It’s 3am… Thieves manage to break into your shop and damage several vehicles under your control.
Even with a disclaimer or hold harmless agreement, you will likely have to pay to get them fixed potentially costing you thousands of dollars, unwanted headaches, and lost productivity.
There are a number of things that can go wrong with vehicles under the care and supervision of auto dealerships, repair shops, and garages. Taking measures to avoid exposures and claims will help to strengthen your reputation, trust in your company, and its overall bottom line.
If your company deals with attending, servicing, repairing, parking or storing customer’s vehicle, obtaining a GARAGE KEEPERS LIABILITY insurance is a must to safeguard the financial interest of your business.
This policy can cover work three ways:
- Legal Liability. The most common protection applies to a customer’s vehicle damaged due to the insured’s negligence – such as the mechanic wrecked the customer’s car while test driving it or the customer’s vehicle was left unlocked and unattended after hours.
- Direct Primary. Coverage of the customer’s vehicles regardless of liability. Loss caused by no action of the insured such as a weather or theft.
- Direct Excess. This is the rarest option, although it’s the best. This affords protection to the insured for the loss to a customer’s vehicle regardless of liability.
