product we use is broad in its focus. We also offer great coverage for the below types of vendors.
Yes, we cover both.
Our property coverage covers your trailer like a trailer and not a building. We cover collision, theft, vandalism, weather, and more, regardless of the location.
Even if your trailer is stationary many policies that cover your trailer as a "building" will not cover the trailer if its moved or stolen.
We offer short term policies for general liability for food trailers and concessions, but not property insurance coverage. The terms are 1-5 day policy, 1-30 day policy, and anything greater than one month is an annual policy.
Food Trucks do not have the short term coverage option.
Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, South Dakota,Tennessee, Texas, Utah, Vermont, Virginia, Washington, Wisconsin, Wyoming.
Please note that note all our carriers offer coverage in all states, but we have at least one carrier to offer coverage within each state.