Sunday, December 2, 2018

If You're Car Lot Owner, You Need The Auto Dealership Insurance NJ Agents Recommend

By Jason Long


Businesses that sell cars have special challenges. Unless they are adequately insured, they can face the kind of lawsuits that close business doors and put the owners in financial jeopardy. The right auto dealership insurance NJ agents offer will keep you in business and reduce your business and personal liability.

Good coverage is necessary to minimize your exposure to risk and protect you personally. Your showroom, inventory, and service department are all huge investments that need protection. You also have to think about protections for your staff and the ways you can limit your liability if faced with employee misconduct. Test driving cars is accepted practice for potential purchasers. You must have coverage that protects the customer as well as the vehicle while it's on the road.

Not all car lots have the same set of challenges. It's important to discuss the kind of operation you run with your agent to set up the particular coverage that is right for you. It's especially important for dealers who sell used cars to have title errors and omissions coverage for instance. Insurers can meet with you at your business and assess any safety risks they find on your lot to avoid unnecessary claims.

Modern technology is great for business, but it has also created a sophisticated hacking industry. Hackers seem to be able to stay one step ahead of the law and can create havoc for businesses. Instead of waiting until after something happens, you have to anticipate a data breach. That way you will be covered if you and your customers are the victims of a hacker. This is a crime that has seen a dramatic increase with no permanent solution in sight.

When you have people working for you, you need to ensure yourself against any accusations of wrongdoing they might make against you. This is called employee practices liability. Employees sometimes claim they have been harassed or discriminated against although you have done nothing wrong. If you have to let an employee go for cause, they can decide to sue you for firing them unfairly. As long as you have EPLI, you have protection.

You certainly need errors and omissions coverage to protect you in the event that an employee makes a mistake on the paperwork of a car sale or lease. If an error is made regarding mileage on a used vehicle or accident history, you don't want to be vulnerable to a lawsuit by an angry customer. For dealers who offer auto insurance to their customers, errors and omissions coverage is a must.

Business income coverage will protect in case your lot and inventory are damaged due to circumstances beyond your control. You never know when a weather event will hit your area and send trees and debris flying. Hurricanes and tornadoes have put owners without adequate insurance out of business, both temporarily and permanently.

Good sales people are usually looking for benefits beyond their commissions. In order to attract the best employees, you need to be able to offer them 401-K plans and life insurance benefits. Your agent can help with that and explain how to bundle the various policies into one comprehensive package that is both affordable and effective.




About the Author:



No comments:

Post a Comment