In a previous article we discussed the different types of insurance one can get for your mobile food vending business.  Now here are the reasons on why you should insure your food trucks and trailers as given to us by Joel Paprocki of insuremyfoodtrailer.com.

1) Its the law.  States require all vehicles on the road to carry insurance.

2) Opens up opportunities.  Without a general liability policy on your truck, events, landlords, and commissary kitchens won’t work with you.

3) Sound risk management and peace of mind.  If you invest thousands into your truck and countless hours building your business you don’t want to see it end in a split second from an accident or theft.

4) Its socially responsibly.  The last thing you want to do is injure someone or damage their property with no way to help.  Insurance provides a means to compensate others for accidents.

5) Protects your employees.  Employees are often like family (or are family), and Workers Comp insurance compensates them and pays medical bills if they are injured doing their job.

6) Legal protection.  Insurance companies pay attorney’s fees on your behalf, even for frivolous claims.

7) Protection for your assets.  Accidents happen, and without insurance your assets and your business are on the line.

Joel also reminds us on some important details one should consider in their food truck insurance policy.

1) Standard practice in property coverage is limited to just the business address.  Meaning if you go to an event away from your main location you lose coverage unless you have a special type of property policy called an inland marine policy.  An inland marine policy is designed to cover property that moves.

2) Make sure your business owner policy is designed for a food vending operation and not a restaurant.

3) Insure the full value of your trailer.  You must insure to value to make sure the insurance company will fully reimburse you if a claim occurs.

4) Have coverage for items not attached to the trailer.  These items should be covered under a separate coverage for contents.

5) Do not endorse your personal auto policy with the trailer.  At best these policies do not cover your contents in the trailer and at worst exclude coverage because of the business use of the trailer.

For additional questions and for insurance coverage custom made for mobile food vendors please contact Joel Paprocki – CIC, CPCU of Paprocki Insurance Agency.
Phone: (800) 985-7859 and (512) 551-0337 Fax: (512) 535-0495
Location: 12600 Hill Country Blvd. Suite R-275, Austin, TX 78738