Garage Liability Insurance

• Garage Liability Insurance: You know covering the customer vehicles in your care is essential. Garage liability coverage does precisely that. It protects your business while they are under care, custody, and control of your client’s vehicles. Whether those vehicles are being worked on in the shop, being driven by an employee, or parked in the lot. It includes coverage for open lot theft in case of thieves break into the yard and steal auto parts from a client’s vehicle, as well as damages to a customer’s vehicle resulting from an accident while one of your employees is test driving a vehicle following a repair.

• Commercial General Liability (CGL) Insurance: CGL is a liability insurance policy that protects your business against common claims like third-party property damage (damage to a customer’s vehicle) or bodily injuries (if a customer visiting your auto garage slips, falls, and is injured). CGL may cover a customer’s medical expenses and your legal fees regardless of the outcome of a lawsuit you face.

• Commercial Property Insurance: Commercial property insurance protects your shop, as well as its contents from insured risks that occur beyond your control, like a fire, theft, or flood. Carrying commercial property insurance gives you the option of getting business interruption coverage, which reimburses the net income lost following an insured event, such as overhead costs, employee wages, and lost income from temporarily closing your business while the building is repaired. However, business interruption coverage does not cover income lost due to a pandemic, infectious disease, or government-ordered closure.

• Garage Tool Insurance: This policy provides coverage to replace, or repair lost or damaged equipment and tools, accessories, or others’ property in your care.

Additional coverages recommended:

• Cyber Liability Insurance: Nowadays, all businesses require cyber liability insurance. After all, it is your responsibility to protect your customers’ personal and financial data from the risk of a data breach or cyber-attack. Essentially, cyber liability insurance covers the costs associated with electronic incidents, such as cyber-attacks on your computing systems.

• Pollution Liability Insurance: Certain kinds of automotive businesses can have a detrimental impact on the environment. Pollution liability insurance covers clean-up costs, third-party bodily injuries (such as a respiratory illness), or damage to a customer’s vehicle caused by pollution or toxic substances you use to do your work.

• Commercial Crime Insurance: Protects against theft by employees, including any losses resulting from forgery or fraud. It can be purchased as a standalone policy, or it can be added to your existing CGL policy.

• Leased, Rented, Borrowed Equipment Insurance: If you lease, rent, or borrow equipment to do your work, this type of coverage provides financial support for loss or damage to that equipment you use in your garage.