Do you deliver fast food; takeaways, restaurant meals, meal kits, catering packs, online hot food? Are you looking for affordable hire and reward insurance, but uncertain about what policy is right for you? Don't worry! You have access to a wide range of specialist insurers who are eager to assist you in finding the best solution!
What actually is 'Hire And Reward' insurance?
If you are a delivery driver looking for insurance, hire and reward insurance has got you covered! This type of policy is specifically designed for individuals who get paid for delivering goods, such as hot and cold food, parcels, household items, and even industrial products. It is a legal necessity (without it you would be driving whilst uninsured) but with the right policy you can focus on your job with peace of mind, knowing that you're protected.
What is the difference between 'Hire And Reward' and 'Courier' insurance?
They are very similar and sometimes the names are interchangeable! Many hire and reward policies are used by delivery drivers who make regular deliveries to a single destination. However, there is distinct type of this insurance that is specifically designed for those who make multiple deliveries to different addresses. Known as courier insurance, it is tailored to meet the unique needs of drivers who frequently deliver goods to various locations.
This type of insurance is particularly relevant for food delivery drivers, DHL delivery drivers, and parts distributors who may make several deliveries a day to new and unfamiliar addresses, using vehicles such as vans, cars, scooters, or motorbikes.
What is food delivery insurance?
Would you believe that food delivery insurance is actually a form of courier insurance, which in turn is a type of hire and reward insurance? When it comes to this type of insurance, there are a lot of options available, each with its own unique set of benefits and drawbacks. Choosing the right policy for your business or yourself is imperative, which is why it is important to carefully consider your needs and make sure you get the right policy.
Do I need special insurance for delivering meal kits?
You still have to have courier insurance; but you MIGHT (no guarantee!) find it a little bit cheaper than insurance for delivering hot food. This is because there would be less urgency to get the meal kit to a customer than you would if a dinner was freshly cooked and could spoil if it got cold.
Why is it so complex?
It isn't really. These policies are tailored for specific business uses, such as transporting stone chippings, delivering electronics or moving furniture. Insurance companies take into account the different risks faced by each type of business and specify the type of goods that can be transported, the destination, and the conditions under which transportation can occur.
Just like there's no "one size fits all" approach to fashion, there's no universal insurance policy for transportation! For instance, policies for carrying bulk groceries, delivering TVs, and moving machinery are all distinct. Insurance companies assess the risks involved based on factors such as the type of goods, destination, and parties involved, so it's imperative to select the right policy. And beware, some taxi drivers may say "no" to picking up your takeaway food - it could put their insurance at risk!
Why are food couriers seen as high insurance risks?
Just like with any other type of insurance, courier insurance premiums depending on the risk level of the job. DHL delivery drivers, for example, may have to make multiple deliveries in a day, but the risk level is usually low as the deliveries are made during the daytime and delays are usually not catastrophic for the customers.
When it comes to delivering takeaway food, though, there are more risks involved compared to our DHL driver. This is because most of the work is done during the evening or at night, and drivers often have to navigate in the darkness using a satnav or similar tool. In addition, they are expected to deliver food even in bad weather conditions as customers prefer to stay indoors. Furthermore, freshly cooked food needs to be delivered promptly to maintain its quality; so more danger of couriers rushing to get a delivery completed.
Why do so few insurers offer food delivery insurance?
Insurance companies are often hesitant to offer cover to food delivery drivers, as this type of work is associated with a higher risk of accidents. The pressure to deliver hot meals quickly can lead to unsafe driving practices, further increasing the risk of accidents. As a result, obtaining insurance quotes for food delivery cover can be an 'interesting process' - but luckily help is at hand!
So what is the bottom line?
All this means that having a hire and reward policy doesn't mean that you are automatically covered for delivering particular products. It is vital that you buy the right insurance policy that covers you for the type of work you are doing. Luckily though you can have access to a whole panel of brokers who are highly experienced in getting quotes for delivery drivers all all kinds to compare. So, if you are self employed and deliver hot food, takeaway meals or even online pre-prepared meal kits, why not get quotes now!