Auto body repair shops and garages can be full of a number of hazards. Often filled with moving vehicles, expensive equipment, and a number of employees using dangerous tools, accidents are prone to occur. No matter how safe your garage is, you can’t avoid a potential accident which is why it’s so important to ensure that your business is covered.
That’s where auto body repair shop insurance comes in. What is auto body repair shop insurance? Also known as body shop insurance or auto repair insurance, it’s a type of policy specifically designed to protect body and car repair centers. With the number of daily challenges an auto repair shop faces, acquiring insurance protection is vital. Whether it’s dent and scratch removal, or panel replacement, heavy-duty work easily leads to accidents and injuries.
Body shop insurance helps to protect you against these risks. We’ve listed how the policy helps protect your business and what coverage you get:
General Liability for Auto Body Repair Shops
General liability is a type of business insurance coverage that your auto body and repair shop should have. It helps protect your business in case something happens to either your customers or their property. For example, if a customer is injured while in your shop, general liability covers the expenses. Similarly, if a customer’s vehicle is damaged while in your shop, general liability covers the cost of those damages.
General liability also provides protection for advertising and product liability. If your auto shop produces and advertisement which harms are a customer in any way, general liability takes care of the damages. If your auto shop sells a certain type of product that harms a customer or their property in any way, general liability covers your customer’s losses.
Business Owners Policy (BOP)
Business owners insurance policy includes general liability as well as property coverage to protect your business property and assets.
Business owners policy protects you from losses in the event something happens to your business property or the contents inside. An example of this would be if your auto body repair shop catches fire. The policy would pay the cost to rebuild your shop. It would also additionally cover the cost of replacing damaged or destroyed equipment.
Commercial Auto Insurance
Commercial auto insurance is extremely important for auto body and repair shops. It covers auto accidents involving both company and personal vehicles as well as those that are rented or loaned. For example, if you or an employee takes our a customer’s car to test drive it, commercial auto insurance covers the losses in case there’s an accident during the test drive.
Accidents can occur at any job, but they’re more prone to occur at an auto repair shop due to the physical hands-on duty of the job. By law, you are required to provide workers comp insurance for all your employees. Workers comp provides your employees with the coverage of their medical bills and related expenses in the event they are injured on the job.
Umbrella insurance often referred to as excess liability insurance, provides coverage that goes beyond the limits of BOP and auto insurance. It provides an additional layer of security to those who are at risk of being sued for damages to other people’s property or injuries caused to others in an accident. It also protects against defamation, vandalism, slander, and invasion of privacy.
If you’re interested in Auto Body & Repair Shop Insurance, our go-to agent is Ray Laghari, with tons of insurance experience under his belt, Ray brings a dynamic to insurance that helps build trusting relationships with his clients – ensuring they’re taken care of #TheProvenceWay.