17 Aug Info For Used Auto Dealerships About Garage Liability Insurance in Massachusetts
If you are the owner of a small used car dealership that is currently insured by Zurich Insurance in Massachusetts, New York, Connecticut, or another New England state, this blog is an important alert about your garage liability insurance coverage.
HUB wants you to know that it is a possibility that you may be dropped by Zurich Insurance when your policy comes up for renewal.
As the old saying goes, please do not shoot the messenger. Our team of experienced business advisors felt it was our responsibility to share this news with you right away so that you can quickly get answers to your questions as well as get expert help in making an informed decision about your insurance.
We know that for some auto dealership owners this will be breaking news, while for others you may have heard it through the grapevine at the Southern Auto Auction, or from another dealer that has already received their cancellation notice, or perhaps you’ve even gotten your own “Dear John” letter already. You may have even received a call or a visit from a HUB International advisor as we have been doing our best to get to every dealer that could potentially be dropped within the next year to ensure they have plenty of opportunity to replace their insurance coverage.
No matter how you learned of this situation, we completely understand that this news probably came as a shock and that you could be very frustrated, especially since you may have been pretty happy with your current garage liability coverage and the price.
From what we understand, the drop is primarily affecting smaller, non-franchised used car dealerships. So, if you’re a family-owned dealership, or a shop that employs just a handful of employees, or a dealer with only a few dozen cars on the lot, you could be on the nonrenewal list and may be receiving notification in as few as 30 days prior to the end of your policy term.
What You Can Do About Your Used Auto Dealership Insurance Being Dropped
The very first thing HUB International suggests you do is review your current used auto dealership insurance policy, specifically to see how much longer you have left in your term of coverage. Whether you are nearing that 60-day period or still some ways out from that date, we strongly recommend you act now to ensure that you will have continuous coverage and to avoid putting your business, your employees, your customers, or yourself at risk.
As we’re sure you know, your Used Auto Dealership Insurance, sometimes referred to as Garage Liability Insurance or Lot Insurance, is crucial protection to have to ensure that you are always operating a safe business, with as little exposure as possible. Coverages and endorsements in HUB International’s Used Auto Dealership Insurance solution can include:
Dealers Physical Damage Coverage, which includes comprehensive for protection against fire, theft, vandalism, or even severe weather systems like a hurricane or tornado, as well as collision, which protects you against customers who are test driving a car, get in an accident and don’t have proper insurance.
False Pretense Liability, which protects you from scams, such as being sold a car at an auction by someone who did not rightfully own the vehicle.
Business Property Insurance, which covers damages or destruction of your company belongings including computers, furniture, supplies, equipment, and much more.
Auto Liability (including Dealer Plate Coverage), which provides protection in case of a lawsuit stemming from an accident during a customer test drive.
Automotive Professional Errors and Omissions, which covers you in case of a customer claims negligence for advice given to them by you or an employee.
General Liability, which protects you against claims from incidents such as a customer slipping and injuring themselves in your showroom.
Garage Keepers Liability, which you may have on your policy to protect you in case you have customers’ cars in your possession for repair.
Lemon Law Insurance, which is an endorsement that is typically put in policies to protect you should a car you’ve sold be returned within 30 days and require repairs of $700 or more.
With all this insurance information in mind, it’s now essential to identify an insurance partner who you can rely on long-term; one that has decades of experience and knowledge insuring used car dealerships just like yours. As one of the area’s largest, privately owned, independent insurance agencies, HUB International has strong partnerships with an extensive network of AmBest A-rated (or higher) carriers whose garage liability rates are just as competitive as what you have been used to. In fact, if your operation has been running very smoothly without any losses in the recent past, then it is quite possible we will be able to beat your current policy price from one of our top-quality insurers. All the national insurers we work with have been providing coverage to the auto dealership marketplace for a very long time and you can be confident that they will continue to serve you for many, many years to come.
Our commercial lines team will be able to identify multiple carriers who can match your coverage needs and provide your business with the optimal insurance protection it deserves. Most important, your HUB International advisor will make sure that the transition to a new insurer will be seamless.
How Do I Get Started With HUB International?
It’s extremely simple. We have a dedicated HUB International insurance advisor, Eric Holt, who is here to help you secure the best used car dealership and garage liability insurance for your specific needs. You can call him directly at (413) 750-7157 or email him, email@example.com. Eric would be happy to come out to your dealership to meet with you in person, to get to know you and your business, and to review your current policy so that he can make an informed insurance recommendation.
However, if it’s easier for you to simply do everything electronically, you can send him a copy of your policy for his assessment. To find you the proper insurance and the carrier that best fits your specific needs, Eric will also need a copy of your loss history.
In addition to helping you with a new, customized auto dealership insurance policy, Eric can also assist you with all your other business insurance needs, including:
- Workers’ Compensation
- Commercial Property Insurance
- Cyber Liability
- Excess Liability/Umbrella
- Employment Practices Liability (EPLI)
If you’re ready for a more personal relationship with a trusted insurance agent who is always looking out for you and your business, then contact us today or stop into any one of our five convenient Massachusetts offices. We are eager to help you through this transition and anything else that the future has in store for you and your used car dealership!