Auto Insurance Primer

What is auto insurance? Auto insurance (or car insurance, motor insurance) is insurance consumers can purchase for cars, trucks, and other vehicles. Its primary use is to provide protection against losses incurred. By buying auto insurance, depending on the type of coverage purchased, the consumer may be protected against:

* The cost of repairing the vehicle following an accident

* The cost of purchasing a new vehicle if it is stolen or damaged beyond economic repair

* Legal liability claims against the driver or owner of the vehicle following the vehicle causing damage or injury to a third party.

Liability insurance covers only the last point, while comprehensive insurance covers all three. Even comprehensive insurance, however, doesn’t fully cover the risk associated with buying a new car. Due to the sharp decline in value immediately following purchase, there is generally a period in which the remaining car payments exceed the compensation the insurer will pay for a “totaled” (destroyed, or written-off) vehicle. So-called GAP insurance was established in the early 1980’s to provide protection to consumers based upon buying and market trends. The escalating price of cars, extended term auto loans, and the increasing popularity of leasing gave birth to GAP protection. GAP waivers provide protection for consumers when a “gap” exists between the actual value of their vehicle and the amount of money owed to the bank or leasing company. In some countries including New Zealand and Australia market structures mean that people are more likely to buy a nearly new car than a new car so this is less of a problem.

In the United States, liability insurance covers claims against the policy holder and generally, any other operator of the insured’s vehicle, provided they do not live at the same address as the policy holder and are not specifically excluded on the policy. In the case of those living at the same address, they must specifically be covered on the policy. Thus it is necessary for example, when a family member comes of driving age they must be added on to the policy. Liability insurance generally does not protect the policy holder if they operate any vehicles other than their own. When you drive a vehicle owned by another party, you are covered under that party’s policy. Non-owners policies may be offered that would cover an insured on any vehicle they drive. This coverage is available only to those who do not own their own vehicle.

Generally, liability coverage does extend when you rent a car. However, in most cases only liability applies. Any additional coverage, such as comprehensive policies, i.e. “full coverage” may not apply. Full coverage premiums are based on, among other factors, the value of the insured’s vehicle. This coverage may not apply to rental cars because the insurance company does not want to assume responsibility for a claim greater than the value of the insured’s vehicle, assuming that a rental car may be worth more than the insured’s vehicle. Some states, such as Minnesota, may require that it extend to rental cars. Most rental car companies offer insurance to cover damage to the rental vehicle. In some regions, the costs associated with not having access to the vehicle (“Loss of Use”) is also covered.

Questions to Ask Before An Auto Insurance Purchase

Information about auto insurance companies and coverage options are available from multiple sources for examples the state’s department of insurance, magazines, and independent reviewers’ websites. Insurers operate within the scope of state’s regulations, so everyone will get more or less the same suggestions. There are laws that govern how insurance companies conduct their businesses. There is a clear boundary between legal and illegal practices, but customers still need to do their due diligence to not only avoid frauds but also purchase the right insurance policy that contains the right coverage from the right company.

Insurers have their own methods to determine price and coverage. Apart from company’s policy, customers’ personal data and previous DMV records, behaviors on the road are also essential. Two people who have the same car model and make can get different quotes because they have different records and preferences as well. Here are some questions policyholders must ask themselves before they decide to purchase coverage from any provider.

1. How Much Do They Drive?

More mileage per policy period means more expensive premium. A person who drives a car every day of the week to commute spends more time on the road, hence higher risk of accidents. Distance between home and workplace also helps determine auto insurance premium. Therefore, someone who drives short distance should pay less for auto insurance coverage. Some companies provide discounts for low mileage, too.

2. Do They Use Their Cars for Commercial Purposes?

There are two types of auto insurance policy: personal and commercial. Personal auto insurance is for those who drive for personal purposes for examples to their workplaces or leisure travels. All types of coverage in the policy protect the safety of the drivers and cars. Commercial auto insurance provides more complete protections such as for cargo or passengers (who are not from the same household). Financial protection for cargo means more expensive premium, but this is necessary from business point of view.

3. Do They Have Any Emotional Attachment with Their Cars?

People who love their cars very much need the best protections available from providers. In addition to minimum coverage requirement by the state, optional coverage is necessary to protect cars from wide range of potential dangers. Collision, Comprehensive, and Road Assistance are not mandatory, but they must purchase such coverage for better protections. Additional coverage increases premium rate.

4. Does Anybody Else Drive the Car?

Other drivers (for examples spouse, children, or anybody who lives in the same household) must put their names in the policy. Additional drivers mean more expensive premium, but it can be cheaper when the other driver is a teenager. Insurance companies tend to think of young drivers as high-risk, so it is best to list their names as secondary drivers to minimize cost.

5. What Type of Cars Do They Drive?

Cars with minimum safety features cost more to insure. Sports cars or luxurious models are expensive to repair, and this is why auto insurance providers charge higher premium.

6. Do They Own or Lease the Cars?

Full ownership of the car grants the right to choose any combination of insurance coverage available from provider. When the car is still under lease or finance agreement, the financial service that leases the vehicle often requires driver to include specific type of coverage as part of the deal. In this case, total cost for insurance is almost always more expensive than the amount full owners have to pay.

7. Where Do They Park?

Policyholders’ address is also an important thing to consider. People who park their cars in urban areas where crime rate is high tend to pay higher for auto insurance. There is higher risk of theft and vandalism in the area, so additional protection is necessary. Car owners who live in suburbs often pay less.

8. Do They Have Any Traffic Violation History?

Traffic law violations in the past affect the current premium rate. Records of DUI, involvement in major accidents, improper turn, and failure to produce driver license or insurance card affect premium. When an insurance company thinks that a driver is too risky to insure, the driver needs non-standard auto insurance. The term “non-standard” refers to coverage for high-risk drivers.

Tampa Bay Car Accident Statistics – Proof That Everyone Needs Auto Insurance

With the economy falling on hard times, many people are cutting expenditures in any way they can, including skimping on coverage for their car insurance. While it’s understandable that people must do what they can to put food on the table for their families and survive, many are making a horrible mistake – driving without auto insurance.

Florida law states that if you operate a motor vehicle in the state, you must purchase automobile insurance. Florida’s minimum coverage of insurance is $10,000 personal injury protection (PIP) and $10,000 property damage liability (PDL).

Driving without auto insurance in the state of Florida is illegal. If you do not purchase auto insurance under the guidelines mentioned above, your drivers’ license can be revoked for up to three years.

If the legal consequences of driving without auto insurance don’t compel you to purchase car insurance, then perhaps these recent car accident statistics, provided by the Florida Department of Highway Safety and Motor Vehicles, will.

In 2010 there were 17,480 traffic accidents in Hillsborough County, which encompasses Tampa, Brandon, Riverview, Valrico, Fishhawk, Ruskin, and Sun City Center. In 2009, in the city of Tampa alone, there were 6,788 car accidents. Alcohol was involved in 7% of them (480).

In 2009, Pinellas County, which encompasses St. Petersburg, Clearwater, Largo, Palm Harbor, and the Gulf Beaches, had 13,669 accidents.

The city of Tampa ranks third in statewide traffic accidents, behind Miami and Jacksonville. This makes car insurance rates in Tampa higher than other cities in Florida. It also puts you at a tremendous risk should you opt to drive without car insurance and then be involved in an accident. The scary thing is – one in seven people throughout the country don’t have car insurance. In some states, it’s even as high as one in four!

If you’re involved in a car accident and do not have auto insurance, the consequences can be devastating physically and financially. You’ll need repairs on your car, or possibly a new one, if your vehicle is beyond repair. You could require medical care to cover injuries. Injuries sustained in car accidents can be soft tissue injuries such as whiplash, to more severe ones such as a concussion or broken bones.

If you’re hit by an uninsured motorist, it can be even worse. Considering auto insurance can be relatively cheap compared to the cost of actually purchasing a vehicle, there’s absolutely no reason anyone should be driving without it. Purchasing auto insurance may seem very precautionary and even unnecessary, but it will save you a lot of pain and suffering later on.

Car Insurance – Cushion Huge Expenses and a Legal Protection

A car has become a basic need of families now-a-days. You can see many small, big, different models and companies cars rushed on the road around all the cities. We all know that a good car comes under a luxury item and no one wants to spend money on this on daily basis. Could you afford to buy a new car because one you had damaged or stolen? Yes answer is most of the people can’t. So there is a solution to protect your favorite and needed car- the car insurance.

What is car insurance?

It is a type of a contract between the car owner and insurance company. In this contract car owner pays the premium and the insurance company pays the losses or theft of car. A car is often a high expense and you want to insulate it. So insure your car and feel safe to roam around!

It repairs all types of damages

The aim of such insurance is to serve the victim. It pays to repair all types of damages such as weather damage, flood damage, fire damage and animal smashups. If your car is wrecked due to any mention damage in insurance papers, company will provide you amount for the relevant damage.

Clinches the peace of mind

Same as its spelling “insurance”- it insures peace of mind to deal with daunted bearings that completely hooked with budgeting. Unforeseen situations can happen anywhere with anyone but this type of investment keep your mind peaceful in such situations. It brings immediate relief from stress and survives in such incidents.

Bear thefts- roaming and parking is comfort

Could you purchase a new car because the one you had is pilfered? It’s difficult to bear a loss of theft of your favorite or luxury car. But you may feel recline from the fear of theft if you have insured your car. The company from where you have purchased insurance compensates you the value of car that was stolen.

Easy to excess

Car insurance is an easy and fast process to protect your car. You can purchase or renewed insurance online that is an easy and fast process. It is accessible by anyone as per the time and convenience.

Premiums and claims

Premiums and claims may different according to company’s policy. It totally depends on which type of policy you want to buy. But it is easy to pay premium because companies will provide you online facility to access all information. If you do not claim during the policy period No claim Bonus will offers you renewable policy in certain terms and conditions.

Car insurance contributes to legal, mental and financial peace which makes driving, buying or owning a car easy. It is a best way to boost broad coverage against debt you might face due to car theft or damage.

Tips on Buying Mexican Car Insurance Before Your Upcoming Trip

If you are planning on visiting Mexico either for a short trip, or an extended stay, and you will be operating a vehicle in this country; then you may want to consider investing in Mexican car insurance. There are different legal systems in place in Mexico, when compared to the United States; and some significant difference in insurance coverage’s that are offered for drivers. When buying a plan for an upcoming trip to Mexico, it is usually best to purchase a short term policy online before entering the country; to avoid any potential issues.

Research Liability Differences- One of the major differences with car insurance in Mexico compared to the United States is the difference in liability issues between the two countries. According to the civil law in Mexico; there is no liability for any type of emotional distress pain or suffering for those who are in an automobile accident. This means that insurance claims only covers property damage and bodily injury; items that are determined strictly and easily based on their actual cash value. This is important information to know, should you ever be in an accident.

Purchase Separate Legal Aid Coverage- When inside Mexico, there is no liability coverage to pay for your legal defense, should you get in an accident and need to go to court. Typically, there is an option to add legal aid coverage to your policy.

Be Aware of Mexican Accident Laws- When deciding whether or not to get Mexican car insurance; remember, if you are in an accident, the country’s law requires your vehicle to be held within the nation’s borders until all damages are paid off. With this in mind, make sure that your policy will cover the cost of bail, or add an additional coverage first.

Buy a Short Term Policy Online- Don’t wait to purchase auto insurance until you arrive in Mexico, you can purchase short term travel policies online before your trip. While you purchase your online policy; make sure you also purchase a car permit.

Collect the Proper Paperwork First- When you enter into the country, you will legally need to have both Mexican car insurance and a car permit for Mexico, especially once outside the ‘border sector’ of the country. When driving in the country, the insurance claim, title holder and driver all must be owned by the same person. In order to obtain a temporary car permit, you will need your drivers license, registration, ID, major credit card and some type of immigration form.

Consider Auto Insurance Through Your Car Rental Company- Many travelers will decide to rent a car in Mexico after they have crossed the border. Your car rental company will likely be able to offer you high quality coverage. However, if you want to get liability coverage, you will have to get this separately from a licensed provider.

Learn the Difference in Deductibles- Deductibles in the United States are different than deductibles in Mexico. Typically with auto insurance in Mexico, there are two different types of deductibles. First there is the physical damage deductible, that is usually about 2% of the value of the vehicle; with a a minimum of $500. There is also theft deductible that is usually 5% of the vehicle’s value with a minimum of $1,000. With the differences in typically deductibles; it is important for drivers to be well informed of what their deductibles will cover.

Look for Medical Evacuation and Plane Tickets Home- If you are worried about a potential accident impacting your trip; consider adding medical evacuation coverage. This will pay for air or land ambulance services. You can also add coverage to cover the cost of your plane tickets to the US or Canada, should an accident render you unable to leave.

Vehicle Repair- As a visitor to the country of Mexico, drivers will want to find out if they are allowed to repair their vehicle in their home country, whether the US or Canada. Otherwise, those who are in accidents may have to get their repairs done in Mexico. Not all insurance companies offer this service, but some who specialize in travel insurance will have this option.

Auto policies differ from country to country; but as a responsible driver, it is always smart to know your coverage options. If you should find yourself in an accident, you can feel confident knowing that your Mexican auto insurance can help keep you covered. Your insurance policy may have a number that you can call,or you can call Mexico’s version of 911 (066) in case of an accident, for assistance.

Tips On How To Save Money On Car Insurance

Some things in life are free. Car insurance is not one of those things, and it can be rather darn expensive. Here are some ideas on how to save money on car insurance.

Depending upon what state you live in, having car insurance may not only be a smart way to protect your car, it may also be the law. Certain states require that drivers carry insurance on their vehicle, and for good reason. Car repairs can be very expensive, and most people do not have a few thousand dollars set aside just in case of an accident.

Since car insurance is something we need to spend to money on, we should try to at least save some money while we’re doing it, right?

Here are a few tips to help you save some money on your car insurance bill.

1. Get quotes from more than 1 company. You are severely limiting the money you might save by signing up with the first company you get a quote from.

2. See if your employer has any special relationships that might entitle you to cheaper insurance. Some companies that are only available to groups have incredibly attractive rates and can save you a lot of money.

3. Some companies offer percentage discounts for a good driving record, good grades in school, and defensive driving courses. A defensive driving course might cost you a few hundred bucks, but it might you save you multiples of that over the next few years. Check with the insurance company to see which programs qualify for this discount.

4. Make sure your motor vehicle record doesn’t have any wrong information. Identity thieves have figured out that it is not too difficult to get their moving violations on someone else’s record.

5. Carrying a higher deductible, for example $1000 instead of $500, can lead to lower rates. If you are not prone to having accidents, a higher deductible might be a good choice for you.

6. If you have a teenage driver, consider having them get their own policy. At least get quotes to compare whether they are adding unnecessary expense to your rates.

7. Move to a rural area. This is probably not a viable option, but car insurance does vary heavily by area and state. More densely populated areas oftentimes have much higher rates than rural areas.

8. If your vehicle is completely paid for, you may only need to carry a minimal amount of insurance. Check with your insurance company and state laws to see if you’re required to carry coverage such as liability, collision, or comprehensive coverage.

9. Some car insurance companies will give a discount if you have an alarm or theft-deterrent device installed. If your car doesn’t have one already, consider getting one.

There you have it. A few free tips on how to save money on your car insurance. Some may work for you and some may not, but you won’t know that you’re getting the best rate unless try to implement some of these tips. Good luck in reducing your car insurance bill!

Does Auto Insurance Help If You Are a Victim of a Hit and Run Accident?

Unfortunately, the news about a hit and run is on the radar every so often. A pedestrian or a car driver is hit by a vehicle and the driver responsible for the accident speeds off without owning up to his actions by checking on the victims and providing his or her contact info to police.

What defines a hit and run accident?

A hit and run incident occurs when one driver crashes into a person or a car and intentionally drives on in order to avoid prosecution or accountability for resulting death, injury and/or damages.

Should you become victimized in a hit and run event, never pursue the fleeing car. You might find yourself in a road rage incident or the like. Leave the chasing to the cops who are trained in this type of thing. What you should do immediately following the crash is to alert the law enforcers.

For your best interest sake, gather as much information as you can about the event. This will help police catch the driver who collided into you. It will also add to the chances of your submitted insurance claim be processed to your advantage.

Here is what the insurance underwriters tell victims of hit and run accidents to do.

As said, the more information you gather about the case, the more chances of it ending to your benefit.

Tell authorities about facts by providing the following:

• The make and model of the other car or vehicle

• The license plate number of the other car

• How to get in touch with people who witnessed the accident

• The time and place when and where the accident occurred

• Images taken of your car immediately following the collision. (leftover paint of the other car on your vehicle will assist authorities in locating the other driver and pinning charges as it will help the insurance company determine a good outcome for your claim)

• Physician’s report about any injuries you or your passengers incurred as a result of the accident

If the driver who slammed into you and drove off without accepting liability is caught, you can submit an auto claim directly to his or her insurance company. But, should the other driver happen to be with insufficient insurance coverage or no coverage at all, you might want to resort to an attorney’s services.

Another avenue to pursue is your own insurance coverage. If the hit and run driver does not have proper insurance to cover your losses, you can file a claim with your insurance company. States differ in policy as far as the claims process goes, so you’ll have to do the research. Generally speaking, if you have uninsured motorist bodily injury coverage, you will be covered for medical bills and if you have uninsured motorist property damage insurance, you will be covered for related auto repair work.

Though there are various US states that do not cover you with these forms of insurance, they should cover you if you have personal injury protection coverage as well as medical payments insurance and collision coverage.

Of course, it’s best to speak with a knowledgeable independent insurance agent that has experience in this type of claim, so make sure you hook up with a reliable source!

Cheap Auto Insurance Companies Overview: Important Factors to Consider

All car owners are always looking for ways to save on the costs associated with their automobile, whether it’s on repairs, gas, insurance, etc. Nowadays, there are more cheap auto insurance companies than ever before, and if you are in search of a more affordable policy, you can use internet tools to help you.

Beware that there are scams and that it is possible to make a mistake and choose the wrong company or policy, even if the offer is legitimate. There are many things to look for in an insurance company, including its financial strength, number of years in the business, number of complaints, number of positive reviews, what kinds of discounts they offer, how easy it is to file claims with them, and so forth.

There are some things that affect the rates you will get that will be challenging for you to change. For instance, if you have poor credit history and/or a poor driving history, it’s going to take some time to prove to insurance providers that you are now trustworthy and that you are working on making improvements. The improvements themselves will take a lot of time as well.

Think about what would be better for you financially: to pay more money each month on the premium or more money out of your pocket in the event that you are involved in an accident on the deductible. Typically, individuals who have an older vehicle or an inexpensive one will opt for lower premiums since the vehicle might not be worth the price of repairs or replacement if it’s totalled anyway.

Cheap Auto Insurance Companies for Older Vehicles

If you do have an older vehicle, then you might be able to do without collision coverage as well. Find out what the minimum legal requirement for automobile insurance in your state is and decide if that is enough for you or if you want to be on the safe side and get some more. There are always variables to consider when it comes to getting quotes from cheap auto insurance companies.

Consider value, not price, when comparing quotes. Which offer includes the right kind of coverage you need at a reasonable price? Do the terms regarding the deductibles and premiums look ideal to you? Carefully read over each offer and do the relevant research on the companies.

There are things that could be in your favor that you’ll want to let a potential insurer know, such as low mileage, unemployment, have a job close to home, work out of the home, etc. Driving less means that you may qualify for a lower premium.

Lastly, check and see if you qualify for any special discounts. You’ll be surprised at some of the discounts some auto insurance companies offer.

Where should you begin your search for cheap auto insurance companies? Esurance Insurance Services, Inc has tons of positive reviews and 4 and 5 star ratings. You can always count on car insurance savings being easy to find at esurance.

Online Auto Insurance May Be Cheaper For You

Many people surf the web now to save money on car insurance. And for good reason – you can often save quite a bit if you get auto insurance quotes online.

Different Ways to Save Money on Car Insurance

Your car insurance agent, if you still have one, may have talked to you about the historically-effective ways to save the most money when giving you the latest auto insurance quote. We’re talking here about things you can control yourself. All of those same factors still apply, but the internet allows you to be more thorough and to get more car quotes to compare prices.

Higher Deductibles.

Car insurance quotes usually drop dramatically when based on very high deductibles. The only question here is: How much pain can you absorb yourself? That is, don’t raise your deductibles so high that paying them would force you to borrow money or suffer financial distress.

But if you adopt the philosophy that insurance is meant to protect you from catastrophic losses, then this approach makes the most sense. Keep your deductible money in an insured savings account. It’s possible that the premium money you save with very high deductibles will allow you to fund that account in just a year or two – and everything after that is pure gravy.

If you’ve ever experienced a rate increase after filing a claim then you’ll appreciate another benefit of incurring higher deductibles on your car insurance rate: you will file fewer claims. No longer will you submit an insurance claim for a $500 windshield repair – but the additional cost of paying it yourself will be more than made up for by your extremely low car quote.

No Physical Damage Coverage

This approach is similar to #1 except it applies mainly to cars that have been on the road for a few years. If you’re in a collision with an older car you may find the repair bill is higher than the Kelly’s Blue Book Value of your vehicle. Without insurance you’d think twice about making the repair, especially if you can still drive the car and the damage isn’t too bad.

You have to compare the potential cost of fixing or replacing your car with the impact on your auto insurance rate. If the difference is dramatic you can bank the savings and watch your savings account grow because of your cheap auto insurance quotes.

If you’re a very safe driver and never had an accident it may be a great way for you to save money – as long as you keep your savings in the bank.

Don’t Have Accidents

Some people don’t need to be told to do this and already are experiencing the benefits of a safe-driver car quote. But if you’ve had accidents in the past you’ll want to think about changing your driving behavior (not speeding, not talking on your cell phone, not tailgating, etc.). This approach is almost mandatory if you’ve taken the approach outlined in #1 and #2 above.

No Tickets!

Yes, Virginia, getting tickets is bad for your car insurance. Another benefit of this kind of good behavior is avoiding the cost of paying tickets, so this one is another no-brainer.

Protect Yourself From Theft With Cheaper Cars

This will have an impact on your auto insurance, obviously, and will save you money in other ways too. You should avoid certain expensive and thief-desirable cars because they will bring you more expensive car insurance. One area not to scrimp on, however, is anti-theft and safety devices, because they can lower your car insurance costs.

Get Rate Discounts

Sometimes your good driving behavior or other factors (such as good grades, safe careers, or low mileage) may not have been taken into account in your automobile insurance. And be sure to include ALL of your vehicles together when getting auto insurance quotes – you’ll get the benefits of multi-car discounts.

Getting online car insurance will allow you to see all of the options that are out there for you to receive a lower car quote. You may have moved to a different state where there are discounts for things like taking a safe-driving course.

A High Credit Score Will Help

Insurance companies look at your credit score when determining auto insurance rates. There’s some tie-in with responsible credit and responsible driving, they say. This will be a lot less direct than some other ways to save money on your car insurance.

No Small Claims.

Although mentioned above it is worth stressing. In the long run you may save a lot of money by filing fewer claims. We’ve all heard horror stories of auto insurance companies dropping people for filing claims.

Many people make the mistake of not filing small claims but also having low deductibles and paying way more than they need to for their auto insurance. If you’re not going to be filing small damage claims then #1 above becomes a no-brainer as a way to get lower car quotes.

Combine Insurances

If you’re not doing this already it’s a big mistake. You may get discounts of 20% or more for combining coverages together. If you have a boat or motorcycle or vacation home, throw those in the pot too. And don’t forget your renter’s insurance may be combined also to give you lower auto insurance quotes.

Get Car Insurance Quotes Online.

That’s the point of this article. Today’s internet allows you to get the best deals with a couple of clicks of your mouse. You don’t have to rely on one agent or one company.

Use a web-based service such as this one to shop around for the lowest car quote (much like web travel companies do for airline tickets). This will save you money.

One possible concern about getting online car insurance is whether you will get the same level of service, and whether you’ll end up with a quality company. The truth is that going online helps car insurance companies save money, and they pass those savings on to you.

This doesn’t mean you’ll get worse service or a low-rate company. The best companies with the lowest rates are all providing auto insurance online. Most of them use other companies as “middle men” to get the data and submit to competing companies for the best deal. You should visit one of them now to see how much money you can save.

Must Know Garage Liability Insurance Information

Are you familiar with garage liability insurance? Depending on the type of business that you’re involved with, than you already may have come across it before. If not, then you may be surprised to learn that there’s more to it than meets the eye. In this guide, we’ll take a look at this form of commercial insurance, who needs it, and how and why it’s a necessity.

One of the first points to consider is that this is a more widespread or common form of insurance than you may imagine. There are many different types of businesses and industries where this is either required or recommended.

This begins with automobile dealerships. Auto dealers are required to carry numerous forms of commercial insurance, such as dealer bonds, as well as garage liability. With the latter, business owners are essentially covered in the combined areas of general liability and automotive insurance. In other words, they’re protected against bodily injury and property damage as a result of a vehicle accident.

Beyond the world of automobile dealerships, as we mentioned, there are also many other businesses which are served by garage liability coverage. This list includes essentially any type of business where a customer’s or client’s car may be left on-site, and either moved or serviced by the business. In practice, this list includes everything from valet services and parking garages to quick lube and tire change facilities, auto repair and body shops, car washes, and so forth.

What this does not cover is what’s separately known as “garagekeepers” insurance. This portion of the puzzle is what protects your business against any actual damage to the vehicle itself. You don’t want to fall into the trap of believing that you are already protected against this only to find out at the worst time that you’re actually not covered. It’s any business owner’s nightmare.

Another important note to remember is that the specific requirements for garage liability will vary from state to state. In a state such as Florida, different automobile dealer licenses have different minimum coverage levels, for instance. In depends on the type of license you’re carrying, and this type of stipulation is common in other states across the country as well.

Of course, it’s always essential to work with an experienced, licensed insurance professional in your state or local area. He or she will be familiar with the local regulations and requirements, and should be able to help you smoothly navigate the matter while finding the right deal and the right policy.