How much does insurance cost for delis and sandwich shops?

Deli and sandwich shop owners typically pay an average of $103 per month for a business owner’s policy (BOP), or $1,235 annually.

A BOP bundles general liability insurance with property coverage, usually at a discounted rate. Policyholders can often add insurance endorsements, such as business interruption insurance or equipment breakdown coverage.

This is the average business owner's policy for deli owners who buy from Insureon:

Premium cost: $103 per month
Policy limit: $1 million per occurrence, $2 million aggregate
Policy deductible: $1,000

The cost of a business owner's policy is determined by your sandwich shop's location, operations, and value of business property. Delis with high-value kitchen equipment and furnishings tend to pay higher premiums.

Not all deli and sandwich shop owners qualify for a business owner’s policy. Check with your Insureon agent to find out if your business is eligible.

Delis pay an average of $113 per month, or $1,353 annually, for general liability insurance.

This policy protects delis against customer bodily injuries, such as customer slip and fall accidents, along with property damage and advertising injuries. Additionally, general liability often includes product liability coverage.

Insureon’s licensed agents typically recommend purchasing a business owner’s policy, which is an insurance package that bundles general liability coverage with commercial property insurance at a discounted rate. A BOP protects your own business property and defends against common third-party risks.

This is the average general liability policy for deli owners who buy from Insureon:

Premium cost: $113 per month
Policy limit: $1 million per occurrence, $2 million aggregate

Learn more about how your insurance premium is calculated, cost information, and how to save money on your general liability coverage.

The average cost of workers’ compensation insurance for a delicatessen or sandwich shop is about $115 per month, or $1,374 annually. The cost of a policy varies significantly depending on the state you live in, your business operations, and the number of employees you have.

Workers’ compensation insurance is required in almost every state for sandwich businesses with employees. This coverage helps pay medical costs and lost income for employees who are injured on the job. Most policies include employer’s liability insurance, which protects deli business owners against lawsuits related to workplace injuries.

Because health insurance plans can deny claims and medical bills for injuries related to your job, workers' compensation coverage is also recommended for sole proprietors.

The cost of workers' comp depends on several factors, primarily the size of your staff and their occupational risks. You can save money on workers' comp coverage by classifying your workers correctly and implementing a risk management plan to minimize work-related injuries.

The average cost of a liquor liability insurance policy for a food and beverage business like a deli is $58 per month, or $700 annually. This type of insurance protects sandwich shops from liability claims related to serving alcohol. In some jurisdictions, your deli might need liquor liability coverage in order to obtain a liquor license.

This is the average liquor liability policy for food business owners who buy from Insureon:

Premium cost: $58 per month
Policy limit: $1 million per occurrence, $2 million aggregate

What's more, many states have dram shop laws that hold a business liable for any damages caused by intoxicated customers that were served by your staff. This can make this coverage all the more important to protect businesses against the expensive legal fees and other financial losses from an incident.

Learn how to save money on your policy, which coverage options to choose, and how liquor liability costs are calculated.

The average cost of a commercial auto policy is $170 per month for food service businesses like delis, or $2,041 annually.

This insurance covers medical expenses related to injuries and property damage costs if you or an employee driving your sandwich shop delivery vehicle is held liable for an accident. It also covers vehicle theft, vandalism, and damage caused by weather.

Most states require this type of insurance for vehicles owned by a deli or sandwich shop. For personal, rented, and leased vehicles used for work purposes, look to hired and non-owned auto insurance (HNOA) instead.

The cost of commercial car insurance depends on several factors, including the policy limits you choose, claims history, the number and value of your vehicles, and the driving records of anyone permitted to drive. Learn how insurers calculate your premium and how to save money on commercial auto coverage.

Small food businesses pay an average of $145 per month, or $1,740 annually, for cyber insurance. You might also see this policy called cyber liability insurance or cybersecurity insurance.

Cyber insurance helps food businesses recover financially after a data breach or cyberattack. It can help pay for customer notification costs, fraud monitoring services, and other costs necessitated by state data breach laws.

The cost of cyber insurance depends on the amount of personal information handled by your sandwich shop, such as customer credit card numbers, along with the number of employees who can access that information.