Why Dealers Need The Auto Dealership Insurance NJ Reps Recommend

By Jason Long


Selling cars can be a challenging business. There is plenty of liability associated with it. Many lots have closed down, and owners have faced financial ruin, because they were inadequately insured. The kind of auto dealership insurance NJ reps recommend will protect both your personal and your business investment.

Adequate coverage is necessary in order to minimize the potential for risk. Showrooms, service departments, and inventory must be protected. You also have to consider the safety of your employees and protect yourself from employee misconduct. Test driving vehicles before making a final purchase decision is something most buyers expect to do. You need adequate coverage in order to provide for their safety, and the safety of the test vehicle.

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.

Hackers are always finding new ways to compromise the information businesses gather about their customers. This problem has exploded in the last few years and shows no signs of slowing down. It's imperative that your customers feel comfortable giving you their personal credit and financial information. In the unfortunate event that your business is targeted by hackers, you must have coverage to pay for any remedy it takes to rectify the situation.

Any business with employees has to protect itself in the event one of the staff accuses the company or an individual working for it of discrimination or harassment. You don't have to be in the wrong to be accused. Employee practices liability coverage will protect you in these situations and in the case of an ex-employee who decides to sue you for firing him unfairly.

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.

If you have business income protection you will be covered if the inventory on your lot, your showroom, or any other buildings on the lot suffer damage do to unforeseen circumstances. You can only do so much to protect these assets from hurricanes, tornadoes, wind, flood, and fire. You need coverage to keep you in business.

In order to attract the best sales people and office staff, you have to offer more than good commissions and a comfortable work environment. Your insurer can help you with life insurance policies and 401-K options to make your lot the most desirable place to work. Your agent will know the best way to bundle these policies to maximize their effectiveness.




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