Auto Dealer Insurance

In the business of selling vehicles - be it cars to the general public or vans and trucks to cargo businesses, you'll need to get various auto dealer insurance policies to protect your business from various claims, lawsuits, and events that may financially impact your company.

When running a physical business, be it a dealership or a car wash, you deal with expensive goods that are the bread and butter of your business. Without them, your business will not be profitable and so, you want to do everything you can to protect and maintain your vehicles in an optimal condition for the end customer.

Your business can get hurt from events such as poor weather conditions, which can damage your vehicles, or even theft, which can be quite hard to predict. On the other side, you want to be insured in case a customer falls on your premises and gets injured or an employee falls sick while on the job.

These are all events you need to be ready to financially cover for - unless you have insurance. Having the right insurance policies in place will help protect your business and its financial standing.

In many states, dealerships are required by law to have a certain degree of cover in order to conduct business legally. Typically speaking, the coverage should include a policy for bodily injury, property damage, product liability, general liability, and commercial property along with automobile physical damage.

It is imperative that each dealer have the proper insurance coverage to protect themselves and their business.

As there are many different types of policies that you can take out to cover your auto dealership, the total price will depend on the level of cover you opt-in for.

As an example, let's suppose you sell vehicles (cars) to the average public, have two employees, and you conduct business in a dealership lot that your business owns.

In that case, you will benefit from general liability insurance, commercial auto insurance, retail theft insurance, and workers compensation insurance.

These all would add to a few hundred dollars per month. In case your business is larger, you can expect to pay $1,000 plus each month. Now, the final sum will be very dependent on what policies you decide to take out as per your business needs and state laws as well as the auto dealer insurance company you take out your policies with.

It’s best to take a few quotes from different providers and compare them before making your final decision.

There are many times where automobile dealers may have various claims that come up including shop break-ins, hail damage to cars, thefts from vehicles on dealership lots, claims of errors and omissions on dealer work orders, etc.

Different dealers will have different claims based on what they sell at their dealership so it is important for each business owner to be aware of the potential insurance liabilities they face before making any decisions about the coverage levels they opt-in for.

This will help move your business forward no matter what unfortunate event takes place.