Top Insurance Mistakes for Food Truck in Tacoma

After many years in the insurance industry, I have come to my realization that most people think that insurance is quite dull to learn and will pay their premiums as they come. This might turn to be one costly decision.

Covering your truck can turn to be a messy business. Weird gimmicks, legalese and confusing laws and rules are all over the place. It can be difficult to get the type of coverage you need.

With food truck insurance in Tacoma in the spotlight, I thought it’s important to highlight some of the common food truck insurance mistakes and how to avoid them:-

Extra Pay for Additional Insurance Certificates

Many people - Landlords, commissary kitchens, event managers and city health departments - will often ask for your insurance certificates. These are additional costs that make you pay for sheets of papers. There are no reasons for one to get a surprise on other charges for simple stuff like certification.

Purchasing the Lowest Policy

As the common term goes, cheap is expensive. Choosing low-cost insurance can ironically make you spend vast amounts of cash. Many inexpensive policies will only cover small lists of claims. You could find yourself in a surprise if something happened and the insurance covers the incident partially or not at all. Like most things in life, you get what you pay for! The insurance world is no different. Companies are continually pressured to lower prices, they‘re also forced to reducing the cover plan benefits. Don’t just jump to the lowest price, drop to a plan that fits you best.

Wrong and Incorrect Classification of Your Truck and Property

The insurance agency considers the food truck and your property as two distinct things with different coverage. This means the property coverage will not include the car unless stated in the policy. Many consumers say that property coverage is enough, but you can get a surprise when trying to submit a claim for the truck. When you install a new equipment, make sure to update the policy to cover all new items.

Purchasing Only Insurances Valid at Certain Address

Depending on the agency, mobile businesses can have limited insurance coverage to a single address. However, this is a real occurrence which is not offered by many policyholders. For your own sake, make sure the truck is covered everywhere even when in the parking lots. Since you’re not working from a single location, make sure the policy secures your plan of moving around.

Covering the Trailer on Your Personal Auto Coverage

If you were to conduct a survey, you would become surprised at how many people believe that their auto policy covers their food truck and trailers. Note: The personal auto insurance never covers your food truck. Confirm with your agency if the auto policy will cover your trailer. If you get an accident when pulling a trailer, the auto liability insurance will cover the damaged vehicle, but the physical damage on the truck wouldn’t be included.

Choose the best insurer that will help in propelling your business to greater heights.