Do you own vending machines and wonder if you need vending machine insurance? No matter the size of your vending machine business, you are probably busy with daily tasks ranging from purchasing stock to ensuring the machines are well-maintained. Vending machine business owners rarely stop to think about whether they need progressive vending machine insurance. Additionally, you may not be sure how to go about obtaining it.
Is Vending Machine Business Insurance Necessary?
You may be thinking if your vending machines are placed outside, you risk them being vandalized, etc. The bottom line is that no machine is safe when in a public space. You always run the risk of something unpredictable happening, which is why obtaining the necessary insurance to protect you is necessary. People may even sue you for other reasons that may or may not sound reasonable, like customers tripping over spilled beverages, etc. Obtaining insurance makes sense, so you can focus on your business instead of customer claims.
Vending Machine Business Insurance Costs
Are you asking, "How much does vending machine insurance cost?" If you prefer to focus on your vending machine business instead of conducting research on the type of insurance your business needs, it is imperative that you find someone that you can trust to provide you with insight on the topic. Your insurance agent can help make this process less time-consuming and stressful.
The costs can vary substantially and are dependent on your turnover. For example, if your sales from your business are $100k or less annually, you can count on having an insurance premium between $400 and $500.
Additionally, you will want to obtain commercial vehicle insurance, which will vary depending on the type of car or truck you own and your driving record. Annually, on average, commercial auto insurance costs are between $750-$1,200 per vehicle. Employee premiums may vary depending on the number of workers your business has employed and can range between 3% and 5%.
Things To Watch Out For
Just like everything else, you should tread lightly when shopping for an insurance policy. You need to make sure that you familiarize yourself with every detail of the procedures involved in your policy. You want to know what your policy covers, and be sure to read the fine print. Typically, vending machine business owners don’t invest enough time in choosing the right insurance policy, which may result in costly mistakes such as:
- Not insuring all the products that are being sold in the vending machines. If you sell a long list of items, you may forget to disclose some of them, resulting in an invalid insurance claim.
- Not maintaining your vending machines. To keep them up and running properly, you should upkeep and maintain them so they can continue to perform.
- Not insuring your vending machines when they are leased.