Don’t Let Your Mechanic Business Break Down – Insure It!

Keep your shop doors open and your business running with this insurance update 

The Insurance Essentials

All insurance is essential, but some policies are more essential than others. If your business is not in the best place financially (totally understandable, given that recovery from a pandemic doesn't happen overnight), it's critical to have an open and transparent conversation with your insurer to identify the cover you absolutely can't go without.

You could do your own research, too (you know, to keep those insurers and brokers honest!). To help you along, here's a round-up of three products that should be non-negotiable.


Motor Traders Insurance

This is for any business operating in the motor trade industry, including vehicle retailers, fuel retailers, fitment centres and (here's your turn) vehicle repair and service centres... aka auto repair shops and, garages! Motor Traders Insurance is available to any size of business and can be taken out by part-time mechanics, too. Be sure to ask if all types of vehicles will be covered.

While aspects of Motor Traders Insurance are similar to standard Business Insurance, there are elements that are unique to car repair garages. For example, it covers vehicles on your insured premises against accidental damage, while also extending to vehicles on the road or parked elsewhere in the event of loss or damage.

This would be especially relevant if your shop is so popular that you have a line of cars waiting for your attention (fingers crossed!), or if one of your employees takes a client's vehicle for a test drive and gets into a fender bender.

This type of insurance can also cover specialised equipment and the expensive stock you keep on hand should these be damaged in the event of fire, water, explosion or impact.


Business Car and Commercial Property Insurance

The name says it all. Business Car and Commercial Property Insurance will be invaluable should your business vehicles or premises suffer from theft, fire damage or a natural disaster. Being comprehensive in nature, it doesn't cover only the big items: you can include the likes of your office computers and other essentials.


Public Liability Insurance

Public Liability insurance is important for you and your employees. It protects your business if it's found to be legally responsible for third-party property damage or bodily injury suffered during working hours. This includes cases of negligence resulting in the death, bodily injury or illness of any person, as well as accidental loss of or damage.

It's grim to think that you might ever need this, but the reality is that anything can happen anytime. Be prepared for any possibility, while hoping it never comes to pass.


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Please note that the information in this article is provided for informational purposes only and should not be construed as financial, legal, or medical advice.