Auto Body Repair Shop Insurance
Auto Body Repair Shop Insurance protects businesses from financial losses due to accidents, property damage, and liability claims. It covers essential policies like general liability, workers’ compensation, and commercial auto insurance, ensuring auto body shops operate safely and securely.
Choose the right coverage from trusted insurance providers.
Why Auto Body Shops Need Strong Coverage?
Auto body shops and collision centers deal with hazardous materials and operate in workplace filled with high risks. Without Auto Body Repair Shop Insurance, owners face costly damages from fires, storms, or accidents involving customer property.
Insurance provides financial protection against unexpected events, helping shops avoid expensive repairs, lawsuits, and losses.
Essential Insurance for Auto Body and Collision Repair Shops
These insurance plans protect against the most common risks in Auto Body Repair Shop Insurance.
Business owner’s policy
A BOP is a cost-effective Auto Body Repair Shop Insurance package, combining general liability coverage and commercial property insurance. It helps cover customer injuries, protects business property insurance, and provides financial support for business interruption incidents.
Under this plan
Covers injuries & property
Includes liability & property insurance
Helps with business interruptions
Commercial umbrella insurance
A policy that boosts coverage limits on general liability insurance, commercial auto insurance, and employer’s liability insurance to protect against expensive lawsuits, including multi-vehicle auto accidents, customer injury lawsuits, and employee injury lawsuits.
Under this plan
Expands general liability coverage
Covers multi-vehicle accidents
Protects against costly lawsuits
Commercial auto insurance
A policy that covers business-owned vehicles against accidents, theft, and damage. It is required in most states and helps protect against injuries, property damage, and repair costs from a car accident.
Under this plan
Covers business vehicles
Essential for auto shops
Protects against vandalism & theft
Cyber insurance
A policy for auto body shops to recover financially from data breaches and cyberattacks. It is recommended for any business that stores credit cards or personal information, covering customer notification expenses, fraud monitoring services, and data breach investigations.
Under this plan
Covers customer notification costs
Provides fraud monitoring services
Includes data breach investigations
General liability insurance
General liability coverage protects auto body and collision repair shop owners from basic risks like customer slips, injury, bodily injuries, accidental damage, and third-party claims involving vehicles. It also includes garage liability insurance for car damage, libel, slander, and lawsuits.
Under this plan
Covers injuries, damage
Includes garage liability insurance
Protects against lawsuits
Worker’s compensation insurance
A required policy in almost every state for car repair businesses to cover work injury costs. It protects employees and sole proprietors by covering employee medical expenses, disability benefits, and lawsuits. Unlike health insurance, it won’t deny claims for employee injuries.
Under this plan
Covers injuries & medical expenses
Provides disability & legal protection
Mandatory in most states
Auto body insurance is designed to protect your business
Eagle Nation offers Auto Body Repair Shop Insurance packages designed to protect your auto body shop from costly risks. Coverage includes general liability for accidents and injuries, garage keepers coverage for damaged vehicles, and HNOA for non-owned autos.
Commercial property insurance helps cover repairs, while protection against faulty work prevents unexpected out-of-pocket costs. It also includes coverage for legal fees, ensuring your business stays secure.
Why Auto Repair Shops Need Business Insurance
Running an auto repair shop means handling unique risks daily. Whether you fix cars or work on vehicles, using power tools and specialized machinery can be dangerous.
Even certified mechanics with ASE or I-CAR certifications face serious risks of injuries and property damage. Collision shops, body repair businesses, and garages must have Auto Body Repair Shop Insurance to protect their small business and serve customers with confidence.
Who Needs Mechanic Business Insurance?
- Auto repair shops, collision shops, and garages dealing with vehicles need protection from financial risks.
- Mechanics using specialized machinery and power tools must safeguard against accidents.
- Retail tire dealers, auto sound, and communications installation businesses should stay covered.
- Certified professionals with ASE or I-CAR certifications need insurance to run their businesses safely.
- Any small business involved in body repair or fixing cars benefits from Auto Body Repair Shop Insurance.
Auto body repair shop insurance requirements
Auto body technicians are required to have Auto Body Repair Shop Insurance due to the risk of injury and property damage. A business license, state laws, and landlords often mandate coverage before you lease or purchase a bay for your shop. Banks may also require it to protect your inventory, equipment, and building.
Shops handling customers’ vehicles need garage keepers insurance for repairs and body damage. Professional errors, both actual and alleged, are covered. Employees driving customers’ cars require hired & non-owned auto coverage for test drive risks. Commercial property insurance helps repair, replace, or cover rent for a damaged property.
How much does insurance cost for auto repair businesses?
The exact amount you pay for auto body repair shop insurance depends on multiple factors like business size, repair facility location, and types of services you offer. A small auto body shop with few workers and less expensive equipment may save more than a larger shop with higher revenue. Your shop’s qualifying certifications, such as ASE, I-CAR, Gold Class, or AAA-approved auto repair, can also affect your premium.
Ways to Reduce Insurance Costs
- Bundle policies like general liability and commercial property coverage for savings.
- A certified shop may qualify for better policy limits and deductibles.
- The value of your equipment and the amount of insurance coverage required impact pricing.
- Garage keepers insurance is crucial for protecting customer vehicles.
- Fewer insurance claims and a clean history lower costs.
Eagle Nation helps buy tailored coverage based on where your business is located.
Protecting Your Auto Shop’s Property & Operations
An auto repair shop relies on tools and equipment to get the job done efficiently and correctly. These items are expensive and necessary, making them vital for operating a business. However, they can be damaged, stolen, or lost due to unexpected events like fires, storms, burglary, or theft. Auto repair shop insurance helps prevent major financial losses by protecting a small business from these risks.
Essential Coverage for Your Auto Shop
- Auto repair shop business insurance provides peace of mind in case of accidents and property damages.
- Commercial property insurance helps cover the costs of replacing or repairing business property after an incident.
- Garage keepers coverage protects customer vehicles under your care, custody, and control inside your garage.
- A BOP (Business Owner’s Policy) can pay for lost income if you can’t operate due to covered damages.
Cyber Protection for Auto Shops
- Data breach insurance helps respond if a breach occurs, exposing personally identifiable information.
- Cyber liability insurance covers costs when insurance companies need to recover lost customer data.
- Keeping personal property safe and secure ensures long-term business success.
Protecting Your Mechanic Team & Business Risks
Automotive repair shops rely on skilled mechanics and a hardworking crew to keep the small business running successfully. However, working with heavy machinery and power tools puts employees at risk. Mechanic insurance helps protect the team by ensuring a safe job environment.
Workers’ compensation insurance provides essential benefits if workers need to recover from a work-related injury or illness. Employees also gain access to 1 million providers and 65,000 pharmacy locations across the country, ensuring quality service and medical support.
Beyond worker safety, coverage extends to business liabilities. If a faulty work claim arises due to defective products or mistakes during repairs, protection is crucial. Whether the issue stems from a third-party company or internal errors, the right insurance helps safeguard the shop from costly legal claims and damages.
Two ways to start your coverage
Quotes online
Talk to an agent
Verified business insurance reviews
Hear from customers like you who purchased small business insurance.
FAQs About Auto Body Repair Shop Insurance
Steps to Get Auto Body Repair Shop Insurance
- Start by completing a free online application with your business information, including shop details, revenue, and number of employees.
- Use the platform Eagle Nation to compare insurance quotes from top-rated U.S. providers.
- Choose the right policies, such as garage liability insurance, and pay to secure coverage.
- Instantly download the certificate of insurance to prove coverage when needed.
Work with licensed insurance agents to find coverage that fits your business, whether you operate independently or plan to hire employees.
Auto body repair shop insurance packages help protect your business from unexpected risks and financial losses. If a paint gun damages a customer's van, or a dent appears on the hood during repairs, general liability coverage provides financial protection by covering repair costs. If a kid trips over tools in your shop and gets hurt, this insurance ensures your business is protected from medical bills and legal claims.
Protection for Employee Injuries
Employees also face risks, such as falling from a paint stand or getting punctures from sharp objects on the side door of a vehicle. Garage keepers coverage helps cover repairs if an employee accidentally damages a body panel. If a professional mistake occurs, like using the wrong paint color than requested, faulty work insurance can defend your shop against claims and cover necessary corrections.
Coverage for Off-Site Accidents and Property Damage
Some accidents happen off the premises, like an employee taking a test drive and getting into an accident. Hired & non-owned auto (HNOA) coverage or a commercial auto policy ensures that even when your team drives vehicles you don’t own, you still have coverage. To protect your own property, commercial property insurance covers damage from vandals, a tag on your equipment, or repair costs after a burst water pipe, fire, or vandalism in a leased shop.
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Eagle Nation made getting Auto Body Repair Shop Insurance super easy! The process was quick, and I got the best coverage at an affordable price. Highly recommend!