Types of Businesses
You will need to purchase Garage Liability Insurance if you own a business such as a car repair shop, car detailing business, general vehicle repair, auto glass installation, auto oil/lube services, vehicle tune up, emissions testing services and more.
Why You Need It: Provides financial protection against bodily injury or property damage the business is held liable for.
Scenario: A customer trips over a tool left on the ground and requires medical treatment.
Why You Need It: If damage to the premises causes a slowdown or suspension of business, Business Income coverage can come forward to help pay for payroll, lost profits, utilities, rent/mortgage, etc.
Scenario: A fire breaks out in the restaurant next door and spreads to your garage unit causing damage. It takes 2 months to clean up and rebuild before operations can resume. Business Income coverage comes forward to help keep you in business while you are unable to work.
Damage to Premises Rented by You
Why You Need It: This coverage comes forward if you are help liable for damage caused to rented property.
Scenario: Your employee is cleaning up a spill and accidentally leaves the sink running. It clogs and water damages the flooring of the leased building. The owner of the building has insurance but they have determined that you are liable since it was your employee who caused the damage. They come after you for damages.
Personal and Advertising Injury Liability
Why You Need It: Provides protection for the business for certain offenses such as libel/slander, copyright infringement, use of another's advertising idea, malicious prosecution, and wrongful invasion of privacy.
Scenario: You use a photo of a customer's car in a new advertising campaign but did not get their permission. They notice and sues the company.
Products Completed Operations
Why You Need It: Comes forward in the event of a claim that results from bodily injury or property damage to an auto as a result of work the insured performed on the vehicle.
Scenario: One of your employees did not tighten the lug nuts on a customer's wheel correctly, resulting in a car accident.
Why You Need It: Provides coverage for a customer's vehicle while left with you for service, repair, storage, parking or safekeeping.
Scenario: You discover a customer's vehicle is stolen overnight. The customer has insurance but the company goes after you for damages since the vehicle was in your care, custody and control.
What other Commercial Insurance policies do I need?
– Workers Compensation (required by California law)
– Commercial Automobile (if the company uses vehicles for the business)
– Commercial Umbrella (if higher coverage limits are desired)