What is commercial/garage Insurance?
So you’re a new owner of an auto repair garage – congratulations! There are so many things to consider as you get your business set up and operating. Don’t let the stress of being properly covered slow you down. Today, we’re sharing what we know about Garage and Commercial Auto Insurance.
There are a variety of things you need to consider in order to properly protect your business. From property coverage – your building and the contents within it – to business interruption, equipment breakdown, commercial general liability (CGL), and even cyber insurance coverage.
At McFarlan Rowlands, our experienced Account Executives will customize your policy with the proper coverage depending on your risk.
There are some types of coverage that are unique to repair garages. This includes coverage for your employees’ tools. Pollution is also factor that is exclusive to mechanics garages- from new and used oil, paint and anti-freeze, oil tanks- every repair garage has these pollutant, which presents a risk in and of itself.
If you provide storage for your customers’ winter tires your Insurance Broker will also take this in to consideration in your policy package.
Key types of insurance coverage that can help you understand your policy include:
Cyber Insurance Coverage: every garage has cyber exposure. It might not be the first thing you think about when needing insurance, but if you accept credit card payment or store any information about your customers on a computer database, you have an exposure risk. To learn more about cyber, check out our post “The unseen danger of cyber liabilities”
General Liability: how much insurance should a garage carry?
Our sales specialists will meet with you to understand your business and then make recommendations for the amount of liability your garage should have. As a minimum, we will recommend 2 million, but the sky is the limit depending on the products and services you are offering.
Contents: From tools to equipment, your insurance broker will need to know what you have in your garage and the approximate value of each, so they can give you fair and competitive pricing.
Business Interruption: Called BI in insurance lingo, this compensates for loss of income while your business is shut down following an insured loss. In most cases, you are covered by a package policy which would include either extra expense or business interruption insurance.
Plus the bells and whistles – package could include, flood, quake, sewer, debris removal, special papers, crime coverages.