Many kinds of insurance coverage can be valuable for repair shops. Some policy types to consider for your business include the following:
Business interruption insurance—If you can’t operate your auto repair shop or garage because of covered property damage, this may help you recover some of your lost income.
Business crime insurance—Many auto body shops are also at risk for computer fraud, forgery or alteration, cash theft and employee dishonesty. This coverage can help insure the expensive parts, equipment and vehicles at an auto repair shop against theft or damage.
Commercial auto insurance—This coverage can protect your vehicles and your employee drivers if your shop owns or operates business vehicles.
Commercial property insurance—This coverage may help protect your owned or rented equipment, including drills, hand tools, lifts, jacks, air compressors, battery chargers and jumpers. It can also help protect your owned or leased building.
Equipment breakdown insurance—If your equipment, such as jacks and lifts, are damaged and need repair or quick replacement, this coverage can help you maintain operations.
Garagekeepers liability—This coverage may protect you if you offer towing services or operate a service station where customer vehicles may be kept. If there is fire, theft, vandalism, explosion or lightning, and customer vehicles are parked or stored there for maintenance, this can help protect your shop.
General liability—This coverage can protect you against claims involving property damage or bodily injuries involving your products, services or business operations.
Workers’ compensation—This coverage can offer financial assistance for qualifying employees during their work-related injury or illness recovery. Most states require workers’ comp for repair shops with employees.