Garage Liability Coverage

Garage liability insurance is an absolute necessity for your auto clients.

Garage liability coverage. Garage liability can also provide coverage for any injuries caused to a third party if the mechanic takes the customer s vehicle on a test drive and has an accident causing injury to another party. Start with a basic definition of garage liability. Coverage provided under a garage policy for auto and trailer dealers particularly those dealers that maintain a service department or body shop. Garage liability insurance coverage explained.

Garage liability insurance will not cover the tools building personal or business property of the policyholder. As such this policy. Garage liability insurance is a policy auto repair shops dealerships tow truck drivers and service stations need. Garage liability insurance includes two separate insuring agreements who is.

It does not provide coverage for vandalism stolen vehicles or damage from. Garage liability policies are designed to be flexible to meet the needs of individual businesses for example a company could add coverage for loaner vehicles driven by customers. The annual cost of garage liability insurance typically starts between 300 to 1 000 annually. The answer is not that simple.

What garage liability covers garage liability serves as a hybrid policy commercial general liability with a bit of commercial auto coverage that s specific to garage operations and auto dealers. In a case by case basis these. Auto body shop or car dealership. Covers bodily injury and property damage related to an accident arising from garage operations including ownership.

By the very definition of garage liability the coverage is in a sense the equivalent of combining a business auto form with a commercial general liability form including products and completed operations. The two terms garage liability and garagekeepers liability should always be discussed with anyone owning any sort of auto repair business i e. Let s figure out what additional coverages the business owner should consider in order to protect what he s worked so hard to build. Garage liability insurance covers the legal liability of franchised and non franchised automobile truck truck tractor motorcycle recreational vehicle and trailer dealers for claims of bodily injury bi and property damage pd arising out of business operations.

It includes two separate insuring agreements who is an insured provisions and limit of insurance. It covers third party bodily injury and property damage caused by garage operations as well as vehicles in the business s care custody or control. The coverage is in a sense the equivalent of combining a business auto form with a commercial general liability. Garage keeper s legal liability is defined as.