Auto dealers are one of those rare businesses that keep their inventory outside and in view. This is done to not only entice the people driving by, but also due to the fact that vehicles are large and take up a lot of space. They won’t all fit indoors. So, it’s good that there are plenty of insurance options for auto dealers that are designed to help alleviate some of these risks.
Wondering how to better protect your vehicles? Let us lead the way!
Theft and Damage
All of those shiny cars and SUVs on the lot can be very enticing to car thieves. What happens when they steal one from the lot and take it on a joyride that ends in a car crash? Well, the blame falls on them, but you’re also out a vehicle that you were going to sell for a profit. How can you recoup that expense? Your specialty auto dealer lot insurance will help.
What about damages? Since the vehicles are out in the open, they run the risk of getting damaged by hail, high winds, heavy rain, a flooded parking lot, and more. You can’t sell vehicles that have been damaged in this way, at least not without fixing them up. Thankfully, lot insurance can help here as well.
Forgeries
When it comes to forgery, there are several types that auto dealers need to be aware of. First, there’s the kind that affects the vehicles on your lot. For example, a forged title can be extremely problematic. If someone comes to you wanting to trade in their car and you don’t realize that the title is forged, you could be in trouble.
The other type of forgery falls within the realm of identity theft. Your sales employees need to verify that everyone taking out the loan is who they claim to be, but if someone slips through the cracks, you’re out both a vehicle and potentially on the hook for identity theft.
Thankfully, there’s a solution to both of these issues: liability insurance. Having the right types in place can prevent a lot of issues, from having to deal with lawsuits to being forced to pay for fines and other things out of pocket.
Hackers
In the past, hackers, also known as cyber criminals, specifically targeted larger companies. Now, every business is vulnerable, even auto dealers. Whether they attack your website where your inventory is listed or your interior systems that contain private customer information regarding names, addresses, bank accounts, loans, or more, you could end up in a lot of trouble.
Not only will you need to alert everyone to the hack, but also take the PR flack and have to fix your systems to keep it from happening again. Cyber liability insurance can provide the coverage that you need in these situations.
Have Questions? Contact Charlotte Insurance
Want to learn more about insurance options for auto dealers to avoid as much risk as possible? Contact Charlotte Insurance. Our agents can explore and explain all available options and put together the insurance coverage plan your business needs.