Mobile Mechanic Insurance Inquiry
Hello everyone! I appreciate any assistance you can provide. I’ve recently transitioned my business to become a Mobile Mechanic/Auto Repair service and I’m a bit bewildered about which type of insurance would be best suited for my needs. Since I don’t have a physical repair shop and operate entirely on the go, I’m unsure if I need General Liability, Professional Liability, or possibly both. I believe General Liability covers negligence, while Professional Liability covers damages—am I correct in that understanding? If I could manage with just one, that would be ideal.
I’m also struggling to find an insurance company that offers the right coverage for my business at a reasonable price. I explored options with NEXT Insurance, but they won’t provide general liability for any lifting or modification work. I’ve also looked into several other online providers, only to be turned down due to their lack of coverage options for my line of business.
I would greatly appreciate any recommendations or insights. Thank you!
P.S. I’m based in Utah.
Hi there! Congratulations on your new venture as a mobile mechanic! It sounds like an exciting and challenging field. Let’s address your insurance questions.
You’re correct that both General Liability (GL) and Professional Liability (PL) insurance can be important for your business, but they serve different purposes:
General Liability Insurance: This is essential for protecting your business against claims of bodily injury or property damage that could occur as a result of your operations. For instance, if a client gets injured while you’re working on their vehicle, or if you accidentally cause damage to their property.
Professional Liability Insurance: Also known as Errors and Omissions insurance, this covers you in case a client claims you made a mistake in your professional service (like a faulty repair that causes further issues).
Given the nature of your work, it’s usually a good idea to have both types of coverage. While GL is often more critical for physical operations, PL is also beneficial, especially since you might be providing advice or diagnostic services.
As for finding insurance providers, you might consider the following steps:
Specialized Insurance Brokers: Look for brokers who specialize in trades like mechanics. They may have access to providers that cater specifically to mobile businesses.
Trade Organizations: Joining organizations like the Automotive Service Association (ASA) may help you connect with insurance providers that understand your specific needs.
Local Insurance Agents: Sometimes local agents have better insights into companies that offer coverage for mobile mechanics. They can help you find a plan that suits your needs.
Networking: Reach out to other mobile mechanics in your area or on forums. They might recommend insurance companies that have worked well for them.
Remember to clarify how your services are structured, especially concerning any lifting or modifications, as this can influence an insurer’s willingness to provide coverage. Good luck, and I hope you find the right insurance for your business!