As the owner of an auto body and repair shop, it is not uncommon to have used vehicles for sale or even customer autos held on consignment. If you do it’s important that you are aware of the risks that your garage and employees face on an everyday basis. By being aware of your risks, you can purchase the right amount of insurance and the proper policies to protect you from the worst case scenario. Auto repair shop insurance can be designed to cover just about anything! One coverage option that you may not be familiar with: driveaway collision insurance.

According to IRMI.com, dealers driveaway collision is: “a garage policy endorsement that broadens the collision coverage for autos being driven or transported from point of purchase or distribution to the destination. The garage form limits collision coverage for these autos to apply only within a 50-mile radius of your facility The exclusion will apply if the distance is greater than 50 miles, even if a collision occurs within the 50-mile radius. Driveaway collision coverage deletes this distance exclusion and affords coverage for the pickup or delivery to or from a point greater than 50 miles from the dealership.”
In other words, if you are driving a vehicle and are involved in an accident, you better hope the final destination is less than 50 miles away! Let’s say it actually comes out to be 70 miles… you will not be covered. This is where driveaway insurance comes into play. If your shop has cars that either you or your customers own for sale, this endorsement may be useful to you.
If you want to learn more about driveaway insurance, contact our experts at Wolpert Insurance. We would be more than happy to go over this policy endorsement in further detail. You should also contact us for a free auto repair shop insurance quote! We would be happy to go over the risks in your particular garage and make sure you have the proper policies in place. Your shop is unique; and your coverage should be, too!
*