Do you want to run a catering business and want to go mobile with a truck? If YES, here is a complete guide on how to get insurance cover for your catering van.
If you run a mobile catering business, then you must have a van or some other vehicle—such as a trailer or truck—for conveying prepared food from your kitchen to the point of sale. In fact, your vehicle is your most important equipment because it is what places your business directly before customers.
Mobile catering businesses use either vans or trailers. While many might think there’s not much difference between these two, in reality, there is. A van can be driven, but a trailer must be towed by another vehicle—even though they both share the same purpose.
In this article, I will be discussing the available insurance policies for mobile catering vans, the importance of mobile catering van insurance, and how to get insurance cover for a mobile catering van. So, if you use a van to convey the offerings of your mobile catering business, this post is for you.
What are the Available Insurance Policies for Mobile Catering Vans?
There are many insurance policies for mobile catering van owners, which can help protect them and their businesses from liabilities. Before choosing any of these options you need to consider certain factors, such as the size of your business (in terms of employees), market and industry requirements, state regulations, and so on. Here are some of the commonest insurance policies available for mobile catering van businesses:
This insurance policy isn’t made specifically for mobile catering vans. But it can protect your business from liabilities due to injury, food contamination, or other reasons, since it covers a wide range of risks that all businesses face.
For example, if one of your employees sustains any injury while doing his or her work in your mobile catering van, or a customer falls ill after eating food bought from your van, you may be held liable. And if a lawsuit is filed against you, you may end up losing huge sums of money to litigation. However, a General Liability Insurance policy will protect you from such.
This type of insurance policy also protects your business from being crippled by the sudden loss or damage of any of your major equipment.
- Product liability insurance
This type of insurance policy protects your business against liabilities that can result from the products you offer, such as claims made against you if you accidentally serve beverages that make your customers ill with food poisoning. Such mistakes can occur even if you rigorously check your ingredients for quality and maintain a high level of hygiene in your kitchen.
Even when the ill customer’s claims against you are justified, product liability insurance will pay for their medical expenses. However, this type of insurance policy does not protect your equipment.
- Public liability insurance
A public liability (or PL) insurance policy is meant to protect your business against claims made by members of the public—not necessarily your customers—who may have experienced accidental injury or damage at the hands of your business.
For example, the owner of a stray dog crushed to death or badly injured by your catering van can file a lawsuit against your business. In the event of such, a PL insurance policy will come to your rescue.
- Employers’ liability insurance
This type of insurance policy is legal requirement for business that hire employees. So, if you have hired some employees to work for you, the employers’ liability insurance will help you meet the costs of legal fees and a damage payout if any of your employees should sustain some injury of fall ill while at work. And it goes without saying that such can happen easily in the kitchen where your products will be prepared.
How to Choose a Good Insurance Policy for your Mobile Catering Van
Having understood the different types of insurance available to catering van businesses and the importance of each, you need to match the advantages of each policy to your business to figure out which option of best for you.
Regardless of the option you decide to go for, there are certain factors that may affect the cost of your mobile catering insurance premium, such as gross weight, no claims bonus, and so on. But you as the business owner may not understand these factors, yet you need to understand them to make a well informed decision.
Even after choosing what you think is best for your business based on your personal findings, you must contact a seasoned insurance agent who will weigh other factors you may not have considered. This will help you make a choice that will benefit you in the long run.