Commissary kitchen insurance works on two levels. The operator who rents kitchen time needs property, general liability, equipment breakdown and coverage for tenants’ food in its care. Each tenant, whether a food truck, caterer or packaged food maker, needs its own general and products liability, coverage for damage to the rented space and protection for its equipment and inventory.
Shared kitchens bring many independent businesses under one hood system, with different schedules, recipes and skill levels. That makes insurance a central part of the kitchen use agreement. This page covers both sides of the relationship. Coverage is available in the states where we’re licensed, subject to underwriting.
Risks for the commissary operator
The operator owns or leases the building and usually owns the ranges, ovens, mixers, walk-ins and dish machines. Because many users cook throughout the day and night, hood grease loads and wear on equipment can be heavy. Carriers ask how tenants are screened and trained, whether the operator requires certificates from every tenant, who cleans the hood and when, and whether there is after-hours access. Food truck commissaries add parking, propane refills, grey water disposal and vehicle traffic on site.
One of the less obvious exposures is tenants’ food stored in shared walk-ins and dry storage. If refrigeration fails or a fire spoils that inventory, tenants may look to the operator. Coverage for property of others in your care, sometimes called bailee coverage, and equipment breakdown with spoilage help close that gap.
Risks for kitchen tenants
Tenants are responsible for what they cook and sell. If a customer gets sick from a product made in the commissary, the tenant’s products liability responds first. If a tenant’s cook starts a grease fire that damages the kitchen, the operator’s insurer may seek recovery from that tenant, so damage to rented premises coverage matters. Tenants also need coverage for their own equipment and ingredients stored on site and for employees working in the kitchen.
Scenarios we see in shared kitchens
- A tenant leaves a fryer on after a late shift and a fire damages the shared hood and two other tenants’ equipment.
- A walk-in compressor fails over a weekend, spoiling inventory belonging to six different tenants.
- Cross-contact on a shared prep table leads to an allergen claim against a baked goods tenant.
- A food truck backs into another truck while maneuvering in the commissary lot.
- A new tenant’s employee slips on a wet floor near the dish area and files a workers’ comp claim.
- Propane cylinders stored improperly near the building create a fire code violation and a near miss.
Coverage for operators and tenants
- Operator general liability — premises injuries to tenants, their staff and visitors in common areas.
- Operator property and business income — building, shared equipment and lost rental income after a fire.
- Equipment breakdown and spoilage — shared walk-ins, ovens and dish machines; see equipment breakdown and spoilage.
- Property of others in your care — protects tenants’ stored food and equipment when the operator is responsible.
- Tenant general and products liability — every tenant’s own coverage for bodily injury from its food and operations.
- Tenant damage to rented premises — covers a tenant’s liability for fire or other damage to the commissary.
- Tenant inland marine or business personal property — for mixers, smokers and other equipment tenants store on site.
- Workers’ compensation — for both the operator’s employees and each tenant’s employees.
Pricing considerations on both sides
For operators, pricing depends on building size and construction, the value of shared equipment, number of tenants, hours of access, food truck parking and loss history. Written kitchen use agreements, required tenant certificates, orientation and cleaning checklists, cameras and scheduled hood cleaning all help. For tenants, pricing follows sales, product type, whether you sell wholesale or directly and where your products go. Clear labeling, recall procedures and training help tenants show a lower risk. See how much restaurant insurance costs.
Kitchen use agreements and certificates
Most kitchen use agreements require tenants to carry general and products liability, name the operator and building owner as additional insured, waive subrogation and provide a current certificate before their first shift. Operators should track certificate expiration dates. Tenants can request a certificate of insurance from us in minutes.
How we quote commissaries and tenants
Provident Financial Group is an independent agency. Operators and tenants each complete one application and we compare multiple carriers side by side, including package and business owner’s policy options. We issue live certificates that meet kitchen use agreement requirements. Call (866) 964-6660.
Frequently asked questions
Do commissary tenants need their own insurance?
Yes. Almost every kitchen use agreement requires each tenant to carry its own general and products liability, with the operator named as additional insured.
Is tenants’ food in my walk-in covered if it spoils?
Not unless your policy includes coverage for property of others in your care along with spoilage. Many standard policies cover only your own property.
What if a tenant causes a fire in my kitchen?
Your property insurer pays for covered damage and may seek recovery from the tenant. Requiring tenants to carry damage to rented premises coverage helps protect everyone.
Can a food truck insure equipment it stores at a commissary?
Yes, through business personal property or inland marine coverage that follows equipment while stored away from the truck. Confirm the location is listed or covered.
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