What type of protections are included in a Franchised Vehicle Dealer Insurance policy
The basis of your insurance is fundamentally the same, irrespective of the type or size of motor trade business you are.
Undoubtedly working from business premises there are a lot of covers to be included, if the premises are owned by the business then buildings insurance is going to be required whether mortgaged or not to protect against the costs of damage from Fire, Storm or increasingly Floods. We take the buildings and its sum insured seriously as a high proportion of buildings are underinsured; resulting in a potential shortfall should the building have a loss.
Contents insurance encompasses a wide range of areas within the business, from the reception area, to showroom furniture such as desks, chairs and all the electronic equipment that is present, all these need adequate insurance cover.
A vehicle dealer insurance policy will also cover both own vehicles and customers vehicles at the premises whether inside or out. This can be in the 100’s of thousands of pounds so having robust quality insurance in place is essential.
Parts departments can have a huge racking area that needs insurance cover as well as the stock of new parts and consumables, the service and repair area will have its plant, equipment and not only company owned tools and diagnostic equipment but employees tools too. Special Tools can be an issue, what is the value; some might be obsolete, what happens then?
Dealing with Real Insurance for your Vehicle dealer insurance means that we go through all these areas to establish the correct covers and sums insured, even the signage located outside needs to be insured.
Having a loss can be devastating to any business, business interruption insurance is there to keep your business in business should the worst happen. Ensuring that the amount of cover adequately reflects the potential losses is also of great importance as is the length of time the insurer will continue to pay for loss of profits should a loss occur at the premises.
Liability Insurance for Vehicle Dealers and those in a Franchised dealer network
In an increasing litigious world Liability Insurance will protect your business against allegations of a loss, damage to property or injury to either a member of the public or an employee. It provides protection against the legal defence costs as well as any compensatory payments the business might have to pay.
A typical example of Public Liability is where customer has come into your showroom, they have slipped on a wet floor that should have been cordoned off. Working on vehicles, issues can arise after the repair has been carried out, having quality Defective Workmanship Insurance in place should the repair that has been done causes damage to the vehicle or a member of the public, incorrectly fitted parts is a typical example.
Your business has employees, that’s your sales people, management, parts department and service are all employed, if an injury or loss occurs that involves an employee it’s a legal requirement that the business has Employers Liability insurance, this provides compensatory payments as well as legal cost should an injury arise.
Insurance for driving business vehicles as well as customers
Commonly referred to Road Risks Insurance it provides comprehensive cover for employees in the business to drive company owned vehicles as well as those of your customer. It’s essential that you can demonstrate sales vehicle to your customers by accompanying them on test drives, sometimes it’s important to let your customer take a vehicle unaccompanied, insurance is available for these eventualities.
Customer service is an essential part of your dealership, you relay on repeat business by keeping your customers happy, having a loan car available for them to use is easily incorporated and at low cost whilst their vehicle is being serviced or repaired.
Other protections available on a car, or commercial vehicle dealership insurance policy
Of course there are many insurance protections available to vehicle dealers insurance policy whether an independent dealer or part of a franchise dealer network.
Money Insurance – whilst most transactions are made by card or transfers but some people still like to use cash, this is where money needs to be protected on the premises.
Transit Insurance – moving vehicles about on a transporter means it could need insurance, some policies give automatic cover some don’t, let us get the right insurance cover in place to protect your vehicles.
Inspection of machinery – usually referred to as engineering inspection, this is a service that keeps you on the right side of HSE by inspections of lifted and pressure plant as well as ventilation and extraction plant – we arrange this service to run alongside your main insurance covers.
Fraud or Trick – with fraud a major hit to your profits, this type of insurance cover can be a standard inclusion in some policies and is essential to dealers selling vehicles.
Cyber Insurance – cybercrime is still one of the fastest growing and sometime referred to as an illicit businesses. The cover on a cyber insurance policy can be tailored to a car dealer’s needs and requirements.
Directors & Officers Liability Insurance – A director or senior member of the management team can be held responsible for all different types of wrongful act. Its better known as a Management Risks Policy, it protects Directors, Senior Managers as well as the Company itself against allegations of a wrongful act, it provides not only legal defence costs but any compensation payable. Employment cover can also be added to these types of policies.