How to Properly Insure Your Auto Body And Repair Shop
Possessing the most ideal protection in your commercial insurance policy will assist in protecting the corporate assets of your company, as well as guarding for the protection of your staff and clientele. With the correct coverage a firm can obtain satisfaction that their firm will be covered from the high costs of auto restoration, medical bills, and the risks of possible legal action. In order to find how you can adequately find the correct automobile repair shop insurance policy for your business, determine the distinct coverage options your company have to encompass into its insurance.
Business Property Coverage
Property coverage may incorporate Building, Business Personal Property or BPP, Signs, and Money, to state a few. Particular coverage to the auto services businesses include mechanic tools, hydraulic equipments, paint booths, frame straightening machine, paint supplies, etc.
Property coverage may vary based on the region of your business. For a company that owns the building where they occupy, this coverage is vital in protecting the business and avoiding any losses from unpredicted occurrences. However, if your corporation is leasing their site, it is essential you ask 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 precisely what is covered in those policies will help to identify disadvantages and set up your own exclusive auto repair shop insurance policy.
It is always better to get insurance based on Replacement Cost (cost to replace your property) as opposed to Actual Cash Value, or the depreciated value of your property.
Insurance on Own Autos
When it comes to <a href="http://www.insurancenavy.com">car repair shop insurance</a>, vehicle 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 utilize these vehicles to tow customers cars, pick up parts, and aid in the transportation of customers.
Garage Keeper Liability
Another form of vehicle coverage that is important to have is regarding covering your customer's automobiles, 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 customers' vehicles regardless why, as long as the cars were under your control at the time of damage. Garage Keeper Legal Liability will pay only if your business is found legally responsible for the damages caused to the customer's vehicle. Example: A customer's auto that was kept for some body work catches on fire because of faulty electrical work performed 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 auto destruction.
Covering Your Liability
For a car body shop Garage Liability normally covers Commercial General Liability (slip and fall, etc) as well as auto liability arising the use of non owned vehicle in the course of the garage operations! This is typically related to third-party claims that are often unforeseen by the car service 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 Plans
A variety of types including medical, dental, and Workers Comp 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 company highly appealing to high-quality employees.
The ability to accurately insure your car service business starts with figuring out the particular areas you will need coverage for. By having a greater knowledge of what property, associate, vehicle, and liability coverage offers you in an auto vehicle body shop insurance policy, you can locate the best protection for your business at the most competitive premiums.
Author has over 21 years of experience in the practice and education of <a href="http://www.insurancenavy.com">Chicago auto insurance</a>. Insurance Navy is a leader in providing quotes for <a href="http://www.insurancenavy.com">car service business insurance</a>.