Food Truck Insurance: Top 4 Exposures To Know

Food trucks began gaining traction in 2008 as social media and a growing interest in street food converged. Los Angeles was home to the first Kogi taco food truck, while New York began serving dumplings out of a truck more than a decade ago.

On the way to establishing their footprint in the restaurant industry, food trucks faced a few obstacles, including city inspection requirements and parking rules dictating where trucks could line up on the streets.

But the industry managed to clear the road for success and have become a vital part of the restaurant sector.

Today there are more than 23,000 food trucks in the United States. They are a staple serving up lunch in metropolitan areas, with some jurisdictions even granting temporary liquor licenses to pair wine and beer with food offerings at special events. Established restaurants have even gotten into the food truck action. Many operators show up at farmers markets and large-scale events and festivals.

Food Truck Insurance Program Risks

While there aren’t any brick-and-mortar risks involved with food trucks, they do share some of the same restaurant insurance exposures. In addition, they have their own unique risks. Some of the top exposures for food trucks insurance program include:

1. Accidents Involving Third Parties While the Truck Is Stationary and Open for Business

• Third-party claims of food-borne illness, food poisoning, burns from hot food, cuts from glassware or metal utensils, and food contaminated with debris or allergens
• Third-party premises-related lawsuits, which include customer slips and falls on the pavement around the food truck
• Property damage to someone else’s building or property caused by the truck

2. Damage to or Theft of Business Property

• Pots, pans, food, sales equipment, stoves, utensils, and other property not permanently attached to the vehicle may be damaged from fire or a weather-related incident or be stolen or vandalized

3. Food Truck Accidents & Damage

• Bodily injury or property damage to a third party that involves an accident while the food truck is moving
• Damage to the food truck itself and permanently fixed items resulting from a collision with a barrier or other vehicle
• Damage to the food truck including items that are permanently attached to the vehicle by bolts, plumbing, and gas lines as a result of fire, vandalism, and weather-related incidents as well as theft

4. Injuries to Workers

• As with any workplace, employees may be injured while on the job as a result of a slip or fall and injuries from cuts, burns, smoke inhalation, and vehicular accidents