Delivery Insurance

Discussion in 'Delivery Driver Discussion' started by Anonymous, Apr 17, 2018.

  1. Anonymous

    Anonymous Guest

    I have a pizza/ice cream/mini golf store in Ohio for 5 yrs and have offered delivery. 4 Wks ago my insurance company informed me that if our drivers got into an accident while delivering, their car insurance wouldn't cover them. Insurance is extremely high considering I only have 1 location. Has anyone heard of this and what have you done? I have had to stop delivery until I can sort this out.
  2. royster13

    royster13 Well-Known Member Moderator

    Jun 16, 2006
    Likes Received:
    Montrose BC
    You really need to ask your broker why...All the rest of us can do is "speculate"....Good luck....
  3. UncleNicksPizza

    UncleNicksPizza Member

    Jun 6, 2012
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    Port Charlotte, Fl
    I am not an insurance agent, and my information should not be taken as complete and accurate. However I know from our personal experience you are referring to "Non Owned Auto Insurance", but it sounds like you may be slightly misinformed as to what it actually is.

    Your driver's insurance company, if they know they are delivering in their personal vehicles for work purposes, should cover accidents. The problem is most driver's do not tell their insurance company this, as the premium is much higher, and instead just drive under their regular insurance.

    What then happens is they get into an accident, the insurance company finds out they were driving for commercial purposes, and then denies their claim. The other party involved finds this information out through their insurance company, and they go after you as the employer (because we have all the money, right?).

    That is where the non owned auto insurance coverage comes into play. It will cover you for any liabilities incurred by employees utilizing their personally owned vehicles for work purposes. There is NOT a legal requirement to carry it, it is a personal risk assessment. So there is nothing stopping you from delivering without it, if you don't want to / can't afford to carry the extra expense. However if something happens, you may find yourself in a legal battle for a much higher cost.

    I hope this information helps you a bit
    idahopizzaman and Karee Hayden like this.
  4. grassospizza1993

    grassospizza1993 Member

    Oct 15, 2010
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    My non owned policy is just over $300.00 a year.
  5. idahopizzaman

    idahopizzaman Member

    Feb 11, 2009
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    Mine is just under $200 a year.