Auto and Truck businesses of all kinds are collectively referred to as "Garage" risks in insurance jargon.. This includes repair & service garages, body shops, rental companies, smog test stations, gas stations, storage lots, parking lots, valet parking services, new and used vehicle dealers, generally any business with vehicle services & activities as its principal concern. This "Garage" insurance category usually includes passenger cars, trucks, motorcycles, trailers and RV's.

Garage insurance is usually written as a combined form of general liability and auto liability insurance. It is something of a specialty line, and some conventional insurance carriers do not offer it. While standard forms are made available by the industry forms provider, there is considerable variation among insurers in the policies offered. Part of this owes to the wide variation in exposures & risk posed by the many different types of operations. Specialized Garage Insurance coverages are available to address numerous risks:

1. Garage Liability Insurance (Injury or damage while driving owned or customer vehicles; Loaner Vehicles)
2. Towing (Liability & Damage to customer vehicles while towing)
3. Medical Payments (Courtesy medical payments to injured parties)
4. Customer Vehicle Damage (Fire, Theft, Collision & other damage while in your custody)
5. Products/Completed Oper. (Damage or injury caused by your work or product.)
6. Comm. General Liability (Premises Liability, Personal Injury Liability, Fire Legal Liability, etc.)
7. Dealer's Inventory (Fire, theft, collision etc to vehicles in the dealer's inventory.)

There is an important distinction between two similar terms underwriters use. "Garage Liability" is generally used to mean liability for injury or damage, while "Gargekeepers' Legal Liability" generally refers only to fire, theft or other damage to customer vehicles while in your custody, for which you are responsible. There are also varying degrees of insurance available for customer vehicles, some policies paying on a "primary" basis, others secondary or excess to any other available insurance.

The liability insurance rating basis for your premium is usually payroll or employee count, with different rates applying, mostly based who drives customer or assigned vehicles regularly, vs those who don't..




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