Jump to content

Garage keeper's insurance, Am I getting ripped off?

Recommended Posts

Hey everyone, Ive lurked these forums for a long time while managing other people's shops and Ive decided to finally take the plunge. I shopped for an insurance quote and was given a price of 9k per year, this sounds extremely high to me. Is this a reasonable quote for a 2 bay shop in the Los Angeles area?

Link to comment
Share on other sites

Great Tire Deal

I would recommend getting five (5) quotes. Commercial insurance quotes usually vary a lot, depending on whether the company wants to write you or not. I highly recommend Westguard, www.guard.com/west, a Berkshire Hathaway Company. They have written me for 3 years in a row and were about 1/3 the cost of others.


I have garage liability, garage keepers, and completed operations coverage. To answer your question, 9k yearly or $750 monthly sounds VERY HIGH for a 2 bay shop, but I'm in South Carolina, and don't know about CA prices. Like I said, get 5 quotes. Other companies to check with are Auto Owners Insurance Co., Fidelity Insurance Co., and Main Street America. An independent agent can most likely hook you up.



Link to comment
Share on other sites

It's like someone asking you how much for a timing chain? Well it depends on what's included and the quality of parts. Insurance pricing depends on coverage and a number of other issues as well as sales volume. I shop several companies every year. This year I had a company come back with a quote significantly lower than my other bids. I agreed to sit with the guy but told him he needed to review his coverages because he has left something out. He did leave something out, all of our shop vehicles and rental cars. When it was all said and done he was slightly less than my current provider but not enough to make me want to switch. I usually will stay with a provider at least 2 years before I make any changes, I have 2 that have been very good and competitive. Sentry and Universal Underwriters (Arrowwood). I pay around 12K but I also have collision operations, 15 bays and $2M+ sales, so your quote may be a little high.

  • Like 1
Link to comment
Share on other sites

The meeting with my insurance agent when i had my shop was like an hour long. He asked me 100 questions, he wanted to know everything about the business, the sales, the highest amount of vehicles that may be in the shop at the worst possible time. He wanted to make sure should that once in a life time event happen, I was covered and not left hanging exposed. Overall I had the final say on what and how much, but he started out letting me know where we could, should and should not cut coverages. He gave me the blue print as it were that I then could compare with other insurance companies. For 12 years he was my guy, but I checked his prices every year, just in case as I like everyone else didn't want to be giving money away needlessly. It is so much easier to compare when everyone has the exact same coverages to bid on.

  • Like 1
Link to comment
Share on other sites

I wasted a lot of money on coverage that I didn't need, and lost money on coverage that I should have had.


Do yourself a favor and at least get this book to have a fair idea and understanding of what you are buying:


The Savvy Businessperson's Guide To Property & Casualty Insurance: Applications and Practices



This will give you an idea of how to ask the right questions and compare coverage. Apples to apples and oranges to oranges.

Link to comment
Share on other sites

I have always bought all of my insurance through a broker. They shop it for me, in theory getting me the best value - always better than the best price. They act as middle man for me on claims. I can't imagine navigating the jungle of insurance without them.

  • Like 1
Link to comment
Share on other sites

  • 1 month later...

Shop every year and let them know what you currently have.

The last guy that looked at my policy to shop a competitive price told me the quote my current provider have me could not be beat and to just stay with them.

This honesty went a long way with me and I used him for all my personal insurance.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Available Subscriptions

  • Have you checked out Joe's Latest Blog?

      It always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
      While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
      Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
      One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.
  • Similar Topics

    • By nptrb

      Premium Member Content 

      This content is hidden to guests, one of the benefits of a paid membership. Please login or register to view this content.

    • By Changing The Industry
      Episode 165 - Chasing An American Dream While Balancing Family and Culture With Gilbert Khoshaba
    • By carmcapriotto
      In this episode, Hunt tackles the pressing issues facing the housing market in 2024, discussing the impact of interest rates and the real affordability of homes.
      • Interest Rates Surge: Exploring how doubled interest rates are drastically affecting monthly payments.
      • Affordability Crisis: Delving into how rising home prices are outpacing income growth, making home ownership a distant dream for many.
      • Economic Insights: Analyzing the mismatch between the growth in home prices and stagnant wage increases.
      • Future Risks: Assessing potential market corrections and their consequences on homeowners and the economy.
      Thanks to our partners, NAPA TRACS and Promotive
      Did you know that NAPA TRACS has onsite training plus six days a week support?
      It all starts when a local representative meets with you to learn about your business and how you run it.  After all, it's your shop, so it's your choice.
      Let us prove to you that Tracs is the single best shop management system in the business.  Find NAPA TRACS on the Web at NAPATRACS.com
      It’s time to hire a superstar for your business; what a grind you have in front of you. Great news, you don’t have to go it alone. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.
      Paar Melis and Associates – Accountants Specializing in Automotive Repair
      Visit us Online: www.paarmelis.com
      Email Hunt: [email protected]
      Get a copy of my Book: Download Here
      Aftermarket Radio Network
      Click to go to the Podcast on Remarkable Results Radio
    • By Joe Marconi

      Premium Member Content 

      This content is hidden to guests, one of the benefits of a paid membership. Please login or register to view this content.

    • By Changing The Industry
      NOW is the time to register!

  • Our Sponsors

  • Create New...