What Does Auto Insurance Cover for Pizza Delivery Drivers?

Pizza delivery is a special segment of the job marketplace in the sense that it seems to never run out of openings. During times of massive layoffs and economic downturns, the pizza delivery industry adjusts accordingly with marketing and special promotions; as a result demand increases and opportunities open up for new drivers.

Drivers who rush out to get pizza delivery jobs should first spend some time reading their car insurance policies. Chances are that the insurance company placed a stern “no business use” provision that renders the policy invalid should there be an accident while pizzas are being delivered. This goes for just about all personal and family policies, even when expensive, full-coverage premiums are being paid.

<strong>Commercial Auto Insurance Policies</strong>

Pizza shops that keep their own vehicles pay for special policies that are not normally offered by all insurance agents. These policies are known as hired or non-owned commercial auto lines. Some unique insurance companies cater specifically to pizza shops and include coverage for delivery vehicles and hired drivers.

Purchasing a commercial auto insurance policy often calls for payment of high premiums that will feel prohibitive to part-time pizza delivery drivers. For this reason, most pizza shops will carefully screen the insurance and driving histories of their candidates before including them in their umbrella policy.

In the United States, at least one major car insurance company offers a special pizza delivery feature that can be enabled on a seasonal basis or during the times that the vehicle is actually being operated for business purposes. The coverage provided will vary depending on each company, but the policy limits established by most insurers start at $100,000 and could go up to $1 million.

Pizza delivery drivers who purchase their own policies can reasonably expect to pay around $3,000 in premium, but their coverage will typically exceed that of their personal insurance policies. In fact, full-time pizza delivery drivers who opt for commercial auto insurance policies should not need personal lines since their coverage is more than adequate.

An interesting fact about commercial auto insurance for pizza delivery drivers is that many companies feature a provision that specifically excludes the guaranteed-delivery time promise that is popularly made by many shops. Aside from this exclusion, pizza delivery drivers actually enjoy comprehensive coverage under commercial policies.