The food delivery market is booming and expected to be worth $12 billion at the end of 2021. The significant growth is attributed to the high demand for food delivery, as most people prefer that than spend time cooking. While this is a very lucrative venture, it comes with a lot of risks. This is why you need food delivery insurance.
Insurance for food delivery is specifically designed to protect your food delivery business. To shed light on food delivery auto insurance, we will discuss it and mention what it covers. We will also highlight its cost and some of the best insurance companies offering it.
Food Delivery Insurance Cost
The average cost of food delivery insurance is $40 per month. However, it is essential to note that different factors affect food delivery insurance prices. For instance, your location could affect how much you pay for food delivery insurance. Some states have laws regulating the lowest amount of insurance food delivery businesses should have.
In that case, you could be forced to spend more money. Given that food delivery involves vehicles, your driving record also plays a vital role in determining how you pay for food delivery insurance. If you have a history of impaired driving and are likely to cause accidents, the insurance policy will cost more.
It is also important to note that food delivery insurance policies come with varying coverage limits and deductibles — which impact the cost of your insurance package. Therefore, you need to consider all these factors when budgeting for food delivery insurance.
Your business needs a comprehensive insurance cover for food delivery, protecting it against a wide range of liabilities. Keep in mind that business insurance coverage is more costly than the standard personal auto plan. The cost of your insurance policy will also increase when you introduce food delivery insurance or business policy to your personal plan.
Food Delivery Car Insurance Cost
The average cost of food delivery car insurance is $80 per month. You can also choose to pay $650 per month. However, remember that different factors determine the price of food delivery car insurance. For instance, the type of car you drive for food delivery changes the cost of insurance. Some vehicles cost more than others, and the same applies to the insurance cover.
Furthermore, the size of your business also determines how much you will spend on insuring it. Other factors include location, type of insurance policy, and your driving record. Get an accurate estimate of the cost of hot food delivery insurance.
Best Food Delivery Insurance Companies
Having known the importance of food delivery insurance, you might fancy purchasing a policy for your business. Given its demand, many insurance companies offer food delivery insurance. However, not all of these companies offer excellent policies for your business. To help you out, we have sampled some of the best insurance companies offering this policy. They are;
1. State Farm Food Delivery Insurance
State Farm Insurance is one of the oldest insurance companies. Its many years of service has improved its policies significantly. With it, your food delivery business will enjoy comprehensive insurance coverage that protects against many lawsuits. State Farm has a tailored and cheap food delivery insurance that your business needs. The fact that it offers unique insurance cover makes it one of the best in the industry.
State Farm Policy Details
This insurance company offers a wide range of policies that protect your business against various liabilities. Whether it is third-party damage or your driver sustaining injuries while delivering food, this policy covers you. Furthermore, State Farm offers tailored insurance cover that suits the needs of your business.
Pros
- Available in most countries
- Comprehensive insurance cover
- Immediate claim responsiveness
Cons
- Could be expensive
Average cost; $60 per month
Best for: Food delivery businesses with nationwide reach.
2. Uber Eats Food Delivery Driver Insurance
Uber Eats is a company that has been operating for several decades now. The company offers its services in several countries, making access easier. Uber Eats has a lucrative insurance cover that benefits your food delivery business. The fact that you can get a quote online also makes it an ideal insurance company.
Uber Eats Policy Details
If you are looking for a tailored insurance cover for your food delivery business, Uber Eats got it. With their policy, you will enjoy both general and professional liability insurance. Your vehicle is also protected against damages.
Pros
- Offers a deductible reimbursement
- Specifically covers food delivery
- Tailored insurance cover
Cons
- Could be costly
Average cost: $55 per month
Best for: Established food delivery businesses.
3. Axa Food Delivery Insurance
Axa is an established insurance company that has been in operation for a long time now. It offers insurance cover for a wide range of businesses, including food delivery. Axa has offices in every state in the country, making it accessible. If you run a food delivery business, you will benefit from insurance cover. They have an easy-to-use website where you can get quotes from wherever you are.
Axa Policy Details
Axa offers tailored insurance cover that protects against a wide range of liabilities. They have comprehensive general liability insurance that covers several claims. This goes a long way in preventing financial losses.
Pros
- Available worldwide
- Comprehensive insurance cover
- Fast claim responsiveness
Cons
- Not available in some countries
Average cost: $58 per month
Best for: Medium-sized food delivery businesses.
4. Geico Food Delivery Insurance
Geico is one of the oldest and most popular insurance companies in the US. It is easily accessible because it has offices in every state. With Geico, you will enjoy one of the most comprehensive food delivery insurance policies on the market.
Geico Policy Details
Geico offers tailored insurance cover for food delivery businesses. Apart from general liability, this policy also covers professionals. This means that this policy covers you when a client files a claim against you for errors and omissions.
Pros
- Available worldwide
- Tailored insurance cover
- Fast claim responsiveness
Cons
- Some policies could be expensive
Average cost: $55
Best for: Wide-reach food delivery businesses.
Commercial Car Insurance for Delivery Drivers
This insurance policy provides protection against various claims. When getting commercial car insurance for delivery drivers, you should consider the number of vehicles your business has and how many drivers use them. This insurance policy provides liability protection when one of your drivers gets into an accident while delivering food. It also pays for physical injuries and property damage as a result of the accident.
It is important to note that this policy doesn’t cover drivers involved in the accident when driving their personal vehicles — it only applies when driving company-owned vehicles. The same applies to related insurance policies like motorcycle food delivery insurance, scooter food delivery insurance, commercial insurance for food delivery, and food delivery insurance coverage.
