Maine Food Truck Insurance

Food trucks have roamed the streets of Portland Maine for several years.  Now they’re popping up in places from Biddeford Saco to Westbrook, Scarborough to Freeport, Sugarloaf to Sunday River. Food truck insurance can be a challenge for an inexperienced insurance agent. Insurance companies know how to insure trucks. They know how to insure restaurants. But rolling restaurants are different.

5 Types of Insurance Every Food Truck Needs

  • General Liability  Insurance – if someone breaks a tooth in a crabmeat roll or gets food poisoning after eating your product, they’re going to come back to you. GL coverage pays for these claims, as well as slips and falls and other injuries or damage that occur at your location.
  • Business Auto Insurance – If you get in an accident while you’re on the move, you need to have your food truck fixed and back online soon. If you’re at fault, you’ll also need protection to pay for the damage and injury you cause.
  • Workers Compensation Insurance – By law, you’re required to provide Maine workers comp coverage for your employees. If they’re injured at work or miss time due to an on-the-job injury or illness, workers compensation insurance pays them.
  • Property Insurance – You have a big investment in your inventory, fixtures and supplies, both at the commissary and on your food truck. Insurance can protect that asset against fire, theft, equipment breakdown and more.
  • Loss Of Income – If your food truck is down, you have no income.  What if your fryer malfunctions, causing a fire? You could be off the road for the whole summer season. Or what if your best brewery location or outdoor venue suddenly shuts down due to a fire, windstorm or some other disaster? Business income insurance for food trucks can help you replace the income you lose following property losses like these.

If you have questions about insuring a food truck in Maine, contact a Noyes Hall & Allen insurancce agent in South Portland at 207-799-5541, or click “get a quote” above. We’ve insured food trucks since they first came to Maine. We offer a choice of Maine’s preferred insurance companies, including Acadia Insurance’s Acadia Street Eats food truck program. We’ll help you find an insurance solution that fits your business and your budget. We’re independent and committed to you.

Why Maine is a Great Place to do Business

Are you thinking about opening a business in Maine?

If so, you should consider doing so in Portland, ME. This city stands out as a location where entrepreneurs have access to all the resources they need to find success with their new business. In fact, Portland has been ranked as the ninth best location for women entrepreneurs and number five for starting a business overall. If you are starting a business, you need to protect it with proper commercial insurance coverage with the help of Noyes Hall & Allen Insurance.

Keep reading to find more reasons why Greater Portland is such a great place to start a business.

Maine Has Great Support Network for Entrepreneurs

The history of underemployment in Maine has helped to spark several institutions that are designed to support and fund entrepreneurs. For example, The Maine Venture Fund, which was established in 1995 has currently received more than $13 million to provide startup companies. Maine Center for Economic Development, Startup Maine, Top Gun, Greenlight Maine and other resources help startup business owners to network and learn. Several Portland coworking spaces offer work and meeting rooms, including Think Tank, Cloudport, Engine Room and Peloton Labs.

Integration of  Maine Values into Business 

Another reason that Maine is such a great place to do business is the fact that this is a location where values are at the forefront of business ideas. For example, a recently opened company, American Roots, sells ethically sourced, fleece clothing made in Maine. The state is brimming with young values-based companies including GrandyOats, Heritage Seaweed and Flowfold.

As you can see, the Portland Maine area is a great place to open a business. Before you take the leap, be sure you have the proper protection for your business. The best way to do this is by purchasing a robust insurance policy from a quality insurer. Contact Noyes Hall & Allen Insurance today. We offer a choice of Maine’s preferred business insurance companies. We’re independent and committed to you.

 

Do Hurricanes and Wildfires In Other States Affect Maine Insurance Rates?     

 

Insurance companies pool risk. They collect money from many people to pay the losses of a few who have claims. Everyone’s rates go up or down, depending on the insurance company’s experience. More claims paid = higher rates.

 

You may be wondering:

  • How much do hurricanes, wildfires and other disasters affect insurance rates?

  • Do disasters in other states affect my insurance rates in Maine?

 

It’s helpful to understand how insurance companies price their product. Insurance rates are recommended by insurance company actuaries. They project how much money the insurance company must collect to pay claims and make a profit. This requires complex modeling and formulas. Actuaries recommend rate changes to a special committee of company executives. The committee compares the actuary’s recommendation to the company’s profitability and growth targets. They agree on a proposed rate change, and submit it to Maine insurance regulators.

The regulator’s job is to make sure that insurance rates are:

  • Adequate to pay claims
  • Not excessive
  • Not unfairly discriminatory.

Regulators may approve or deny the rate change, or ask for more information.

 

What Factors Affect Insurance Rates?

At its simplest, insurance is “money in…money out.”

Money In = Premium Collected

Cheap insurance rates may leave the insurance company with insufficient money to pay claims and make a profit. Rates that are too high may send customers fleeing to other insurers.

Money Out = Losses 

The most important determinant of insurance rates. More losses than expected puts pressure for the insurance company to raise rates. Fewer losses puts downward pressure on rates.

 

But here’s the rest of the story:

Insurance Company Financial Strength – Well-managed insurance companies keep adequate reserves to pay claims on a rainy day. Insurers with strong financials can weather a bad year without huge rate increases. Weaker ones need more frequent rate adjustments. The best way to learn the financial condition of an insurance company? A.M. Best tests the financial strength of insurers and assigns them a letter grade.

Type of Insurance Company – Mutual insurance companies are owned by their customers. After they pay claims, mutuals store their profits to pay future claims. Other insurance companies are stockholder owned. Stockholders expect a return on their investment. Investors pressure executives of publicly held companies to improve profits every quarter. This can lead to larger or more frequent rate increases to stay ahead of current losses.

Reinsurance – Almost every insurance company is also an insurance consumer. They buy insurance against “the big one”. This is called reinsurance. Most companies reinsure against annual total losses exceeding a certain amount. This dampens the impact of multiple hurricanes, fires or other disasters in one year.

Generally, larger insurers buy less reinsurance than smaller ones. Smaller insurers have less surplus, and thus are more vulnerable to catastrophic losses.

Of course, reinsurers are also insurance companies. They must collect more premium if they suffer unexpectedly large claims. Insurance companies pay different reinsurance rates based on their individual loss experience.

Do Disasters in Other States Affect My Insurance Rates?

Probably not as much as you think. Maine insurance regulators only allow insurers to file rates based upon Maine premium and losses. Claims that a company pays in California or Florida are not baked into Maine insurance rates.

But:

Insurance companies factor nationwide overhead costs into Maine rates. Cost like advertising, salaries – and reinsurance. Since events outside Maine influence reinsurance costs, they influence Maine customers’ rates. Just less than you might expect.

Maine Drone Insurance

Maine businesses are using drones to create unique video, capture aerial shots, and check locations that would otherwise be hazardous or difficult to access. Photographers and videographers capture unique images and videos. Marketers use drones to create compelling and  content. Real estate agents and developers use drones to show the attractiveness and potential of properties.

New Drone Insurance Program in Maine

Acadia Insurance Drone coverageWe were excited to learn today about Acadia Insurance‘s new drone insurance program.  Until today, our clients have had to insure their drones in Maine with specialty insurance programs. That meant separate billing, coverage and claims. Sometimes, it’s even meant that they had to work directly with the insurance company, with no agent to help. Insurance company financial stability isn’t a given for these programs.

The Acadia program allows Maine businesses to insure their drone with the rest of their property and liability. One bill, one claim adjuster, one agent. Acadia is based in Westbrook, Maine and already insures thousands of Maine businesses. They’ve introduced special programs inspired by iconic and growing Maine businesses, from breweries to artisans and contractors.


related post: Are Drones Covered by Maine Homeowners or Business Insurance?


Do you use a drone in your Maine business? Have you bought insurance from a specialty program or an insurance company you’ve never heard of? Do you wonder if they’ll be able to pay claims? Do you struggle to speak to a human at your insurance company? Call a Noyes Hall & Allen Insurance agent in South Portland at 207-799-5541. We’re eager to see if Acadia Insurance can help Maine businesses insure their drones with a Maine insurance company.

Commercial Insurance for Maine Small Business

Maine small businesses face many of the same hazards as their larger counterparts. They are also unique, and as such, they have unique insurance needs. For businesses in the Portland, South Portland and Scarborough, ME area, the agents with Noyes Hall & Allen Insurance can help you to find the right insurance policy to protect their unique operations.

Maine small businesses are not legally required to carry property or liability insurance. If your business has employees, you must carry Workers Compensation insurance, though. Smart business owners know that insurance is a cost-effective way to protect their investment in property such as inventory, fixtures and equipment. They also know that business liability insurance will protect them from lawsuits alleging negligence that causes injury or property damage.

Many business contracts require proof of insurance. These include rental agreements and leases, equipment leases, and independent contractor agreements.  A Noyes Hall & Allen Insurance agent can help you determine what kind of insurance you need and how much. They’ll help work within your budget so you don’t buy too much – or too little – insurance. For those in the Greater Portland, ME area, Noyes Hall & Allen Insurance offers the choice of several of Maine’s preferred insurers. We’re independent and committed to you. Call us at 207-799-5541.

Maine Business Insurance – How Much Does it Cost?

If you’re starting or running a business in Maine, your budget includes insurance. How much fire, auto or liability insurance do you need, and what will it cost? The answer varies, depending on what your business does. Restaurants pay more for fire insurance because of open flames and heat. Web designers pay more for professional insurance due to copyright infringement hazards. Breweries and other manufacturers spend more for product liability insurance. Contractors and food trucks pay more for auto insurance because they have a lot of equipment on the road.

Your business location affects your insurance costs, too. Business insurance in Portland or Southern Maine may cost more due to more congested roads, exposure to out-of-state travel and more a more litigious environment. But, business fire insurance may cost less in Portland, South Portland, Scarborough or nearby southern Maine towns due to strong fire protection.

Average Costs for Small Business Insurance in Portland Maine

The business clients of Noyes Hall & Allen Insurance, an independent agency in South Portland Maine, pay an average of:

  • $3600 for all their commercial vehicles
  • $4500 for workers compensation
  • $1400 for business property insurance
  • $2600 for business liability insurance
  • $2750 for professional liability (Errors & Omissions) insurance

Those figures include all business clients, large and small. Some clients only need business liability coverage; others need all the insurances.

What Would It Cost to Insure Your Maine Business or Idea?

If you own a business or a startup business in Maine, we can help you find out. We offer a choice of Maine’s preferred business insurance companies, so we can survey the market. We’re independent and committed to you.  Call a Noyes Hall & Allen Insurance agent in South Portland Maine, or click “get a quote” above. In the end, you’ll know how much to budget for insurance, and what kind of business insurance you need.

Get Proof of Insurance for a Portland Maine Sign Permit

 

If you own a business in Portland Maine, you may want an outdoor sign or awning to attract and help customers. Signs can be simple or elaborate, carved wood or electric, mounted or hanging. But all signs need a City of Portland sign permit from City Hall. You can find the application at the Citizen Self Service portal. Most sign permits cost $30 plus $2.00 per square foot. Sidewalk sign permits cost $25 plus $0.20 per square foot.

You’ll need to show proof of insurance for a Portland Maine sign permit. Your insurance policy must name the City of Portland Maine as additional insured with respect to the sign.

Proof of Sign Insurance ExampleWhy Does the City of Portland Maine Need to be an Additional Insured for My Sign Permit?

When you apply for your permit, you agree to be 100% responsible for your sign. This is called a “hold harmless” agreement. The city wants proof that you have insurance to back that up. They want to know that your insurance will pay if your sign injures someone or damages property. That’s one reason they require to be named as an Additional Insured on your business liability policy with respect to the sign.


See also:  Adding an Additional Insured to Your Insurance Policy


What Does an Additional Insured Do? 

When you add an additional insured on your business liability policy, it does two things.

  • Extends coverage to protect them under your insurance policy
  • Notifies them if your policy cancels for any reason

 

How to Get Proof of Sign Insurance

Noyes Hall & Allen Insurance can help you show proof of insurance for your Portland Maine business. Often, you must show this before you even open your business or move into the location. Sign insurance isn’t expensive. It’s often part of another policy, such as a package policy or a businessowners policy.

What Does Business Sign Insurance Do?

Sign insurance can protect

  • The value of the sign against vandalism, wind or other damage. The city doesn’t require this.
  • Your liability if your sign injures someone or damages property. That’s the part that your Maine town or city requires.

If you’re opening a business in Portland Maine and want to know more about insurance coverage and cost, contact a Noyes Hall & Allen Insurance agent. We offer a choice of many top Maine business insurance companies. We can help you find the right insurance for your business and budget. We’re independent and committed to you.

Helpful Link: City of Portland Maine Citizen Self Service Portal Login

 

Commercial Insurance for Maine Business Start-Ups

Commercial insurance is requisite for any business in the modern world, including start-ups. In fact, new businesses or start-ups have the most to lose if things go south. Therefore, it’s vital to protect yourself in the best possible way – including getting commercial insurance. In Maine, this type of coverage is not mandated, but if you are serious about running a successful business, you need to get it.

Purchasing commercial insurance might be the difference between death and survival  for your start-up. If you are planning to open a new business in The Pine Tree State and need coverage, Noyes Hall & Allen Insurance in Portland, ME is the place to look. We offer the following commercial insurance coverage options for start-ups:

  • General Liability Insurance for Start-Ups. GL pays for losses arising from settlements, claims, or lawsuits that your start-up may face due to injuries or property damage caused to third parties.
  • Professional Liability Insurance. Many creative and tech startups would face disaster if sued for copyright infringement, programming error, printing mistakes and other gaffes. Professional liability insurance protects you and your reputation by defending you and paying damages you might owe.
  • Property Insurance for Start-Ups. This covers physical assets owned by your start-up. This includes your investments in inventory, structures, equipment and company vehicles (commercial auto insurance). Damages caused by wind and hail storms, fire, smoke, collision and vandalism fall under this category.
  • Flood Insurance.  Flood damage isn’t covered by business property insurance. That’s why you need flood insurance for your start-up. Remember that flooding can occur anywhere, anytime. It helps to be covered from the resultant losses.
  • Workers Compensation Insurance. In Maine, if you have employees, you’re required to provide workers comp insurance. Your employees are an essential part of your business. Ensure that they are taken care of in case of an accident that results in injury, disability, or missed work.

Other coverage options are available, but these are the most important. Commercial insurance is the best way to make sure that your business doesn’t go under after an unfortunate event. For more information on commercial insurance from Noyes Hall & Allen Insurance in Portland, ME, call us at 207-799-5541, or visit our website to get the answers you need.

Why Isn’t it Cheaper to Buy Higher Property Insurance Deductibles?

 

Recently, a very smart guy asked on Twitter:

“why does it cost $19 a year to reduce my deductible from $1,500 to $1,000, but I only save $25 a year to increase it from $1,500 to $5,000? Shouldn’t deductible affect premium linearly?”

Another very smart guy responded with the snark that insurance often inspires:

 

 

Insurance Can Seem Illogical

Insurance is a big budget item. It costs a lot to protect your home, condo, car and other stuff (we won’t even start on medical insurance).

Insurance seems even more expensive because most of us don’t have claims very often. The average person has 3 or 4 auto accidents in their driving lifetime, and a home insurance claim every 12 years.

Insurance Is Mostly Math – and Math is Logical

The key concept of insurance is that everyone pays a fixed amount each year to avoid paying a huge and uncertain amount if something terrible happens. The money paid by the many goes to the few who have losses.

The typical fire claim is about $45,000. Liability claims average about $22,000, and water damage $9,000. Any of those would be a financial catastrophe for many Americans. Better to pay a fraction of that each year in predicable installments.

Insurance rates aren’t random. Insurance companies submit their rate requests to state insurance departments for approval. Those requests are accompanied by data about loss payments and current projections produced by math nerds called actuaries. The math can be heavy, and the results hard to understand.

So, Why Aren’t Deductible Costs and Savings Linear?

You might think that increasing your deductible by $1,000 should save twice as much as a $500 increase. That’s because you’re thinking about yourself, and your experience. The insurance company thinks about everyone’s claims, not just yours.

Most Claims are Small

While the average insurance claim is big, most claims are small. For every $100,000 fire claim, there are dozens of $1,500 ones. Think about it: every larger claim exceeds a smaller deductible, but not every claim reaches the larger one.

 

Example

Here’s an example of 3 deductible scenarios using 8 typical claims:

 

What happens when the deductibles increase to $2,500?

The insurance company sees that they pay 24% more on policies with $1,000 deductibles compared to $2,500 deductibles, so they offer a corresponding discount in their rates.

What if the deductibles were $10,000 instead of $2,500?

An individual or business owner might look at those figures and say “I’m taking a lot more risk with a jumbo deductible, so I should get a big discount”.

But the insurance company pays only 19% less, despite the $10,000 deductibles vs. $2500. The insurance company’s risk of claims payments isn’t linear, and so neither are the deductible savings. That’s why you don’t save as much when you buy a much larger deductible.

Logical, no?

Do you live or own a business in Southern Maine? Have questions about your personal or business insurance?  Contact a Noyes Hall & Allen Insurance agent in South Portland at 207-799-5541. We offer a choice of several of Maine’s top insurance companies. We can help you choose the most cost-effective property insurance deductible. We’re independent and committed to you.

How to Keep the Funds in Your Fundraising Event

 

You created a fabulous signature event for your non-profit. The stakes are high. Your budget – maybe your job – depends on its success. But you’ve done your homework. The board is jazzed. Volunteers, donors and the venue are ready. Publicity and social media are on point. RSVPs and reservations are rolling in.

Now all you need is good luck. Here’s how to stack the odds in your favor.

Your Programs Depend on the Event’s Revenue. Protect It

Insure the weather.

Does the forecast keep you up at night for weeks before your event? Believe it or not, you can insure the weather. A special insurance policy can reimburse you for lost revenue caused by stormy weather.

How does weather insurance work? Pick the amount of income you want to protect, and a “trigger”. For example, if it snows more than 6” at the event site, your insurance pays the amount on your policy.  It might cost a few points of revenue, but it’s better than a big loss if the weather makes everyone stay home.

Hire Out the Risky Stuff

Your non-profit is probably not in the business of tending bar, supervising a road race or shucking oysters. Do yourself a favor: hire a professional. One with their own insurance.

Don’t take on a lot of risk for a little savings. If something goes wrong, those savings are soon forgotten. But the injury or damage you caused to others – and to your reputation – could last a long time.

Protect Donations

Do you collect and store auction prizes and other donations before your big event? Don’t let a broken pipe, fire or theft erase the good they were intended to do. Add them to your insurance policy – and remove them after the event.  It doesn’t cost much, and can save a lot.

While we’re at it, make sure you have “money and securities” coverage and “employee dishonesty” coverage. Make sure your organization keeps the funds you worked hard to raise.

Love Your Volunteers

Your organization would be lost without them. You appreciate the heck out of them. Do you treat them that way? Would you leave them out to dry if they got in trouble from working your event? Does your insurance protect them against lawsuits for injury or damage they cause while volunteering? If not, fix that. Now.

What about board members? Committed directors are hard to find. Does your non-profit have Directors & Officers Liability coverage? Those with considerable assets are more likely to serve if they have protection from lawsuit. Don’t you owe that to them?

 

Talk to your insurance agent about your event. Explore the coverage we listed above. See what fits your budget. Better to explain to your board that you investigated insurance and chose not to buy it than that you never thought of it.

Noyes Hall & Allen helps Greater Portland non-profits manage their risk within their budget. That allows them to stay true to their mission and avoid financial catastrophe. If you’d like to talk to a Noyes Hall & Allen Insurance agent, call 207-799-5541. We’re independent and committed to you.