Aspiring food delivery drivers are often faced with a dilemma when it comes to insurance. With companies like Deliveroo, Uber Eats, Just Eat, and Dominos requiring specific insurance for their riders, many wonder what type of policy they need to buy.
As the gig economy continues to grow, more and more people are turning to food delivery as a way to make money. But for drivers who already have an existing insurance policy, the question remains: can they simply buy a top-up policy that covers food deliveries, or do they need to take out a new policy altogether?
What are the insurance alternatives for couriers?
Whilst standard social, domestic and pleasure (SDP) cover is the norm for most vehicle owners, it's important to realize that this type of policy won't cover you if you're working as a courier. This means you'll need to seek out alternative insurance options to ensure you're properly protected. So, you could try the following:
- See if your current insurer is prepared to include food deliveries on your policy. Just don't be too disappointed if (when?) they turn you down flat.
- A potential solution is to purchase a separate, additional policy designed exclusively for food deliveries.Although this sounds simple, you existing insurer may well veto it. After all, can you imagine the complications if you havce an accident, and the insurers can't be certain whether you were working at the time or not, and which one is liable for the payout?
- It may be necessary to cancel your existing insurance policy and take out a new one that specifically includes food delivery cover. This is probably the most likely outcome.
As you can see, navigating the intricacies of insurance for food delivery can be a daunting task, with the insurance company's attitude towars it; and the specific clauses of your policy; both coming into play. That's why the advice of a specialist insurance provider dealing with food delivery insurance can be so important.
So what are my insurance options?
Option 1: getting this cover from your existing insurer.
Adding fast food delivery insurance to an existing policy may be easier said than done, as the top car insurance companies are hesitant to cover drivers who engage in this line of work. This is due to the high accident rate associated with food delivery driving, with many insurers either refusing to provide cover or charging a steep (let's be honest; eye watering!) extra premium.
Option 2: getting a separate policy on top of your existing one, to cover you whilst you are delivering.
You may well be reluctant to cancel your existing policy - after all you would probably incur cancellation charges. However, Whilst a separate policy just for food delivery may seem like a practical solution, it's important to note that your existing insurer may have restrictions that could render your cover invalid. Working as a food delivery driver, even with a top-up policy, could potentially violate your current policy and result in a complete loss of cover. This means that even using your vehicle for non-delivery purposes could leave you uninsured.
Naturally this is a complex field; the penalties for driving without insurance can be very severe, so professional, advice may be absolutely vital so that you can make sure you stay within the law.
Option 3: end that existing policy and take out a fresh one, that includes delivery cover.
For drivers who want to make sure they are fully insured whilst delivering food, a separate policy may be the way to go. By taking out a policy specifically designed for food delivery work, drivers can feel confident that they are covered in the event of an accident or other issue on the road. However, it's important to weigh the costs of cancelling an existing policy before making a switch.
When it comes to insurance, having the right information and guidance can make all the difference. A knowledgeable adviser can help you navigate the complex world of insurance, negotiate with insurers on your behalf, and find policies that work for you. So; why not get quotes now.