In the US, there are over 54,000 car wash and auto detailing businesses. As you can see, it’s a thriving industry, so you might be thinking about getting a foot in the door.
However, there are many components to starting a business, including insurance.
So do you need insurance to detail cars? If so, what type? And if not, what could be beneficial?
Read on to find out if you need insurance to detail cars.
Do You Need Insurance to Detail Cars?
Let’s start off by answering the main question.
The simple truth is, you aren’t required by law to have car detailing insurance. However, it’s in your best interest to have at least one policy under your business name. This will protect you from going under if anything happens.
Types of Car Detail Insurance
The good news is, there are several types of car detail insurance to choose from. Take a look below to see which one would suit your business.
General Liability Insurance
This type of insurance is a blanket one, as you can guess from the name. Basically, if you accidentally damage a client’s car, or if you, your employees, or a client slips on your property, this type of insurance covers you.
If you’re renting property, general liability will also cover any damages that may happen there.
Garage Keeper’s Liability
This is a good type of insurance to have if you keep clients’ cars in your business for longer periods of time. For example, this type of insurance will cover you if you stored a client’s vehicle overnight and a fire broke out, causing damage.
Some garage keeper’s liability policies also give you coverage if you need to move your clients’ vehicles, such as for pickup or dropoff. You’ll want to check with the provider in detail to find out.
Workers’ Compensation
If you have employees under you, then this one’s a must. Should accidents happen to your workers, your policy will cover their lost wages, as well as medical bills. Workers’ compensation can even cover their time off due to illness.
Property Insurance
This is similar to garage keeper’s liability, but it’s more focused on protecting your property. More specifically, if your property and/or equipment is damaged due to something such as fire or flooding, you’ll be covered.
Mobile Detailing Insurance
Some people choose not to have a physical business space and instead, offer detailing on the go. If this is what you choose, then you’ll want to look into mobile car detailing insurance. This covers all employee cars used to get to and from jobs.
Get Insurance to Detail Cars
As you can see, you don’t need to have insurance to detail cars. But if you want to protect your investment and ensure your business thrives, it’s a wise move to take out a policy or two.
For more articles like this one on car detailing insurance services, take a look at the rest of our blog posts now.