Well, the dealership went and damaged your car while it was in their care for service. Now there’s the question of whether you will have to file an insurance claim. But this is a dealership we’re talking about. They have several hundred cars in their lot, so they’re no stranger to having car insurance. As a business, they also have a responsibility to carry commercial insurance should something go wrong with their customers –which it just has in this case. Let’s look at accidents that happen while on the dealership’s lot.
Is There Insurance For Damages Caused by a Dealership?
You don’t need to hit the dealership with a lawsuit for this to be resolved. They more than likely caused the damage unintentionally and are prepared with insurance of their own. Whether your car is damaged by them in their garage, by the mechanic servicing it, or even driving around the lot –the dealership’s own commercial insurance should cover it. Their coverage should immediately apply to your car the moment you drive onto their grounds. If you plan on leaving your car with them for any period of time, you should ask what kind of insurance they have. Some dealerships carry direct insurance that provides coverage regardless of fault.
What if You Caused The Damage?
For damage that you cause, like driving around the lot and hitting an unsold car, for example, will be covered by your own insurance in most cases. Cars in a dealership lot are often empty,,, so you won’t need to worry about a personal injury claim as it is mostly property damage. What’s more, the damage shouldn’t be too severe since no one is speeding around a dealership’s lot if you were to injure someone with your car while on the lot, that is another story.
What Kind of Insurance Will Cover Damage at Dealerships?
You don’t need to be an expert in car insurance to understand how and who covers damages caused at dealerships. You just need to understand basic car insurance,,, which you more than likely already carry.
Here are common types of insurance that you can use to cover damage caused by a dealership if their insurance does not and vice versa:
- Liability insurance - This covers injuries to someone else and damage to their property that you cause. Liability insurance is usually required by law and business such as dealerships should also carry it.
- Comprehensive insurance - This insurance coveres any damages that occur when a car is parked like storm or criminal damage. As you can imagine, dealerships will have a form of this insurance for all the cars they have on their lot should anyone break before they buy.
- Collision insurance - This covers damage to your car in an accident that you caused. An one-up from standard liability insurance which just covers the damage you cause.
When Would The Dealership’s Insurance Cover Damage to Your Car?
We’ve just covered the role fault plays in determining whether the dealership’s insurance will cover damage to your car on their lot. That being said, there are some special cases. Some states have laws requiring that both you and the dealership pay shares of the damage. Other times, when fault is hard to determine, 50/50 insurance claims may be filed.
Since 2005, Insurance Navy has been helping drivers of all risk levels get insured, and you could be next. Get a free auto insurance quote online or over the phone at 888-949-6289 and see how much you could be saving for affordable auto insurance. We also provide quotes online or in person at one out of many locations.