How Delivery Drivers Can Get the Best Auto Insurance Rates

If you're a delivery driver, you'll need food delivery auto insurance because your personal policy does not cover you while you're working. Most employers don't offer food delivery auto insurance either, so you'll be responsible for finding your own delivery coverage. The average rates for food delivery insurance are $304/mo, but our comprehensive guide below will help you find cheap rates for food delivery, pizza delivery, catering, food trucks, and more.

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Sara Routhier, Managing Editor and Outreach Director, has professional experience as an educator, SEO specialist, and content marketer. She has over five years of experience in the insurance industry. As a researcher, data nerd, writer, and editor she strives to curate educational, enlightening articles that provide you with the must-know facts and best-kept secrets within the overwhelming world o...

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Dan Walker graduated with a BS in Administrative Management in 2005 and has been working in his family’s insurance agency, FCI Agency, for 15 years (BBB A+). He is licensed as an agent to write property and casualty insurance, including home, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. He reviews content, ensuring that ex...

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Reviewed by Daniel Walker
Licensed Auto Insurance Agent

UPDATED: Oct 8, 2021

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Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.

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Here's what you should know...

  • There are over six million car accidents in the U.S. every year, and food delivery is one of the most dangerous jobs in the country.
  • Personal policies are not enough for food delivery car insurance, but a commercial policy provides the safest, most reliable option for both food delivery drivers and business owners.
  • Non-owner auto insurance also provides excellent protection for drivers and employees, but only when used actively and ethically.

Food delivery is projected to grow by 12 percent per year through 2023. And if you’re a delivery driver right now, then food delivery coverage is important to understand and have.

We can have just about anything from a toothbrush to a hot meal delivered right to our front door thanks to Amazon, Uber Eats, Grubhub, and millions more restaurants and businesses jumping on the trend with the on-demand food delivery industry.

The first thing you need to know about food delivery auto insurance is that your personal auto insurance policy is not going to cover you while you’re on the clock. Delivery drivers should shop around for commercial auto insurance coverage to protect themselves on the road.

Read our comprehensive delivery driver insurance guide now to find cheap auto insurance rates online and get affordable food delivery auto insurance coverage in your state.

Whether you need insurance for food delivery, pizza delivery, catering, or food truck, our guide will help you find the coverage you need at the best price.

Enter your ZIP code above to start comparing food delivery auto insurance rates from local companies for free.

Use our table of contents below to navigate our guide to find the right coverage for delivery drivers and to learn the key differences between pizza delivery and food delivery requirements.

Table of Contents

Do you need special auto insurance as a delivery driver?

Depending on how often you drive your car for deliveries, your personal auto insurance probably won’t be enough. Personal coverage just covers social use and basic commuting and will not extend coverage for business use.

Here are some real-life examples to help you figure out which type of food delivery auto insurance policy you need:

Personal vs Business Auto Insurance Uses
Personal Auto InsuranceBusiness Auto Insurance
Driving to pick up lunch for you and your co-workersDriving to deliver food to paying customers
Driving to your job siteHauling tools and equipment to your job site
Going on weekend road tripsMeeting work clients and visiting job sites
Driving friends to the airportDriving paying customers to the airport
Using your car for business less than 3 times per monthUsing your car for business 500 miles a week or more
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What category do you fall in?

If your business use is under 100 miles a day and three times a month, then personal coverage might be enough.

Just confirm with your provider because every policy is different and some insurers specifically exclude food delivery from personal policies.

What auto insurance do I need for food delivery?

We recommend that food delivery drivers get a business coverage policy. Personal policies— the minimum coverage required by law— are usually not enough coverage for delivery drivers.

In fact, most providers don’t allow drivers to use personal auto policies as delivery insurance at all. You will have to find a business policy to act as your food delivery auto insurance coverage.

Business policies for food delivery will cover you while you’re traveling long distances to various job sites, hauling equipment or tools, delivering food and other goods, transporting people, and making sales.

Here’s how the Insurance Information Institute puts it:

“Do not expect to rely on a personal umbrella policy for any claims that arise from the business use of a vehicle. Typically, the personal umbrella excludes all claims occurring in the course of a business endeavor.”

For example, auto insurance for Shipt drivers and Postmates would require a business policy, rather than a personal one.

Can you use a personal auto insurance policy to deliver food?

Unless you meet the requirements in the table above, you will not be able to use a personal policy to deliver food.

In fact, most personal plans will not cover you or your vehicle for any sort of extended or direct business use, which most certainly includes a food delivery job.

Allstate, GEICO, Progressive, and State Farm all make clear statements that their personal auto policies do not under any condition cover claims made by employed delivery drivers.

If you get in an accident while using your own vehicle covered by personal insurance while working a delivery job, your claim will be denied, and you’d be hard-pressed to find an exception to this statement.

Business use is not covered by personal insurance. Insurers simply do not need to pay out for business claims on a personal policy.

What happens if I use my personal auto insurance policy for business use?

Any claims you make will be denied if you try to use a personal policy for business use. You could also be accused of fraud by your provider and lose your coverage and even your driver’s license.

Even little white lies on your claim can cost you. Insurers do thorough research before they payout for any claims. If you were using your vehicle to make deliveries of any kind, your insurer will find out.

There are a few ways companies find out about fraudulent claims. The easiest is through police reports taken at the scene.

Accident reports are taken by the police. All witnesses and people involved in the accident are questioned. If you were on delivery, those key details will be in the report. Everyone involved in the crash will also likely be filing a claim, which will include specifics of what you were doing.

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What are food delivery driver auto insurance options?

What you need to know about food delivery driver insurance is that you have a lot of options when it comes to food delivery auto insurance plans.

The table below shows how popular (and dangerous) food delivery is becoming in the U.S.

What You Need to Know About Food Delivery and Auto Insurance
SummaryDetailsFrom Experts...
Food delivery marketProjected to grow 12 percent per year through 2023Forbes
Number of American Employees killed in "transportation incidents," 2016-20174,106U.S. Department of Labor
Number of American employees killed as the result of "falls, slips, and trips," 2016-20171,736 deathsU.S. Department of Labor
Business auto insuranceCoverage costs an average of $304.83/monthQuadrant
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If your employer doesn’t provide coverage, you may be able to purchase an add-on with your current provider or shop around and get food delivery insurance quotes for a commercial or business policy. If you work for a food delivery service app, some of them may offer you some type of insurance coverage while working.

What is the difference between business and commercial food delivery policies?

Many consumers and sometimes even providers use the terms business and commercial interchangeably, but they technically carry different meanings.

Think of business auto insurance as a smaller, more personal type of commercial insurance plan while commercial coverage is a step up from an individual business plan.

Commercial auto coverage is required for certain types of work vehicles, including specialized trade vehicles like cement trucks, dump trucks, large delivery vehicles, tanker trucks, and 18 wheelers.

In most cases, food delivery drivers will only need a business auto insurance policy. Commercial auto insurance is more necessary for a business owner with work vehicles that are driven by employees.

Another big difference between business and commercial here is that commercial coverage is more expensive than a business policy due to risk.

While basic food delivery vehicles are in normal traffic situations and typically only driving to nearby destinations, commercial vehicles are much larger and usually driving further.

For example, buses and tractor-trailers are much larger than typical food delivery vehicles. The larger the vehicle the higher the cost to insure due to the increased risk of damage.

Which companies cover delivery drivers?

Business and franchise owners typically can make their own decisions in regard to insurance, which means the coverage available to delivery drivers might vary from location to location.

Check out the chart below showing which delivery businesses provide coverage for their drivers.

We did extensive research to give you the most current, helpful insurance info we could find and included 32 popular companies that provide deliveries all over the United States.

Companies with Food Delivery Auto Insurance
CompanyFood Delivery Auto Insurance Coverage Offered by Company
Amazon FlexYes
Liability: $1 million
Uninsured/Underinsured: $1 million
Comprehensive and Collision: $50,000
(if you have your own comprehensive and collision coverage)
AmazonFreshYes
Liability: $1 million
Uninsured/Underinsured: $1 million
Comprehensive and Collision: $50,000
(if you have your own comprehensive and collision coverage)
Amazon Prime NowYes
Liability: $1 million
Uninsured/Underinsured: $1 million
Comprehensive and Collision: $50,000
(if you have your own comprehensive and collision coverage)
BitesquadNo
BringMeThatNo
CaviarYes
Up to $1 million per accident for medical expenses
$100,000 accidental death benefit and $100,000 survivor's benefits (eligible dependents)
Accidental Disability benefit up to $500 per week
Delivery.comNo
Domino'sNo
DoorDashYes
Liability: $1 million (you have to exhaust your own coverage first)
EatStreetNo
FoodlerNo
FreshDirectYes
Drivers use a company truck for deliveries
Google ExpressYes
Drivers use a company truck for deliveries
GrubHubNo
InstacartNo
Jimmy John'sNo
Olive GardenNo
OrderUpNo
PaneraNo
Papa John'sNo
PeachNo
PeaPodYes
Drivers use climate control company trucks to deliver groceries
Pizza HutNo
PostmatesYes
Liability: $1 million (you have to exhaust your own coverage first)
PublixNo
Provides delivery through Instacart
Round Table PizzaNo
SeamlessNo
ShiptNo
UberEATSYes
Liability: $1 million
In between trips: $50,000 per person/accident
$100,000 per accident
$25,000 for property damage
VonsYes
Drivers use a company car for deliveries
WalmartNo
Wedgy'sNo
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Some of the companies listed above don’t have commercial insurance policies that cover their delivery drivers as a set rule, but specific store owners can choose to provide auto coverage for their drivers — and some do.

An exception to the above chart would be if business owners decided to have company cars used for their deliveries. In that case, the business would be financially responsible for any damages or injuries caused in a traffic accident while the driver was on the clock.

If your employer doesn’t provide commercial coverage, you can start shopping for your own food delivery policy here with our free quote comparison tool.

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Do delivery services provide coverage for drivers?

Rideshare companies and on-demand food delivery businesses are not responsible for providing insurance to their delivery drivers.

Some rideshare companies do choose to provide full or partial coverage to their drivers, but there are a few fine lines in these policies you need to be aware of.

For example, Uber provides supplemental liability to drivers and will provide additional comprehensive and collision coverage if you already have those plans on your personal policy.

Uber auto insurance coverage is pretty decent, with $1 million in liability coverage and up to $100,000 in collision coverage per accident.

There is one big caveat with Uber: Delivery insurance only applies when drivers are logged in and using the Uber app.

This means that you may be responsible for some or all of the costs involved with an accident that happens in between deliveries.

Regardless of what they provide, rideshare companies require all of their drivers to have adequate auto insurance in order to work for them.

If you are a delivery driver for Grubhub or another rideshare delivery service, it is in your best interest to get your own policy.

Do you need extra auto insurance for Uber Eats?

Uber Eats provides the same supplemental insurance for food delivery drivers discussed above, and you get additional coverage for having comprehensive and collision policies with your personal auto policy.

But most Uber drivers buy additional delivery insurance to protect themselves in between deliveries.

We recommend getting extra coverage for Uber Eats so you can drive confidently knowing you’re covered the whole time you’re on the road.

Does Grubhub provide auto insurance?

Grubhub does not provide coverage to its drivers. Neither does Instacart, and Postmates coverage is limited to liability only.

Do you need auto insurance for DoorDash?

DoorDash provides liability that covers damage and bodily injury to third parties hurt in an accident, but you will need additional coverage for your own injuries and the damage caused to your vehicle.

If you don’t have a personal policy, you will not qualify for a DoorDash delivery policy.

Do restaurants cover auto accident damages for drivers?

No, most restaurants won’t cover damages if you are delivering for them and get in an accident.

You need to make sure your policy will cover you if you are in an accident while delivering for a restaurant and depend on your employer’s insurance.

Who pays if you are in an accident while delivering food?

That isn’t an easy question to answer. Technically, it would be the auto insurance of the driver. However, businesses tend to have more money than their drivers, so the business could expect to be sued as well.

Can self-employed delivery drivers purchase their own commercial auto insurance?

If you’re a self-employed delivery driver, you must definitely obtain a commercial auto insurance policy.

Even if you’re a one-person outfit, a good insurance company can give you simple, reasonable coverage that satisfies all the legal requirements for delivering food in your own car.

You can work with your provider to mix and match options like general liability coverage, rental and downtime coverage, single-deductible options, and more.

Unfortunately, commercial coverage is more expensive and you may want to seek out more affordable food delivery auto insurance. Consider adding delivery coverage add-ons to your existing personal policy to save more money.

Which insurance companies offer an add-on for delivery auto insurance?

As you saw in the table above, some delivery companies have commercial policies to cover their drivers, but all delivery drivers (and parents of teens in the business) need to realize that most companies do not.

More often than not, delivery drivers are responsible for finding and maintaining their own food delivery auto policy.

Thankfully, now that delivery jobs are so prevalent across America, many insurance providers are now offering delivery insurance that you can add to your personal policy at lower rates than a full business policy.

Here is a list of insurers offering delivery insurance add-ons:

  • Allstate (for Uber, Lyft, and Uber Eats only)
  • Crump Property & Casualty
  • GEICO
  • International Property & Casualty
  • Progressive
  • State Farm
  • Sunderland Insurance

Many insurance companies offer delivery-only lines of coverage, policies for providing rideshare services, and even packages that cover all on-demand services, like Uber, Lyft, DoorDash, Grubhub, and more.

Depending on your provider, some on-demand delivery services may be excluded. Other companies may offer food delivery auto insurance but exclude rideshares. These differences will affect your purchasing decisions, as well as how much you might pay.

What are expert tips for teen delivery driver auto insurance?

Teen rates are the highest in the country, and buying a commercial policy for a teen delivery driver can increase your rates even more.

It’s important to find ways to lower teen food delivery auto insurance rates so you can stay protected on the road without spending your entire paycheck on coverage.

Here are three easy ways teen drivers can lower their food delivery insurance costs:

  1. Take a driver’s education course. A certified driving class even an online one can save teen delivery drivers 10 percent off their monthly rates.
  2. Earn auto insurance discounts with good grades. Teens with 3.0 GPAs or higher often qualify for up to 25 percent off auto insurance, which can lead to significant savings.
  3. Drive a smaller car. Smaller, safer vehicles are cheaper to insure than SUVs or sports cars. If you’re going to be a delivery driver, driving an older and smaller vehicle for work will save you money.

You can also find cheap teen delivery driver auto insurance rates by comparison shopping online.

Our free online quote comparison tool uses your ZIP code to compare rates from multiple local companies so you can find the cheapest coverage near you. Start now by entering your ZIP code.

What do parents need to know about teen delivery driver auto insurance?

Parents may want their teen delivery drivers to purchase their own auto insurance policy. This will limit the risk on the parents’ policy and keep their rates from going up if their teenager is involved in an accident.

Call the number above to speak with a local agent and find out what the liability requirements are in your state.

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How do you buy food delivery auto insurance?

Now that you know there’s a good chance you’ll need to purchase some additional coverage for food deliveries, it’s time to start shopping around for the best food delivery auto insurance rates.

On average, U.S. delivery drivers only make $13.82 an hour (as of January 2019). This isn’t much, especially once you factor in the monthly costs we all face. Not to mention the extra miles and wear and tear delivery drivers put on their cars to make all those deliveries possible.

We understand why you don’t want to spend your hard-earned money on auto insurance. But it is required in every state, and breaking the law is the biggest mistake you could make in the business world.

For this reason, it’s important to shop around for quotes online before you buy. It’s the only way to guarantee you’re getting the best rates.

Determine the level of coverage you need before you start getting quotes, and make sure you have all the vehicle information handy.

Food delivery auto insurance is impacted by the kind of car you are driving, and you’ll need the make, model, and VIN of your vehicle to get the most accurate food delivery insurance quotes possible.

How much does delivery auto insurance cost?

Food delivery coverage costs will also vary based on where you live, your driving record, your credit score, and more. Rates for delivery add-ons can range between $20 and $225 per month depending on your provider.

Food delivery policies also come with varying deductibles and coverage limits that will impact your rates, and there are a few other factors that affect rates, including how far you plan on driving.

Most likely, you’re going to need business coverage for food delivery.

Business coverage is more expensive than the basic personal auto plan. Your rates will increase when you add a business policy or food delivery auto insurance to your personal plan.

How much more will I have to pay for business auto insurance coverage?

There are various levels of business coverage you can purchase depending on the number of drivers you need on your plan, the travel miles required, and the type of vehicle you’ll be driving. All of these factors will determine your rates and coverage amounts.

Looking at the table below, you can see that adding a business policy to your personal auto insurance plan will raise your rates by about $150/mo. Business insurance on its own will cost you around $273/mo.

View as image

We compared prices across the country based on driving record, vehicle, delivery company, and personal profile to obtain the above rates.

Why is business auto insurance coverage more expensive?

The simple answer is that when you want more coverage, you have to pay more money. Plus, higher costs boil down to risk and liability.

Working a job that requires a lot of driving puts you at a higher risk than many other professions. With every extra mile you drive, you are at a higher risk of an accident.

The U.S. Department of Labor reported in 2017 that delivery drivers and car salesmen had the most deaths on the job of any civilian occupation.

In this case “deaths on the job” means traffic accidents, which is no huge surprise since there are six million automobile crashes in the U.S. every year.

To protect yourself, be sure to lock down solid commercial auto coverage with one of the best companies to cover damage and hospital bills before you hit the road and hopefully nothing else on your next shift.

It may cost more upfront, but you’ll feel better knowing you’re safe while you work.

What happens if an accident occurs while you’re on the clock?

The insurance you paid for before the crash determines what will happen after. Your fate at this moment is based solely on one thing: Were you properly insured at the time of the accident?

If you get in an accident while driving on the job…

Scenario 1 – You have only personal auto insurance coverage and no coverage from the business you work for.

  • You will likely have your claim denied by your provider.
  • Your policy may get canceled because you used your vehicle in a different way than agreed upon with the policy.
  • The others involved in the crash will likely sue you and/or the business you work for to recoup the costs of their damages and medical bills.

Scenario 2 – What happens if you are driving while uninsured and none from the business you work for?

  • Depending on the severity of the crash and your state laws, you face losing your license.
  • You and the company you work for will likely get sued.

Scenario 3 – You have business auto insurance of your own and no coverage from the business you work for.

  • Your business or commercial policy should cover the resulting damages and costs.
  • Hopefully, you purchased enough coverage that you don’t have to pay anything out of pocket.
  • You will likely see an increase in your rates as a result of this crash and the claims.

Scenario 4 – You have only personal auto insurance of your own but full coverage from the company you work for.

  • The coverage from the company you work for should pay for all the expenses.
  • Hopefully, the business owners invested inadequate coverage and don’t get sued for more money.
  • Your personal auto insurance shouldn’t be affected at all by this accident.

The best-case scenario is number four. Driving for a company that has complete coverage for all of their drivers and business vehicles is your safest and cheapest bet.

The second-best scenario is number three. Having a great business or commercial plan of your own will fully cover you while you’re on the road for work. Unfortunately, it will cost you more.

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Is auto insurance available for pizza delivery drivers?

With over $45 billion in sales in the U.S. alone, pizza is an unarguable staple across the country. And getting it delivered hot and fresh from the oven right to our door is definitely a perk. But pizza delivery is among the most dangerous jobs in America.

“Delivery service drivers are among a group of occupations with the highest fatality rate in the United States. Undoubtedly, pizza delivery is a difficult profession, but it’s not just drivers who are in danger during a crash. Everyone on the road is a potential victim.” — Crosley Law

Pizza delivery drivers are more likely to be in an accident since they are more inclined to speed and run red lights. This risk is compounded if a teen driver is delivering pizzas.

If you deliver pizza for a business like Domino’s, for example, rather than working for a more broad-ranging or on-demand food delivery service like Grubhub or Uber Eats, how does it work?

Will the restaurant cover you in the event of an accident or collision?

If the driver uses his own car, is the pizza delivery restaurant responsible for reimbursing him for the cost of getting in an accident?

These questions are of interest to both pizza delivery drivers and the employers they work for.

The fact is that most pizza restaurants do not cover their delivery drivers. The majority only require their drivers to have a license and minimum auto insurance coverage, if that.

Here’s what a nationwide survey of pizza restaurant owners uncovered:

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Eighty-four percent of pizza places across the U.S. don’t require their drivers to have more than minimum coverage, and 13 percent of those shops don’t care if you have any coverage at all.

This is a troubling reality when just one accident could put you (and your beloved car) out of business permanently.

What’s more concerning is that many pizza shop owners seem to have a “don’t ask, don’t tell” policy when it comes to pizza delivery drivers.

What does this mean for pizza delivery drivers?

It means that the responsibility of getting adequate coverage for the job falls solely on the drivers.

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What coverage do I need for delivering pizza?

Does the restaurant cover you when you’re on a delivery? For example, does something like Domino’s pizza delivery driver insurance even exist?

Unfortunately, no.

When you’re about to ink an employment contract with a pizza delivery service, among the first things you’ll want to know is whether you will be using a company-owned car or your own personal vehicle.

More than half of pizza delivery restaurants expect their employees to drive their own vehicles and have their own pizza delivery policies.

There are many different types of coverage for pizza delivery drivers, and our guide will help you find the right plan at the right price for your lifestyle.

Most likely, your insurer won’t offer specific pizza delivery coverage, but you can get coverage with a business policy the same way on-demand food delivery drivers do.

You won’t be able to purchase something like a State Farm pizza delivery policy, for example, but we can guarantee that insurance companies will have specific plans that meet your needs.

There are also specific companies that work with restaurants and drivers to fill in the gaps in their coverage.

For example, Pizzasurance, a food delivery auto insurer that provides coverage for business owners, is a preferred broker for Papa John’s, Pizza Hut, Round Table Pizza, and Domino’s.

How much does pizza delivery auto insurance cost?

As noted earlier, pizza delivery is among the most dangerous commercial endeavors. Most insurers won’t bear the risk of you doing this job while on a personal vehicle policy.

In fact, you may even find a “no pizza delivery” clause in the fine print of your current personal policy.

That’s why pizza delivery drivers need business auto insurance. Business auto insurance rates average $273 per month, but you may be able to add car insurance for pizza delivery drivers to your personal plan to save money.

Adding a business policy to a personal policy can raise your rates by about $150 per month.

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What auto insurance do pizza delivery owners need?

Pizza delivery franchises can be a lucrative and exciting venture, but it can also be one of the riskiest. Making sure you and your delivery drivers are protected in the event of an accident should be among your highest priorities.

As the business owner, you need to invest in insurance that protects your business, from workers’ compensation to property, auto, liability coverage, and more.

If the business owns the vehicle it doesn’t matter who is driving the car the vehicle must be covered by business insurance.

If you provide company vehicles for your employees to drive, commercial auto insurance coverage is a must for the following reasons:

  • It protects you from costly damages should your employee have an accident on the job using one of your vehicles.
  • It protects you in the event that a worker files a claim against you for a car accident-related injury.

Depending on your business needs, you can customize your mix of insurance products based on the type and value of your assets, the number of employees you have, how much coverage you want to buy for them, and other factors.

The result is a pizza delivery insurance package uniquely designed to suit the needs of your business. Let’s take a look at some examples of these coverage options below.

  • Any auto liability coverage applies not only to your current vehicle fleet but extends to any new commercial vehicles you purchase and any personal vehicles your employees use to perform their jobs.
  • Business interruption or rental reimbursement with downtime insurance applies when one of your commercial vehicles goes down. It reimburses you for the cost of a rental car to replacement and any lost revenue due to loss of use.
  • Single-deductible options – Say your pizza delivery cars come equipped with a special, heated compartment that keeps the pies warm during deliveries. That compartment is considered special equipment and needs its own coverage.
  • Collision coverage covers the cost to repair the car after an accident. If the car is totaled, this coverage pays the cost to replace it.
  • Comprehensive auto insurance coverage applies to any damage your commercial vehicle sustains in a non-collision event, such as hail damage, flooding, or vandalism.

Commercial vehicle insurance is often included as part of a Business Owner Package or Business Owner Policy (BOP). A BOP is any custom, commercial package that uses some combination of liability coverage and property insurance.

Call the number above to talk to your insurer about getting a BOP for your business.

What about non-owner auto insurance?

Even if you don’t have a single commercial vehicle in your fleet, you can still run a successful pizza delivery business. But you still need auto insurance coverage.

When you opt to have all of your delivery drivers use their own cars for work, you need non-owner auto insurance coverage.

Also known as excess non-owner or hired non-owner, this type of policy protects you from liability of $1 million or more in damages and injuries caused by your employee’s on-the-job car accident.

With a non-owner auto insurance policy, your employee’s own insurance will be responsible for the accident claim, even if the accident occurred while they were on the clock. But any injuries they incur should be covered by your worker’s compensation.

Be advised that, if your employees cannot get their car repaired, they aren’t likely to return to work, and you may need to hire someone to replace them.

If your driver gets into an accident on the job in their own car, and you don’t have a non-owner auto policy, responsibility for the damages could fall back on you.

Regardless of whether the driver’s personal insurance pays their claim, your employees could still bring legal action against you.

Employees are within their rights to do so. As a business owner, it’s your responsibility to be covered.

Failing to get coverage constitutes negligence, and the cost to defend yourself against a lawsuit will likely outweigh any amount of money you saved by failing to insure your driver.

Is auto insurance available for food trucks?

What about food truck coverage? Food trucks are unique because they are both a vehicle and a business and therefore require unique insurance coverage.

According to NOLO, most states require food trucks to have a business license and be inspected by the health department. You may also need to purchase location-based permits to sell food if you plan on moving your food truck around your city.

On top of that, food truck owners will likely need a commercial auto insurance policy to further protect their business if the food truck is vandalized or involved in an accident.

What auto insurance coverage do I need to drive a food truck?

Every company and auto policy is different, but below is a helpful chart explaining which specific food-on-wheels businesses require coverage:

business that need food truck insurance

What would you pay to protect what’s necessary for your business?

Don’t let the years of dreaming, planning, and financing your business all go down the drain in a single instant without sufficient insurance, all it will take is one accident or injury.

Read the table below for examples of types of business policies you’ll need (or at least need to consider) for your food truck business. The rates listed are minimum annual estimates.

Food Truck Auto Insurance
Lines of Insurance to Protect Your Food Truck BusinessCoverageRequiredAverage Annual Rates
Commercial Auto InsuranceDamage and liability claims due to a traffic accident involving the food truckYes$1,200+
Workers' CompensationMedical bills and lost wages for employees who are injured on the job — usually covers legal feesYes (most states)$1,400+
Property InsuranceThe food truck, attachments, and equipment in a collision or theftNo$500+
General Liability Insurance Injury and property damage relating to the business i.e. food poisoning or customer getting burntNo$500+
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Keep in mind that rates will vary greatly depending on the type of food truck you have, the value of your business, number of employees, state requirements, and much more.

How expensive is commercial auto coverage for a food truck?

We hate to say it but the insurance you need to protect yourself, your food truck, your equipment, your employees, and your entire business model will not come cheap.

On average, we recommend that food truck owners set aside $200–$250 per month to cover insurance costs.

The non-specific rates we provided above are the absolute minimum, and we wanted to give you more specific rate information:

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Do those rates seem crazy high to you?

That’s certainly a bigger jump in price from the coverage pizza delivery drivers need as we discussed in the above sections. Here’s why those rates are so expensive and the top three things you deed to know about commercial food truck insurance:

  1. The above rates are for a food truck valued at $200,000 — this is a no-joke business vehicle.
  2. This is insurance for a large vehicle with explosives inside — a kitchen on wheels. Talk about risk.
  3. These rates come straight from Progressive Commercial for a food truck in South Carolina.

Enter your ZIP code above to see what it would cost you to legally drive your food truck on public roads where you live and which companies have the cheapest rates for your business policy.

Can you get auto insurance for catering?

Catering in the U.S. is a massive, rapidly growing industry famed for tactfully dishing out amazing food exactly when and where you need it. And it’s bringing in impressive amounts of dough.

But do you know what can turn off the lights on your catering business in just a matter of days?

An accident involving any one of your drivers transporting food or equipment.

Without business insurance or commercial auto coverage, you could be paying out of pocket for any and all accidents that happen to your employees, your property, and your business reputation.

You should know by now that every business owner is required to have business insurance. And if you own a catering company, you’re required by law to have employer’s liability insurance.

Do you need auto insurance for catering businesses, too?

Commercial auto insurance for caterers is recommended, especially if you have a fleet of business-owned vehicles.

What auto insurance coverage do you need for catering?

Catering business owners have a long list of insurance policies to consider when it comes to protecting their business. Likely, your Business Owner’s Policy (BOP) will cover your employees when they’re driving on the clock. If not, you need to purchase commercial auto insurance.

Any vehicle your catering business owns or uses to make deliveries must meet your state’s minimum auto insurance liability requirements.

All standard commercial policies will meet the minimum liability requirements, but you may choose to add different levels of coverage. Be aware that any extra coverage will raise your rates.

How expensive is auto coverage for catering drivers?

The U.S. Department of Labor reported that accidents relating to transportation accounted for more deaths than any other type of on-the-job injury. These statistics make commercial auto insurance rates more expensive than the standard personal policy.

Unfortunately for catering drivers and business owners, this means your auto insurance rates will be pretty expensive.

On average, you can expect to pay $217 per month for commercial catering auto insurance.

This table shows annual catering auto insurance rates compared to a personal policy:

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If catering company owners don’t have a BOP that covers their drivers and vehicles, at least business auto insurance for catering is typically cheaper than it is for pizza delivery.

Make sure you get the best catering insurance rates by entering your ZIP code below in our free quote comparison tool.

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Where can you find cheap food delivery auto insurance?

Whether you own your own restaurant or have a delivery side hustle, food delivery auto insurance is absolutely necessary to protect yourself, your vehicle, and your business investments.

As a delivery business owner, if your BOP doesn’t include commercial auto coverage, you will be responsible for finding that additional coverage.

As a delivery driver, you will need to find your own commercial policy if your employer doesn’t provide one for you.

If you need food delivery auto insurance, pizza delivery insurance, catering insurance, or auto insurance for a food truck, take advantage of our free online comparison tool above.

Start now. Get free quotes from local companies to find the cheapest food delivery auto insurance rates. Enter your ZIP code below and compare cheap food delivery auto insurance quotes for free today.

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Enter your ZIP code below to view companies that have cheap auto insurance rates.

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Business v Personal Annual Rates
Pizza Restaurant Owners
Business v Personal Annual Rates
Business v Personal Annual Rates
Business v Personal Annual Rates
Pizza Restaurant Owners
Business v Personal Annual Rates
Business v Personal Annual Rates