How to Choose the Right Car Dealership Business Insurance Provider
- Nate Jones, CPCU, ARM, CLCS, AU
- 3 days ago
- 2 min read
Choosing the right car dealership business insurance provider is one of the most important decisions you’ll make as a dealership owner. New and used dealerships face unique risks, high‑value inventory, customer interactions, test drives, employee exposure, and weather‑related damage. That means your insurance provider must understand dealership operations and be able to deliver tailored coverage.
Here’s what to look for when selecting the right insurance partner.
1. Look for a Provider That Specialises in Car Dealership Insurance
Not every insurance company understands dealership risks. Policies like:
require a specialised underwriting approach. A general business insurer may offer coverage, but not the correct forms or limits needed for dealerships. Industry resources such as the Insurance Information Institute explain why specialised commercial policies matter. Agencies that focus on dealership insurance can secure better pricing and more accurate coverage.
2. Review the Carrier’s Financial Strength
Your insurance provider must be financially stable. Look for carriers rated A– or better by AM Best. High financial strength ensures:
Reliable claims handling
Long‑term stability
Fast response during major events (hailstorms, theft, etc.)
Dealerships rely on timely claims service, especially when inventory is involved.
3. Evaluate Coverage Options and Policy Flexibility
The right insurance provider should offer comprehensive coverage options, including:
Direct primary garage keepers
Broad Dealer’s Open Lot limits
Wind/hail deductible options
Coverage for service operations
Employee‑related protection
Flexibility is key, your dealership’s risk changes as inventory grows, operations expand, or services evolve.
4. Consider Claims Handling Reputation
A great insurance policy means nothing if claims are slow or difficult. Look for:
24/7 claims reporting
Fast inventory settlement
Dedicated adjusters familiar with dealerships
Positive reviews
Delays in claims can impact sales and operations.
5. Work With an Independent Agency That Shops Multiple Carriers
Independent agencies compare rates and coverage options across multiple insurers, saving you time and money. Instead of being tied to one carrier, you get:
Multiple quotes
Better pricing
Coverage tailored to dealership risks
Ongoing support
This is where specialised agencies like Wexford Insurance excel.
Get the Right Insurance Provider for Your Car Dealership
Not every insurance company understands dealership exposures, and choosing the wrong provider can lead to gaps in protection, higher premiums, or poor claims service. Wexford Insurance partners with top-rated carriers that specialise in car dealerships, helping owners secure the correct limits, deductibles, and policy structures for their specific operations.
👉 Request your car dealership business insurance quote from Wexford Insurance today and partner with an insurance provider who truly understands dealership risks.
