The Event Industry Struggle
The past year has been a challenge for many. Shuttered living and the inability to dine out and attend festivals, concerts, sporting events and more have not only impacted our daily lives but also hit the heart of many small business operators — including the concessionaires and vendors whose livelihoods depend on these events and the foot traffic they bring.
A study done by Forbes estimates 83 million people have been affected by the cancellation or rescheduling of events. These circumstances have made this upcoming season of festivities — and a somewhat-normal return to travel — vital to the food-and-merchandise trucks, stands and vendors that follow festivals and sport teams and serve as local tourism spots.
Once again able to serve large gatherings, these small businesses can redevelop a loyal customer base and get their names back in the public eye.
What Your Insureds Need to Know
The characteristics prevalent to these unique exposures require careful risk management. Although mobile food businesses do not have the traditional brick and mortar risk exposure, there are many other important factors for your insureds to consider when starting a stand or a food truck.
Take the following claims as examples:
- Customers surrounded a stand to order food. The stand was suddenly knocked over by a strong gust of wind, injuring a customer. The injured individual incurred $1,100 in medical expenses, $12,000 for surgery and $10,000 for mental anguish.
- An individual owned a mobile hot dog and french fry stand that he took to local fairs. One night, the owner’s employee accidentally left two hot dog heating units on overnight. The units overheated and caused a fire in the mobile stand. The fire damage to the unit was extensive, making it a total loss.
With the approaching trend of outdoor activities during the summer, it is critical for your concessionaires, vendors, seasonal lots and mobile food trucks selling either food or merchandise to have the appropriate coverage for the risks they face. We can accommodate both indoor and outdoor vendors that regularly operate from one location or multiple locations.
Key product advantages available for mobile trucks under our Concessionaires and Vendors product include:
- Primary limits available up to $2 million occurrence/$3 million aggregate on eligible classes
- Ability to add blanket additional insured, primary/non-contributory, and transfer of rights
- Inland marine coverage up to $35,000 per item, with a maximum limit of $500,000 per policy, and blanket limits available for miscellaneous equipment
- Defense costs are provided outside the limits
For more information or a quote, please contact Michelle Belden at Michelle@cidinsurance.com.