Not long ago, if a restaurant offered delivery, it meant hiring a driver, insuring a vehicle, and taking responsibility for the food's journey to the customer's door.
That world is largely gone.
Today, more than 590,000 restaurants and food businesses have partnered with DoorDash alone, and the platform handles over 7 million orders every single day in the United States.
Third-party delivery didn't just change how food gets to customers. It changed who carries the risk.
The shift happened fast.
DoorDash launched in 2013. By 2020, pandemic-era dining restrictions helped push delivery into overdrive, and order volume nearly tripled in a single year. Restaurants that once managed their own delivery fleets handed that responsibility to gig-economy drivers overnight. The overhead disappeared. But as any business owner knows, the cost didn't go away. It just shifted to another part of the balance sheet.
Here's what restaurant owners need to think through with their insurance agent:
Risk 01 — Liability
Third-party liability gaps
When a DoorDash driver causes an accident or injures someone in transit, coverage questions can get complicated.
Your policy may not extend to incidents involving drivers you don't employ but who are carrying your product.
Risk 02 — Food Safety
Food safety and spoilage claims
You prepared the food. If a customer gets sick, they may still come to your restaurant, regardless of what happened during delivery.
Your general liability coverage needs to reflect this expanded exposure.
Risk 03 — Cyber
Cyber and data liability
Orders placed through third-party apps involve customer data. A breach on the platform could trigger claims that reach your business.
Many restaurant policies weren't written with this risk in mind.
Risk 04 — Reputation
Reputational and product liability
A bad review tied to a cold or damaged delivery can feel like a small problem until it isn't.
You may want to revisit your product liability coverage since you have less control over the final mile.
Outsourcing delivery removed a logistical headache but introduced risks many policies weren't built for.
If you haven't reviewed your coverage since adding a third-party delivery partner, reach out to your insurance agent and walk through your current policy with fresh eyes. The delivery landscape changed quickly. Take steps to help your coverage keep pace.
1. DemandSage.com, October 31, 2025.
2. Skillademia.com, April 7, 2025.
