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Originally Posted On: https://www.atyourbusiness.com/blog/an-overview-of-the-different-types-of-car-dealership-insurance/
Car dealerships can be lucrative businesses, but they also come with a lot of risks. One way to mitigate these risks is to get car dealership insurance. There are different types of car dealership insurance.
They can protect your business and provide coverage for various risks that may arise.
Car dealership insurance covers a variety of aspects in a business that handles used and new cars. Without it, a dealership risks losing money and being sued by a customer. Insurance can prevent these dangers by helping provide financial protection.
To learn more about the different types of car dealership insurance, keep reading.
General Liability Insurance
General liability insurance covers injuries and damage to other people’s property that you cause. It covers things like when a customer comes to the dealership and gets hurt, their car gets damaged, or it is stolen. It might pay for legal fees and other costs related to defending against a lawsuit.
Garage Liability Insurance
Garage liability insurance is a type of coverage that can protect car dealers against certain types of liabilities. It includes property damage and/or bodily injury claims for customers and visitors.
This coverage pays out when the dealership is negligent for an injury or damaged property while at the dealership. It also protects the dealership from claims in the event of faulty workmanship or automotive product liability.
Garagekeepers Insurance
This kind of insurance protects the dealership in case a customer’s car is damaged or stolen while it is at the dealership. Most of the time, this type of coverage will also cover customer vehicles if they are damaged by fire or water.
It also says what happens if a customer’s car is damaged or stolen while it is in the care of the dealer. Garagekeepers’ insurance is usually part of a standard policy for a car dealership.
Commercial Property Insurance
Commercial Property Insurance coverage covers risks such as buildings, furniture, and equipment. It covers any damages resulting from fire, wind, or hail.
This insurance includes potential loss or damages from theft or vandalism. It also covers third-party claims resulting from the damage caused by cars on the premises.
Workers’ Compensation Insurance
Workers’ compensation insurance is required by law in most states. It covers medical expenses and lost wages for employees who are injured on the job. This insurance can also cover legal expenses if an employee sues your business for negligence.
Business Interruption Insurance
Business interruption insurance can provide coverage for lost income. This is especially helpful if your business is temporarily closed due to a covered event, such as a fire, natural disaster, or theft.
This insurance can also cover expenses related to relocation or temporary business operations. Talk to Illinois auto dealers insurance for professional advice on car dealership insurance requirements, and more.
Commercial Auto Insurance
Commercial auto insurance protects your business vehicles, whether you own them, lease them, or use them for your business. This insurance can pay for damage to the cars, injuries to people, and damage to property that may happen in an accident. It can also cover things like theft and damage.
Protect Your Business With Car Dealership Insurance Today
Car dealerships need special insurance to protect themselves and the customers they serve. There are many types of car dealership insurance available to meet the needs of auto dealers. Investing in one can provide business owners peace of mind.
To learn more about what type of coverage your dealership needs, talk to your insurance provider today.
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