When you own an auto body shop, having the proper insurance coverage is essential. Without the right insurance coverage, a single claim or theft has the power to bring your business to its knees financially. Here are some of the reasons you need to purchase adequate insurance coverage for your auto body shop.
Even when all of your employees are careful and you take every precaution to avoid causing injuries or property damage, incidents can still occur. In the event of an incident that results in an injury to a customer or damage to the customer’s personal property, your auto body shop can be held responsible for all of the associated expenses. If you don’t have insurance, you will have to pay these expenses out-of-pocket, which can quickly lead to financial distress. However, an appropriate insurance policy will cover these expenses for you.
If you don’t have the insurance coverage you need, you may find yourself worrying about how you would pay a claim or cover other expenses you could incur in the future. Having body shop insurance allows you to rest easy, knowing that you have the protection you need to operate your auto repair business with confidence.
Owning an auto body shop typically requires you to make a number of investments. For example, you may invest in owned or rented property, equipment, business vehicles and an inventory of auto parts. If any of these assets are damaged, stolen or destroyed, your business loses money. If you don’t have the right insurance coverage, you will have to pay to replace or repair the asset in question on your own. However, carefully-selected insurance policies can protect all of your assets so you don’t have to face these types of losses.
Certain types of auto repair shop insurance may be required by state law. For example, if you have employees, you are more than likely required to purchase workers compensation insurance to protect them and your company. This type of insurance provides specific benefits to the employee if he or she sustains an illness or injury as a direct result of his or her employment.
All auto repair shops should consider purchasing insurance coverage. The typical auto repair business will need more than one type of insurance policy in order to cover all of their areas of risk. The best way to determine what types of insurance coverage you need to purchase for your company is to discuss your needs in detail with an experienced insurance agent.
Zuma Insurance understands all of the risks the typical auto body shop faces on a daily basis. If you own an auto repair shop and you are interested in purchasing insurance coverage, or if you would like to make changes to your current coverage, please contact Zuma Insurance today.