Why commissaries ask for $1M GL, how to buy it, who to quote, what it costs, and how to get a COI with the kitchen as additional insured.
What “$1,000,000 general liability over your business” usually means for caterers and kitchen renters.
$1M is the industry floor for shared kitchens, venues, and many event contracts—not an exotic ask.
GL covers third-party injury and property damage from your operations, often including food/product claims—not workers’ comp or auto.
Certificate holder ≠ additional insured. Kitchens almost always need an additional insured endorsement in their legal name.
Small food operators often pay ~$300–$800/year for basic GL; averages cluster near $40–$80/month depending on size.
Food-specialist programs (e.g. FLIP) make COIs and unlimited additional insureds easy; local agents help as you grow.
Same-day to ~1 week is a realistic timeline for a simple, low-revenue catering/prep business.
A business policy that pays if your operations hurt someone or damage property—and usually covers legal defense.
| Term | Common meaning |
|---|---|
| $1M per occurrence | Up to $1 million for a single incident |
| $2M aggregate | Up to $2 million total for all claims in the policy year (often paired with $1M occurrence) |
| Products / completed operations | Claims after service (e.g. foodborne illness)—critical for food businesses |
| Additional insured | Kitchen or venue listed on your policy so claims tied to your work can run through your coverage |
| Certificate of Insurance (COI) | PDF proof you send the kitchen—shows limits, dates, and who is named |
They require $1,000,000 general liability over your business and typically expect to be named as an additional insured. In plain language: before you cook under their roof, you carry standard third-party liability at the industry floor, so a claim linked to your use doesn’t leave only the kitchen exposed.
Five steps from “I need insurance” to keys/access at the kitchen.
Form the business shell — Legal name (LLC is common), EIN or SSN, address, clear operations description (catering / prep / commissary / events), rough revenue, employees (yes/no), territory (SC).
Shop a food-friendly GL policy — Ask for $1M occurrence (prefer $1M/$2M), products liability included, COIs, and additional insureds. Describe work accurately—not “full-service restaurant” if you’re prep-only or catering.
Buy / bind the policy — Online programs can bind same day; agents may take a day or two. Keep declarations and policy docs.
Issue a kitchen-ready COI — Certificate holder = kitchen legal name + address; additional insured endorsement (not holder alone); limits ≥ $1M GL. Send the PDF.
Keep it current — Renew on time; add new additional insureds for each venue that requires it; lapsed coverage can cancel kitchen access.
No single “best” insurer—match speed, food expertise, and growth path. Compare at least two quotes.
Fastest path when you mainly need GL + product liability and many COIs for kitchens and events. FLIP markets $1M limits and free unlimited additional insureds—well aligned with commissary requirements.
Useful when you also need auto, property, workers’ comp, or a BOP (GL + property). Compare class codes for catering/food vendor carefully.
Best long-term once you cater regularly, hire, or run a truck. Ask for shared-kitchen experience, cheap/free additional insureds, and product liability options.
Ballparks for general liability only. SC often sits near or slightly below national mid-range; your revenue and claims history matter more than the state average alone.
| Situation | Typical GL cost |
|---|---|
| Low-volume vendor / early catering (food-specialty programs) | ~$25–$50/mo · ~$300–$600/yr |
| Food truck / similar small mobile (market averages) | ~$40–$45/mo · ~$500/yr for $1M/$2M |
| Broader small food & beverage average | ~$40–$80/mo · ~$500–$1,000/yr |
| Published wider food-service GL ranges | ~$40–$150+/mo |
| One SC-inclusive food/beverage GL state average (mixed sizes) | ~$94/mo · ~$1,125/yr |
Bars scale relative to ~$150/mo for illustration. Commercial auto (food trucks) is separate and often costs more than GL alone.
Ask the kitchen for exact legal name and wording. Wrong entity name is a common rejection reason.
| Question | Answer |
|---|---|
| What is it? | Business general liability at $1M (often with $2M aggregate), usually with food/product liability |
| Process? | Form business → quote food GL → bind → COI with kitchen as additional insured → renew & add venues |
| Who to try first? | Food-specialist (e.g. FLIP) for speed; local SC agent + one online broker for comparison |
| Cost? | Often ~$300–$800/year for small operators; many land near ~$40–$80/month for basic GL |
Market cost and coverage pages used for ranges. Always verify current pricing with live quotes.