Garage Keepers Legal Liability Coverage

Garage liability comes with multiple restrictions that create major holes in your coverage.

Garage keepers legal liability coverage.

Garagekeepers legal liability coverage is an optional coverage designed for business owners who offer towing services or operate service stations. Garagekeepers legal liability insurance provides protection in case a vehicle is damaged by fire theft vandalism or collision. For example if a mechanic forgets to set a parking brake on a car and the car rolls into a toolbox the mechanic is legally liable for this loss therefore the coverage will come. In the a 1 auto service scenario described above the business is clearly liable for the damage to the customers autos because the damage was caused by a 1 employees negligence.

Garagekeepers coverage is what protects the vehicles you are working on but ensuring you have the correct garage keepers coverage will save you from surprises and headaches when an accident does occur. Attached to the garage liability policy one often finds a coverage called garagekeepers insurance. Garage keeper s legal liability is defined as. For instance if a worker is parking a customer s car and hits another vehicle in the process the policy covers the damage to the vehicle that is hit.

Garagekeepers coverage coverage provided under a garage policy for auto and trailer dealers particularly those dealers that maintain a service department or body shop for liability exposures with respect to damage to a customer s auto or auto equipment that has been left in the dealer s care for service or repair for example. It protects a customer s vehicle when you are keeping it at a covered location for parking or storing or to perform service. Garagekeepers liability coverage is an insurance policy that covers different types of risks that are likely to affect a customer s car while it s in a car shop. Garagekeepers coverage normally applies on a legal liability basis.

The garage liability policy is one of the most misunderstood types of business insurance policies. The risks that may arise in an auto shop include customer injuries faulty products manufactured at the shop and property damage of a vehicle while in the custody of the shop. It is a unique type of policy and many seasoned professional insurance agents don t really understand it well. That is it covers loss to customers vehicles only if you are legally liable for the damage.

For other types of auto related businesses such coverage is available under the garagekeepers coverage endorsement ca 99 37.