Automobile Repair & Body Shops Must Schedule Their Own Autos On Garage Policy To Be Covered Proper

Copyright (c) 2011 Ed Sneineh

Possessing the suitable protection in your commercial insurance policy will help in protecting the corporate assets of your company, as well as guarding for the protection of your workers and clientele. With the correct protection plan a venture can obtain reassurance that their firm will be insured from the high costs of vehicle restoration, medical bills, and the risks of probable legal action. In order to figure out how you can thoroughly find the right car service shop insurance policy for your business, know the totally different coverage selection your business will have to encompass into its coverage.

Business Property Coverage

Property coverage may incorporate Building, Business Personal Property or BPP, Signs, and Money, to mention a few. Particular coverage to the auto services businesses include mechanic tools, hydraulic equipments, paint booths, frame straightening machine, paint supplies, etc.

Property coverage can change according on the region of your business. For a business that owns the building where they operate out of, this coverage is vital in protecting the establishment and eliminating any losses from unanticipated circumstances. However, if your business is renting their premises, it is essential you inquire about the property coverage provided by the building owners. Some companies may consider canopy and roof air conditioning units as part of the building, while others do not. Finding exactly what is covered in those policies will help to identify disadvantages and set up your own special auto repair shop insurance policy.

It is always better to base insurance on Replacement Cost (cost to replace your property new) as opposed to Actual Cash Value, which is the depreciated value of your property.

Covering Own Vehicles

When it comes to automobile service shop insurance, automobile coverage is very important, of you own one. This coverage starts with protecting any autos that can be identified as company owned vehicles, as most businesses use these automobiles to tow customers autos, pick up parts, and aid in the transportation of customers.

Insuring Customers Vehicles

Another form of car coverage that is important to utilize is regarding covering your customer's autos, for comprehensive and collision while they are under your control. Called Garage Keeper Liability, this coverage may come as Primary, or Legal. Garage Keeper Primary Liability will pay for damages to your clients' vehicles no matter why, as long as the vehicles were in your possession at the time of damage. Garage Keeper Legal Liability will pay only if you are found legally liable to the damages caused to the customer's car. Example: A customer's car that was kept for some repair work catches on fire because of defective electrical work finished on the car 2 months ago by the dealer. If you have Primary coverage, your company will pay, regardless. If you have Legal coverage, your company may not pay based on the argument that you did not cause or contribute to the car destruction.


Covering Your Liability

For a auto repair shop Garage Liability commonly covers Commercial General Liability (slip and fall, etc) as well as auto liability arising the use of non owned auto in connection with the garage operations! This is typically related to third-party claims that are often unforeseen by the vehicle repair shop. If a consumer is injured on site or an associate is involved in an accident while test driving a customer's vehicle, this policy can help with the likely result of lawsuits and protect the safety of others.


Other Insurance

A variety of formats including medical, dental, and Workman Compensation coverage are called "Associate Coverage". Having all of these protection policies will not only protect your associates in the event of an accident, but will also make your business highly appealing to high-quality team members.

The ability to adequately insure your car body shop begins with identifying the precise areas you will need coverage for. By having a greater knowledge of what property, associate, vehicle, and liability coverage offers you in an auto auto body shop insurance policy, you can locate the best protection for your business at the best cost.


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Author has over 21 years of experience in the practice and education of Chicago auto insurance. Insurance Navy is a leader in providing quotes for auto body business insurance.