Essential Insurance Coverage Every Auto Mechanic Shop Needs to Protect Their Business

How Swift Automotive Found the Right Insurance Coverage—and Saved Money Along the Way

When Corey Swift, the owner of Swift Automotive, reached out to us at The Mitchell Insurance Group, he was seeking better insurance for his growing auto repair shop. What he didn’t realize was that, in the process of finding better coverage, we would be able to uncover gaps, save him money, and ensure that his business was fully protected with all the necessary policies—providing peace of mind for both him and his team.

Understanding the Risks of an Auto Repair Shop

Running an auto repair shop involves more than just fixing vehicles. From managing employees and handling customer vehicles to maintaining expensive tools and equipment, the risks are ever-present. Corey knew his business was growing, but he wasn’t entirely sure his insurance policies were up to the task of covering all those risks.

The First Step: Comprehensive Insurance Review

When we started working with Corey, we began by reviewing his existing insurance policies. We asked the important questions: Was he fully covered for workplace injuries? Did his insurance extend to loaner vehicles? What about theft, vandalism, or property damage? We quickly discovered that while Corey had coverage, there were significant areas where his insurance didn’t fully address the unique risks his business faced.

Key Insurance Coverages for Auto Repair Shops

Here are the crucial types of insurance we worked with Corey to secure, each tailored to his needs as an auto mechanic shop owner:

Workers’ Compensation Insurance
The risks of injury in an auto repair shop are high—whether it’s from heavy equipment, car parts, or the nature of the work itself. Comprehensive Workers’ Compensation Insurance protects employees in the event of workplace injuries. This coverage is essential for maintaining a safe and legally compliant work environment.
Garage Keepers Insurance
Protecting customer vehicles while they’re in your care is critical. Garage Keepers Insurance covers damages to customer vehicles due to events like fire, theft, vandalism, or accidental damage while on your premises. This coverage ensured that Corey’s customers’ vehicles were protected, giving both him and his clients added confidence.
Commercial Auto Insurance for Loaner Vehicles
Providing loaner vehicles to customers can be a great service, but it comes with unique risks. A dedicated Commercial Auto Insurance policy ensures both the business and the customers are protected if an accident occurs involving one of these vehicles.
Commercial Property Insurance
Corey’s shop contained valuable tools, equipment, and inventory essential to daily operations. Commercial Property Insurance provided coverage for business property such as machinery, tools, and supplies against risks like fire or theft.
- Business Property: Items like tools, equipment, and inventory are considered business property.
- Tenant Improvements: Custom modifications or upgrades Corey made to the rented shop space—like built-in tool stations or specialized lifts—fall under tenant improvements. Differentiating these ensures both types of property are adequately insured.
Crime Insurance
Theft, whether from employees or external parties, is a risk many repair shops face. Crime Insurance safeguards against losses from employee theft, burglary, or vandalism, ensuring Corey’s financial stability in case of criminal activity.
General Liability Insurance
Accidents happen. Whether it’s a customer slipping on a wet floor or accidental damage to a vehicle, General Liability Insurance covers legal expenses and settlements, protecting the shop from significant financial strain.
Business Owner’s Policy (BOP)
Bundling key coverages into a Business Owner’s Policy helped Corey save on premiums while ensuring comprehensive coverage, including property, liability, and business interruption insurance. This streamlined approach worked perfectly for his growing business.

Tailored Solutions for Swift Automotive’s Growth

As Swift Automotive continued to grow, we adapted Corey’s policies to meet his changing needs. An annual review ensures his coverage remains up to date with the evolving risks of his business.

Why Choose The Mitchell Insurance Group?

At The Mitchell Insurance Group, we don’t just provide policies—we provide peace of mind. With a deep understanding of auto repair shop needs, we tailor insurance solutions to fit your unique risks. We’re not just your broker; we’re your partner in safeguarding your business.

Can We Help You, Too?

Whether you’re an independent shop or an established business, ensuring your insurance is tailored to your needs is vital. Contact us today for a review of your coverage. Protect your business, your employees, and your customers with The Mitchell Insurance Group.