Vending Machine Insurance

Even vending machines need insurance. Despite their simplicity, they are always susceptible to risks. They can be broken into, stolen, or, worse, damaged. It would help if you had vending machine insurance to protect your business and to ensure you are not counting losses for operating vending machines across different locations in the country.

People exhibit the strangest behaviors toward vending machines. You may see someone vigorously shaking a vending machine so that more products fall out, even without slotting in a coin. 

A customer might decide to vent their anger on a vending machine because it didn’t function properly, or someone might just decide a few coins wouldn’t serve; he has to steal the whole machine. A machine that costs more than $2,000! 

There is even a slight chance that your vending machine could fall on a customer, or the food in the machine could expire before someone gets it. The unfortunate customer who finally gets the product will be exposed to food poisoning, putting you in a tight spot as your business has endangered the life of another.

With a business surrounded by these tricky circumstances, your interest is only protected when you have insurance. You need insurance that ensures your machines are taken care of and your inventory accounted for. This is what vending machine insurance is for.

This article explains everything you need to know about vending machine insurance and how to choose the best insurance policy for your business.

What is vending machine insurance?

Vending machine insurance is a specialized type of insurance designed to protect business owners who operate vending machines. This type of insurance protects the business owner from risks associated with the business and the damages that could arise too. 

From damages to the machines, theft, or inflicted injuries on users or staff, the vending machine covers the legal costs and compensation charges that arise from these risks. With vending machine insurance, you are sure that whatever the accident may be, your business interest is always protected. 

Why do vending machines need insurance?

Vending machines need insurance for quite a lot of reasons. Irrespective of how simple vending machines are, they present a lot of risks to both the owner and the public. You need insurance to ensure that these potential risks don’t wreck your finances or leave you fighting legal battles till your business folds.

Here’s a list of reasons why vending machines need insurance:

1. Property Damage
2. Product Liability
3. Personal Injury
4. Fire and Theft
5. Repairs, replacements, and equipment breakdown
6. Business Interruption

What type of vending machine business insurance do I need?

The only way you can know what type of vending machine you need is to understand the different vending machine insurance coverage and figure out which policy best aligns with your interest. There are different types of vending machine insurance available, each with its peculiarities addressing different needs and risks in the industry.

Vending machine insurance coverage

Here are some coverages that you can enjoy with vending machine insurance: 

1. Equipment Breakdown Coverage
2. Body Injury Coverage
3. Business Interruption Coverage
4. Medical Expenses Coverage
5. Coverage against damage on rented property where the vending machine is located
6. Property Damage Coverage

Seven Major Types of Vending Machine Liability Insurance

Type of Insurance	Coverage	Scenario
General Liability Insurance	Protects against third-party claims of bodily injury or property damage.	A customer injures themselves when a vending machine tips over due to improper installation.
Property Insurance	Covers physical damage or loss of the vending machine due to events such as theft, vandalism, fire, or natural disasters.	A vending machine is vandalized during a public event, resulting in damage to its exterior and internal parts.
Product Liability Insurance Get the best vending business insurance coverage starting from $12/mo now. Get Quote	Protects against claims arising from defective or contaminated products sold through the vending machine.	A customer purchases a drink from the machine and experiences food poisoning due to improper storage temperatures or expiration.
Business Interruption Insurance	Compensates for lost income if business operations are disrupted or the vending machine is shut down for any reason.	A fire damages the vending machine’s location, making it impossible to operate for several weeks.
Workers’ Compensation Insurance	Covers medical expenses and lost wages for employees injured while servicing or operating vending machines.	An employee suffers a back injury while lifting a heavy vending machine for relocation or while trying to load the vending with products
Commercial Auto Insurance	Covers vehicles used to transport vending machines or products.	A delivery van carrying vending machine supplies is involved in an accident, causing damage to the vehicle.
Cyber Liability Insurance	Protects against data breaches or hacking attempts on machines with digital payment systems.	Hackers breach the payment system of a vending machine, stealing customer credit card information.

Vending machine insurance cost

The cost of a vending machine varies due to the different factors. Some of these factors include the number of machines that you operate, their locations, the number of your employees, the type of products that you sell in the vending machine, the value of the machine, and the risk index of the locations where your vending machine is located. 

The insurance company that you work with and the type of insurance coverage that you choose also determine the cost of the vending machine insurance.

No matter the circumstance, you should expect vending machine insurance costs to run between $500 and $1500.

Best vending business companies

Here are the five best vending business companies:

1.  Crane Merchandising Systems
2. Aramark
3. Compass Group
4. Canteen
5. AFV

State Farm vending machine insurance

State Farm offers comprehensive insurance coverage for vending machines. You can access this from their small business insurance coverage, professional liability insurance coverage, workers compensation, business owners’ insurance, and commercial auto insurance. All you have to do is contact a State Farm agent near you to discuss how to draft an insurance policy just for your vending business.

Geico vending machine insurance

Geico offers business insurance that offers just the coverage you need for your vending machine. From property damage to legal liability and workers’ compensation, any potential risk that your vending machine business might face is covered by the Geico business insurance.

FAQs

What should I look for in a vending machine insurance policy?

To get the best from a vending machine insurance policy, there are some things that you should look out for. These things include the reputation of the insurance providers, coverage limits and deductibles, personalization options, and coverage included in the policy.

CONCLUSION

Getting vending machine insurance is a step in the right direction. You have the assurance that your business is protected and you won’t have to worry about financial risks and compensation costs. Don’t forget to read reviews about different insurance providers to decide which is best for you.

You may also like