FOOD TRUCK INSURANCE: Coverage, Types and Cost

Food Truck Insurance
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Investing in insurance is one of the most vital business steps in starting your food truck. Without the correct insurance or coverage, your food truck might cost thousands of dollars or put you out of business altogether. This guide will estimate how much food truck insurance can cost and which insurance you may want to get to safeguard your on-demand business.

Food Truck Insurance 

Food truck insurance is small business insurance coverage that can be tailored to handle the particular hazards of the work. A good food truck insurance policy combines various forms of coverage to protect your business from issues, including accidents, lawsuits, lost income, and equipment breakdowns.

A well-balanced food truck insurance plan includes many business insurance types that protect your company from various risks. These difficulties can include the cost of claims, property damage, and lawsuits.

A business owner policy (BOP) is a smart place to start. A BOP combines three key forms of coverage and is frequently less expensive than purchasing each policy separately.

A BOP consists of the following components:

#1. Business Liability Insurance

Small business insurance coverage is built on this concept. General liability insurance protects you against bodily harm and property damage caused by you to others (except your employees). For example, if you spill hot coffee on a customer and scald them, your general liability insurance would cover their medical expenditures.

#2. Commercial Property Insurance

This covers your business’s physical site and equipment if damaged due to a stated problem, such as a fire or tornado. Commercial property insurance would cover replacing your computer, office furniture, tools, inventory, supplies, priceless papers, and business records if your place of business caught fire.

#3. Business Interruption Insurance

Business interruption insurance covers lost income when your business temporarily closes due to a covered issue like fire or theft. It covers many issues, including lost revenue, money lost due to damaged merchandise, and the cost of temporarily relocating to a new location.

Quick Tip: Catering vans, concession stands, ice cream vans, food trucks, food trucks on wheels, and vending machines are some of the businesses that can benefit from food truck insurance

Mobile Food Truck Insurance 

Most auto insurance providers will have the policies necessary to protect your food truck business. It is important to look into a few different provider possibilities to guarantee you have complete coverage. You may obtain a discount for bundling insurance plans with one carrier, but you can purchase different policies for your truck from multiple insurance firms.

Mobile food truck insurance and rates are available from the following insurance companies:

Some insurance coverage for food trucks and food trailers may overlap. A food trailer requires separate insurance for the trailer and the vehicle pulling it, whereas a food truck only needs one auto insurance policy to guarantee that food trucks are fully covered from collision damage and liabilities. Ask your provider for more information on properly protecting your mobile food business.

Indeed, commercial auto insurance is required for your food truck operation. Your automobile insurance coverage will not cover you because you operate your food truck for professional purposes. This is because personal automobile insurance policies do not cover business use.

Food Truck Insurance Price 

According to Insureon, the average food and beverage business owner pays roughly $135 per month for a business owner policy (BOP) and about $165 monthly for commercial motor insurance. Other elements influencing your food truck insurance costs include:

#1. Needs for Insurance Protection

The more types of coverage you purchase, the more you may anticipate paying. While you add liquor liability and equipment breakdown insurance to your BOP, you’ll pay more than just the BOP. However, to save money, don’t compromise on crucial coverage types; otherwise, you may be underinsured.

#2. Your Policy’s Limitations 

Insurance prices rise as coverage amounts increase. Speak with an agent who can assist you in determining the proper amount. You don’t want to be underinsured, but you also don’t want to pay for more insurance than you require.

#3. Employee Count. 

The more employees you have, the more workers’ compensation insurance you will pay.

#4. Other Cost Considerations. 

Your insurer will consider cost criteria such as your business assets, property owned, payroll size, business location, and prior claims history.

How Much Does Food Truck Insurance Cost Per Year?

The typical cost of food truck insurance is between $2,000 and $4,000 per year, although this can vary based on the coverage choice you select and your provider. The following is a breakdown of the typical cost of food truck insurance:

General Liability Insurance: Premiums range from $300 to $800 (for $1,000,000 coverage and no deductible).

Commercial Auto Insurance Premiums: $1,500 – $3,000 (for $250,000 coverage and a $500 deductible).

Contents insurance premiums range from $300 to $1,000 (for $25,000 coverage and a $500 deductible).

Workers’ compensation insurance premiums range from $1,000 to $1,500 (for $1,000,000 coverage and a $0 deductible).

Best Food Truck Insurance 

Food trucks are becoming increasingly popular and can generate earnings, but you’ll need the proper insurance coverage before running a mobile food truck or trailer. Most food truck owners require general liability insurance, including product liability, to cover lawsuits arising from foodborne diseases and commercial auto insurance if they operate on public roadways. 

#1. Next Insurance

In addition to general liability, product liability is covered in Next’s affordable liability coverage at no additional cost (80% of clients pay between $24 and $28 per month).

Coverage for your building, tools, commercial vehicle, and liquor liability can be purchased separately. These features combine to make Next an ideal option for insuring your food truck. More than one policy is bundled for a 10% discount.

Next, provide immediate internet insurance quotes and applications that may be shared via email or social media. The certificate also allows you to include an unpaid co-insured at any moment.

#2. FLIP

FLIP is good industry insurance coverage for as little as $299 annually. General liability, commercial, personal property (inland and marine), product liability, and rental premises coverage are all part of FLIP’s standard insurance plan. In addition, they provide liquor liability insurance. 

Both food trailer insurance and food truck insurance with a trailer endorsement are available from FLIP for businesses that use trailers. Additionally, you can get a certificate of insurance immediately after applying for coverage online. You can include as many people as you’d like as “additional insureds” on your policy.

#3. Thimble

Thimble is a wonderful option if you need event coverage, seasonal coverage, or payment flexibility on an annual policy. On-demand liability plans start at $5/hour and can be purchased monthly or annually. General liability, commercial property, business equipment, workers’ compensation, a business owner’s policy, and other coverages are available. 

On the other hand, Thimble does not provide as many specific modifications as certain competitors, such as BiBerk. Furthermore, the company does not offer commercial auto or liquor liability insurance. Certain coverages are also offered only in certain states. 

#4. Huckleberry

Huckleberry offers food truck operators and business owners coverage for $42 monthly.

The policy combines general liability insurance, commercial property insurance, and business interruption insurance, which aid in replacing earnings following a covered loss. Some BOPs may not contain business interruption insurance, which is essential for food truck entrepreneurs. The organization can also provide food spoilage coverage, which will pay out if food spoils due to a covered occurrence. Moreover, Huckleberry provides commercial car and liquor liability coverage, allowing you to receive all your coverage from a single source. 

Food Truck Insurance Requirements 

Is commercial auto insurance required for a food truck business? 


Commercial motor insurance is required for your food truck operation. Your automobile insurance coverage will not cover you because you operate your food truck for professional purposes. This is because personal automobile insurance policies do not cover business use.

Food processing or preparation might include numerous phases, each with its risks. Indeed, product liability insurance protects you and your company against legal claims for bodily harm or property damage if you are producing, selling, or delivering a food product.

Hint: Most vendors, landlords, and commissary kitchens require food truck operators to carry $1,000,000 general liability coverage to do business with them, and they will frequently request to be named as an additional insured on your policy.

Flip Food Truck Insurance

A food truck insurance policy is made to handle claims that may arise from running a food truck business normally. Slip-and-fall incidents, food poisoning, and equipment theft are all examples of potential claims. Coverage for business personal property/inland marine, general liability, product liability, damage to rented premises, and identity recovery are all available with food truck insurance through the Food Liability Insurance Program (FLIP).

FLIP’s starting price for general liability insurance is $299. However, the policy can be tailored to your needs with the help of available endorsements. Business owners may want to update their insurance policies to include higher limits on business personal property coverage or expanded liability protection. FLIP partners also offer commercial auto insurance for food truck operations in Florida, California, Texas, Virginia, New York, Utah, and New Jersey.

What Does Food Truck Insurance Cover? 

Food truck dangers are managed with food truck insurance, a type of commercial insurance. Accidents, litigation, lost income, and broken equipment are risks that can cripple a food truck business if you don’t have the right insurance in place.

What are the Types of Food Truck Insurance?

  •  Business liability insurance.
  • Insurance for commercial property.
  • Business interruption insurance.
  • Insurance for commercial vehicles.
  • Commercial umbrella insurance.
  • Liability insurance for employment activities.
  • Insurance for equipment breakdowns.
  • Food deterioration and contamination insurance

Coverage: Who Needs Food Truck Insurance? 

Small-business insurance, like food truck insurance, can be tailored to your truck’s unique risks and requirements.

Where Can You Get Food Truck Insurance? 

Most auto insurance companies cover food truck businesses. To ensure you receive complete coverage, looking into a few provider possibilities is crucial. Bundling insurance policies with one company may give you a discount, but you can also use multiple insurance companies for different truck policies.

Here are some places where you can get food truck insurance:

  • FLIP Food Truck Insurance. The FLIP food truck insurance program offers general liability, product liability, and commercial auto insurance.
  • The Food Truck Insurance Agencies. Food truck insurance is the specialty of the Food Trucks Insurance Agency, a full-service insurance agency. They provide various coverage options and assistance with claims and other insurance-related requirements..
  • Your State’s Department of Insurance. Your state’s insurance department can provide a list of licensed insurance companies offering food truck insurance. 

Do You Need Food Truck Insurance?


Commercial motor insurance is required for your food truck operation. Your automobile insurance coverage will not cover you because you operate your food truck for professional purposes. This is because personal automobile insurance policies do not cover business use.

Do You Need Food Truck Insurance for a Trailer?

Catering trailer insurance is not a legal obligation. However, given the importance of your trailer to your business, it is a risk not to guarantee that it is adequately protected. Insurance protects you not just against damage but also against theft.

Do You Need Commercial Auto Insurance for a Food Truck Business?

Commercial auto insurance is necessary for small businesses with food trucks or delivery vans but only covers vehicle-related hazards.

How Is Food Truck Insurance Different From Restaurant Insurance?

However, depending on how your business operates, there may be a few significant distinctions between food truck and restaurant insurance. A food truck business, for example, is mobile, but a restaurant business is fixed. Hence, commercial auto insurance is required for food trucks.

Insuring Your Food Truck Business

While Public Liability Insurance is not mandatory, it is advisable to possess such coverage. The insurance policy will cover the associated compensation if a business incurs property damage or causes harm to individuals, such as food poisoning.

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