Food Trucks, Pop-Ups and Restaurants: When do you need insurance?

Not everyone who wants to sell food in Cincinnati, OH has the money, or the interest, to rent out a building and create a whole sit-down eating experience. There are plenty of people who are more than happy to run a food truck or a simple pop-up or a stand at local fairs and festivals and farmers markets.

The question then is: What are the insurance needs for these eateries? Obviously, you don’t have the same risks as restaurants, but you do need some sort of protection. Here’s what you need to know:

  • Going without insurance isn’t worth the risk. Plenty of people run food trucks and pop-ups with no insurance or permits, and plenty of people wind up paying the price in heavy fines and paying for liability suits out of pocket. Don’t risk it. If you’re running a business that sells food, you need to do it all above board.
  • The cost of insurance is usually scaled on how much you’re making. The cut-off is different from insurer to insurer, but the reasoning is simply that a food truck making six figures a year has a lot more at risk than one making only a little bit of supplemental income for the owners.
  • Professional liability is a necessity. Just because you’re not running a physical property doesn’t mean you can’t be held accountable if someone slips on your cooking oil or turns out to be allergic to something you serve.
  • Insure the truck’s contents. It’s not hard to find a used food truck for cheap, but once you’ve added propane tanks, stoves, mini-fridges, and inventory, the value stacks up quickly.

As a general rule of thumb: If you’re running a business, get covered. Especially if you’re serving food. Advantage Insurance Network can help to protect you and your business.