Garage Insurance

What Does Garage Insurance Mean?

Garage insurance refers to coverage designed for businesses that operate within a garage setting. It typically protects these businesses from liability related to damage to vehicles on the premises, such as those being repaired, stored, or serviced. This type of insurance also extends to other aspects of the business, including property damage, bodily injury, and other risks that arise in the course of garage-related operations.

Insuranceopedia Explains Garage Insurance

Auto repair shops, auto dealerships, commercial garages, and similar businesses can benefit from a garage insurance policy. The cost of a policy depends on the size of the operation and the number of vehicles handled. You can get a better sense of typical pricing in our breakdown of how much auto repair shop insurance costs.

While the policy is similar to commercial general liability (CGL) insurance, it is specifically tailored to the unique needs of garage-based businesses. For example, a car being repaired in a garage is covered by garage insurance, but it would not be covered under a CGL policy, as the latter is not designed to address the specific risks associated with vehicles being serviced or stored in a garage. For businesses that don’t work on vehicles, a standard general liability insurance policy is usually the better fit. Garage owners who also operate a fleet of service vehicles or tow trucks may need separate commercial auto insurance for those vehicles when they’re on the road.