Essential Insurance Coverage Options for Auto Repair Shops
- Nate Jones, CPCU, ARM, CLCS, AU
- 2 days ago
- 3 min read
Running an auto repair shop means working with expensive equipment, hazardous machinery, and customer vehicles every single day. Because of these unique risks, having the right auto repair business insurance isn’t just recommended, it’s essential for protecting your shop financially. Whether you handle routine oil changes or advanced transmission and engine repairs, the correct combination of policies ensures your business stays protected from unexpected losses.
Below are the most important coverage options every auto repair shop should consider before requesting an auto service business insurance quote.
General Liability protects your shop from third‑party bodily injury and property damage claims. For example, if a customer slips on an oil spill or your technician accidentally damages someone’s property, this coverage responds. It’s the foundation of almost every business insurance package and a key part of auto repair business insurance.
Garage Liability expands on General Liability by covering risks specific to auto repair operations. This includes accidents resulting from test drives, unsafe repairs, or shop operations. If your business performs road tests or handles moving vehicles around the lot, Garage Liability is a must.
Garage Keepers Insurance protects customer vehicles while they’re in your care, custody, or control. Whether a car is damaged due to fire, theft, vandalism, or collision inside your shop area, this coverage pays for repairs or replacement. Any shop that keeps vehicles overnight, or even for a few hours, needs this policy.
Your building, tools, diagnostic equipment, and machinery are the backbone of your business. Commercial Property Insurance covers these assets against fire, theft, weather damage, and other losses. Since auto repair shops often house high‑value equipment, accurate inventory and valuation are essential when securing this coverage.
Given the physical nature of automotive work, injuries can happen, lifting components, using machinery, handling chemicals, or working under vehicles. Workers’ Compensation pays for employee medical bills, lost wages, disability, and more. Many states legally require this coverage, especially for high‑risk industries like auto repair.
If your shop uses vehicles for parts delivery, road testing, towing, or customer pickup services, you’ll need Commercial Auto Insurance. Personal auto policies rarely cover business‑related driving, making this coverage critical for operational safety.
If your shop is forced to close temporarily due to a covered loss, such as a fire or severe storm, Business Interruption Insurance helps replace lost income and ongoing expenses. This ensures your shop can continue operating even during downtime.
Get the Right Coverage From an Agency That Specialises in Auto Repair Shops
Choosing the right coverage combination can be confusing, especially when different insurance companies offer different forms and limits. That’s why working with a specialised agency matters. Wexford Insurance partners with top carriers that understand the unique needs of auto repair shops nationwide, helping you compare options and secure the protection your business deserves.
👉 Request your auto service business insurance quote from Wexford Insurance today and protect your shop with the right coverage at the best rate.
