What insurance is needed to deliver food?
If you’re working as a food delivery driver, understanding the right type of insurance is essential. Whether you’re delivering pizzas, groceries, or gourmet meals, having the proper cover is not just about safeguarding yourself—it’s also a legal requirement.
This guide will walk you through the specific insurance policies you’ll need, such as hire and reward insurance, often referred to as ‘food delivery insurance’ or ‘carriage of goods for hire and reward.’ We’ll explain why standard car insurance policies (usually for social, domestic, and pleasure use) won’t provide the coverage you need for food delivery.
From understanding the costs to knowing what’s covered, this article will give you the key details to ensure you’re fully insured and compliant as a food delivery driver. Read on to find the right insurance solutions for your delivery business.
What is food delivery insurance?
Food delivery insurance, often known as “fast food delivery insurance,” is a specialised type of cover tailored for those who deliver food in exchange for payment.
It’s a comprehensive term that encompasses various insurance needs for takeaway delivery drivers, but it predominantly refers to a policy known as “hire and reward.”
This policy ensures that drivers are legally protected and covered for potential liabilities while transporting food items for commercial purposes. Understanding this insurance is essential for anyone involved in the food delivery industry, as it provides the necessary protection against unexpected incidents on the job.
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Get QuotesDoes your regular car insurance cover food delivery?
Your standard car insurance policy, known as social, domestic, and pleasure insurance, is a legal necessity for driving on the roads.
It safeguards you for everyday use, including non-work-related travel, ensuring that you meet the legal requirements for personal driving. However, if you’re considering using your vehicle for food delivery or any commercial purpose, this standard cover may not suffice.
Do you need hire and reward insurance for food delivery?
If you’re delivering food in exchange for payment, a hire and reward insurance policy is essential.
This specialised policy offers three levels of cover tailored to your needs:
- Third Party Only: Protects against damage you cause to other vehicles or property but doesn’t cover your own vehicle.
- Third Party, Fire, and Theft: Includes third-party coverage and adds protection against damage or loss to your vehicle due to fire or theft.
- Comprehensive: The highest level of insurance, covering all the above, plus damage to your own vehicle, regardless of fault.
What additional insurance options are available for food delivery drivers?
While the following policies aren’t mandatory for food delivery from restaurants, they provide an extra layer of protection and may be recommended by your employer or work provider:
Goods in Transit Insurance
This policy covers your goods against theft, loss, or damage during transportation. While not typically required for fast food delivery due to low costs, it’s essential if you work as a courier for companies like Amazon, delivering more valuable products.
Public Liability Insurance
Public liability insurance is a safeguard for delivery drivers involved in accidents that cause harm to third parties. It covers legal fees, expenses, and compensation pay-outs if someone seeks damages or attempts to sue you.
Personal Accident Insurance
Personal accident insurance is a valuable protection if you’re involved in an incident while delivering food. It pays out if you sustain a serious injury or become totally and permanently disabled, providing financial support during a challenging time.
How much does food delivery insurance cost in the UK?
Food delivery insurance in the UK typically costs between £25 to £100 per month, or £300 to £1,200 per year, depending on factors such as your driving history, vehicle type, and level of cover.
These costs are generally higher than standard personal car insurance due to the increased risks involved with frequent driving and working during peak traffic hours.
Understanding the factors that influence the cost of your food delivery insurance is essential to finding the right policy for your needs. Here’s what you need to consider:
- Your Insurer: Different providers may offer varying rates.
- Vehicle Size and Type: The make and model of your vehicle can affect the cost.
- Annual Mileage: The number of miles you drive each year plays a role in pricing.
- Driving Record and History: Your past driving behaviour can influence the cost.
- Policy Length: Whether you opt for Pay-As-You-Go (PAYG) delivery insurance or an annual policy can significantly impact the overall cost.
For example:
- PAYG Delivery Insuranc: Choosing a short-term policy paid by the hour or day might end up being more expensive overall.
- Annual Food Delivery Insurance: Paying for an annual policy upfront often results in lower overall costs, especially if you plan on long-term delivery work.
By considering these factors and working with a knowledgeable insurance provider, you can find a policy that fits your budget and needs, ensuring you’re adequately covered for your food delivery work in the UK.
What are Uber Eats’ insurance requirements for drivers?
If you’re planning to deliver for Uber Eats using a motorbike, scooter, or car, you must have a certificate of motor insurance that specifically covers food delivery.
This is often referred to as hire and reward insurance, and it must explicitly include food delivery cover. Without this specialised insurance, you won’t be able to legally operate as an Uber Eats delivery driver.
What insurance do you need to deliver for Just Eat?
Just Eat mandates that all delivery drivers have appropriate insurance coverage before registering to deliver for them.
Without the right type of food delivery insurance, you won’t be eligible to work as a Just Eat delivery driver. Therefore, it’s crucial to verify with your insurer that they provide the specific coverage needed for food delivery work before signing up.
What are Deliveroo’s insurance requirements for drivers?
To work with Deliveroo, you must have your own hire and reward insurance.
While Deliveroo offers free personal injury and income protection for all their riders, as well as public liability cover for cyclists and for scooters and cars during pick-up or drop-off, this doesn’t replace the need for your own appropriate insurance.
Ensuring you have the correct coverage is vital to comply with legal requirements and protect yourself while working with Deliveroo.
How to compare food delivery insurance with SimplyQuote
Finding the right food delivery insurance is quick and easy with SimplyQuote. Our platform allows you to compare tailored policies based on your vehicle and driving details, ensuring you get the right cover for your needs.
With just a few clicks, you’ll see a range of competitive options, making it simple to choose the best insurance to keep you protected and legally compliant. Rely on SimplyQuote for expert guidance and peace of mind as you hit the road with confidence.