Auto Repair Shop Insurance in Massachusetts
What is auto repair shop insurance?
Auto repair centers are exposed to substantial risks. Expensive equipment can be damaged or stolen, mistakes can lead to expensive lawsuits, and any other number of things could happen. No insurance will prevent something from happening, but having auto repair shop insurance can provide important financial protections for Massachusetts repair centers.
Auto repair shop insurance policies are tailored for repair centers and similar businesses. Most policies provide many protections by bundling various coverages together.
Which businesses in Massachusetts should consider auto body shop insurance?
Most Massachusetts businesses should consider auto body shop insurance if they repair or otherwise service vehicles. This includes repair shops, body shops and others in the business. Some examples of different businesses that might purchase this type of policy include:
- Independent garages and mechanics
- Body and collision centers
- Specialty vehicle repair shops
- Diesel repair shops
- Motorcycle repair shops
- Quick oil change services
Car dealerships frequently require comparable coverages for their service centers as well. However, they typically opt for a broader policy that includes these protections in addition to other necessary coverages specific to dealerships.
Any businesses that are unsure whether auto body shop insurance adequately meets their needs should work with an agent who’s specialized in these policies. A knowledgeable insurance agent will be able to evaluate risk exposure and coverage needs, and then make an informed recommendation on policy type.
What coverages can repair centers get through auto body shop insurance policies?
Depending on a policy’s terms and conditions, it may offer coverages such as the following:
- General Liability Coverage: May cover basic (non-vehicle) accidents occurring on a shop’s premises.
- Garage Keepers Liability Coverage: May cover damage to customer vehicles while they’re on a shop’s premises.
- Commercial Umbrella Coverage: May cover expensive lawsuits that exceed an underlying policy’s limit.
- Commercial Property Coverage: May protect a shop’s building, equipment, and tools against various causes of damage or loss.
- Commercial Auto Coverage: May cover loaner vehicles, tow trucks, and other owned vehicles against damage.
- Crime Coverage: May cover internal theft by employees or external theft by burglars.
- Business Income Coverage: May cover extended periods of lost revenues that follow certain disasters.
Shops may also want equipment breakdown coverage, cyber liability coverage, or any number of other protections that an experienced agent can assist with
Do auto repair shop policies have workers compensation?
Workers compensation typically safeguards against workplace injuries sustained by employees, and the majority of Massachusetts businesses with employees are legally obligated to have this coverage.
The inclusion of workers compensation in auto repair shop policies varies. Some policies provide it, while others do not. If an auto repair shop policy doesn’t include workers compensation, it can easily be acquired through a separate policy, which is purchased alongside the primary repair shop policy.
How much are the premiums for auto repair shop policies?
The premiums for auto repair shop policies are determined by various factors, typically involving aspects like a shop’s:
- Facility’s location and size
- Range of services and yearly revenue
- Selected coverages and limits
- Claims history in recent years
Although there may be differences in the premiums for various policies, the cost of insurance generally remains reasonable. It’s almost certainly more cost-effective than facing the expenses of a significant claim without any coverage in place.
How can repair centers get quotes for auto repair shop insurance?
If you need help insuring an auto repair center in Massachusetts, contact the independent insurance agents at Pike Insurance. Our agents will assist you in evaluating your shop’s insurance requirements and present you with multiple auto repair shop insurance quotes that fulfill those needs, allowing you to choose the best option.
