The fast-food delivery service can be a dangerous job. Since you have to deliver the food within a short timeframe, you can feel a lot of pressure, making you drive a lot faster and potentially causing accidents. That’s why you need to get proper insurance before you start working as a delivery man.
The first thing you need to know is what type of insurance is right for you. Some insurance companies work with food delivery services, and some don’t. You also have to think about where to invest your money because the prices vary substantially.
In other words, you have to get your priorities straight. We believe that insurance might be the last thing on your mind, but having it will help you worry less, and it will prevent disastrous consequences.
With that in mind, here’s everything you need to know about food delivery insurance.
What exactly is food delivery insurance?
Food delivery insurance is commercial insurance that covers the food delivery business. If you work for services like Uber Eats, Just Eat, or DoorDash, you won’t benefit from standard vehicle insurance. If you get into an accident, you will be in big trouble – you can end up paying a lot of cash for the damage and possible injuries.
Note that commercial insurance premiums can cost a lot more than the standard ones. You will usually drive in the nighttime and under high pressure, so you’ll need proper food delivery insurance coverage while on the road.
Food delivery insurance types
Vehicle insurance can be divided into three categories:
- Fully comprehensive insurance;
- TPFT insurance;
- TPO insurance.
Fully comprehensive insurance is the top-rank cover level for your vehicle. It covers your vehicle and the others caught in an accident where you could be the one to blame. It covers vehicle theft or fire damage.
TPFT (Third-party, fire, and theft) covers the damage of other people’s goods and the case of injury. It also covers the case of fire and vehicle theft.
TPO (Third party only) covers the damage or injuries of the third party, as the name suggests. Although it’s the lowest level of coverage, it isn’t cheap.
Depending on which insurance you choose, you can get better coverage. The most standard variant is the windscreen cover. If you’re driving a car or van, your windscreen must be in good condition so you can have a better view of the road, but external obstacles can often bump into your windscreen, causing damage. This is the cover you need if you want to avoid replacing or repairing your windscreen out of your pocket.
If you want a van or car replacement when yours suffers extensive damage, you can choose a courtesy cover. Regardless of the type of vehicle you drive, you can go with employer’s liability, as well as with public liability. The employer’s liability covers the injury of the employee, while public liability covers the cost of injuries and the damage of the third party.
There can be different insurance policies between the specific insurer and the policyholder. See if there is a courier car insurance policy because it can cover your vehicle during delivery. You can also look for a hire or reward type of insurance. You have many subsets of food delivery insurance, so you’ll have to do some research.
Food delivery by car
To cover the potential damage or accident on the road, you have to get food delivery insurance. If you drive a car, look for cheap car insurance for delivery. If you have this insurance, you’ll be happy to know that your car parts will be fixed or replaced if needed.
You have to notify your insurer if you are using your car for the job. Anything you claim won’t be accepted if you don’t do that on time. That can cause you a lot of trouble, especially if food delivery is your only job. That’s why you need to research companies that provide the type of coverage you need with an affordable insurance premium.
Food delivery by motorbike, scooter, or moped
If you’re driving a scooter, bike, or moped, you would have to look for similar options. Riding on two wheels is even riskier than driving a car, and your situation can change drastically every time you head off to the next location. You have to tell your insurer that you’re using your bike for the job – the insurance premium can be costly, so look for good and budget-friendly options. It’s usually the cheapest for scooters.
Food delivery by van
Although they have the largest capacity, these vehicles can be very demanding. Because of their size, they can take up a lot more traffic. If you use a van for food delivery, you must upgrade your insurance to courier vehicle insurance or catering van insurance. Look for hire or reward insurance that will cover the carriage of goods.
Food delivery by bicycle
If you choose to ride a bicycle when making deliveries, you need a cyclist liability policy. This type of coverage is perfect if your bike is stolen, damaged, or lost. The downside is that it won’t cover you if you cause damage to the other vehicle. In that case, look for bicycle liability insurance. Unlike with cars or bikes, the good thing is that you don’t need insurance, as it isn’t a legal requirement.
When you work for a food delivery service and constantly maneuver through traffic, you need to consider insurance. While you may be confident in your driving skills and situational awareness, things can go wrong when you least expect them. Some options are costly, but they can protect you when it matters the most – it’s always essential to think about your priorities and look for the best option available.