What Insurance Your Vending Machine Business Needs
You are continuously selling the products in your vending machines, whether it’s coffee, drinks, or candy. Sounds easy, but your vending machine business is not without risks.
You can face threats like vandalism, defective products or machines that don’t always work. An insurance package for vending and coffee services protects you from these threats, so that you can confidently operate your business.
Are you a coffee machine supplier to office buildings at King and Bay streets, or on Front Street or University Avenue?
Do you have vending machines at the Eaton Centre, Sherway Gardens or at Union Station? How about in hotels on the Esplande or apartment buildings on St. Clair or Eglinton avenues. Are you operating in the Greater Toronto Area (GTA) in Oakville, Markham, Richmond Hill, Orangeville, Burlington, or other communities?
Your Western business insurance expert will give you top-notch advice and ways to save on insurance for your vending and coffee services. We’ll get you customized vending machine insurance to protect your business.
What is insurance for vending machines and coffee services?
A vending machine insurance protects you from risks such as vandalism, malfunctioning machines, cyberattacks, and errors and omissions in the service you provide.
Partnership with the Canadian Automatic Merchandising Association (CAMA)
Western Financial Group partners with the Canadian Automatic Merchandising Association (CAMA) to provide members with a specialized business insurance program, which offers best-in-class coverage and significant value-added services.
Speak to your Western business insurance expert about how the CAMA program can benefit your coffee services or vending machine business.
A vending machine insurance package helps protect you from these 3 claims:
1. Vending machines at one of your locations have been vandalized. Commercial property insurance typically covers vandalism.
2. A client visits your office to see some new vending machines but slips and falls on ice on your sidewalk. The client files a personal injury lawsuit against your business. Commercial General Liability Insurance, also known as slip and fall insurance, could help cover the medical expenses and legal fees.
3. New vending machines are being shipped to a client’s location, but the truck transporting them gets into an accident and the machines are damaged. The carrier transporting your vending machines did not insure them. Marine inland insurance provides coverage for property and equipment, such as your vending machines, that is shipped by land.
How much will my vending machine insurance package cost?
Factors that will influence the cost:
- Type of products sold
- Years of experience
- Annual revenue
- Number of employees
- Past claims
Here’s an insurance check list for vending machine and coffee services companies:
- Do you have the best business insurance rate for your business?
- Do you have the right amount for your deductible and regularly review to make sure it’s the right amount for your business?
- Is your number of employees up to date?
- Are you using your personal car for business purposes?
At Western, we will save you time and money by doing the insurance shopping for you to find a vending machine insurance package that suits your business at the right value for you.
What do I need in my vending machine or coffee services insurance package?
Commercial General Liability (CGL) Insurance: It can protect your vending machine or coffee services business against common claims or lawsuits alleging third-party bodily injury, false advertising, and libel or slander. If you are sued, CGL may cover legal costs, regardless of the lawsuit’s outcome.
Without CGL insurance, you would be responsible for paying any liability costs out of your own pocket.
It’s not unusual for a vending machine business to have several million dollars coverage in CGL insurance, depending on what it provides. The minimum is typically $1 million.
Product Liability Insurance: You supply products that people consume from your vending machines. You’ll need product liability insurance to protect yourself if a product causes illness or injury.
This type of insurance protects your business against claims of claims of bodily injury or property damage arising from products you sell to your customers. It typically pays for claims, including legal fees, settlements, and damages.
Commercial Crime Insurance: Your vending machines hold your products and money. This type of insurance helps protect you against certain types of losses that are not covered by a standard commercial property policy, such as: employee theft, credit, debit or automated teller, counterfeit money, or fraud.
Inland Marine Insurance: It provides coverage for property and equipment that is shipped by land, such as on a truck or by rail. Your vending machine products such as food and soft drinks could be spoiled due to an accident, theft or damage to equipment. This insurance coverage reimburses the cost of goods and products that are damaged during transit.
Commercial Auto Insurance: If you use a car or truck to deliver vending machines and stock to your clients, you will need commercial car insurance. Your personal car or truck insurance usually won’t cover your vending or coffee services business.
Commercial Property Insurance: This type of insurance can cover losses due to fire or lightning, including removing property to protect it from further damage. You can also include vandalism and malicious mischief as part of your commercial property insurance package.
Equipment Breakdown Coverage: If you are dependent on your vending machines, this type of insurance covers the costs of repairing or replacing equipment that suffers a sudden or accidental mechanical or electrical breakdown, due to an insured peril.
Business Interruption Insurance: This type of insurance is an additional property insurance coverage that covers loss of income if your business suffers a disaster, and your business premises need to be temporarily closed. This type of coverage can mean the difference between reopening your business or going out of business.
What do I do if I have an insurance claim?
- Contact your broker immediately after any business-related mishap. Waiting to file a claim can confuse insurers about the severity of the damages to your business.
- Know your policy so that when you contact your broker you are familiar with what will be covered or not.
- Document the damage. Take photos right away and write down what happened.
- Do not throw away damaged goods after taking photos. Keep the physical evidence so that your adjustor can see it.
- Do not invite lawsuits. Don’t say anything that could be used against you, especially if you aren’t sure what happened.
- Be honest about what your damaged property is worth. Damaged commercial property is generally valued according to its actual cash value or replacement value.
Western Insurance has licensed BUSINESS INSURANCE EXPERTS to get you the right insurance package for your vending machine or coffee services business. Our experts are available now to help you navigate the business insurance journey to protect you and your vending machine business.
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