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• What Is Illinois Garagekeepers Insurance?
• How Much Is Garagekeepers Insurance in Illinois?
• What Does Illinois Garagekeepers Insurance Cover?
• What Doesn't Garagekeepers Insurance Cover in Illinois?
• How Do Garage Liability and Garagekeepers Insurance Differ in Illinois?
• What Is Illinois Garagekeepers Insurance Direct Primary?
• How an Illinois Independent Insurance Agent Can Help You

Whether you're the owner of a garage, auto repair shop, restaurant with a valet, or a hotel, you have one thing in common - people frequently entrust you with their vehicles. While someone else's vehicle is in your care, it's your responsibility to keep that car safe.

For Illinois business owners, a garagekeepers insurance policy protects your business and your customers' property in the event of damage that might occur while their vehicle is under your care. To find the best garagekeepers policy in your area, talk with an Illinois independent insurance agent. 

What Is Illinois Garagekeepers Insurance?

Garagekeepers insurance is a type of optional Illinois insurance that is typically added to your garage liability or auto liability policy that will cover damage to a vehicle that is left in your care. The vehicle is protected under a garagekeepers policy as long as the insured is attending, servicing, repairing, parking, or storing it. 

When you purchase garagekeepers insurance you'll have three options to choose from. 

• Legal liability: Will cover any damage that is done to the vehicle because of mechanical negligence.
• Direct primary: Will pay for any damage done to the vehicle even if it's not the fault of the business or an employee. An example would be vandalism. 
• Direct express: Will pay for any damage no matter who is at fault, but only for the deductible amount on the policy.

While a garagekeepers policy is mostly designed for auto repair shops, businesses like service stations, auto body shops, detail shops, vehicle electrical and repair shops, auto glass installers, oil change and lube shops, emission testing sites, and even hotels or restaurants can benefit from the policy.

How Much Is Garagekeepers Insurance in Illinois?

Several factors will go into determining your garagekeepers insurance premium, which makes it difficult to pinpoint an exact price. The good news is that your Illinois independent insurance agent has an immense amount of experience in purchasing business insurance policies and can provide you with a price range for your business. In the meantime, it's good to know what factors contribute to your premium prices.

• The types of vehicles you service
• How many vehicles are in your care at a time
• Where your business is located
• Weather-related risks

Illinois is home to more than 1,200,000 small businesses and is no stranger to extreme weather conditions, which means it's important to get enough garagekeepers insurance to protect your business all year long.

What Does Illinois Garagekeepers Insurance Cover?

Seeing as a garagekeepers policy is added to existing coverage, it is not all-encompassing for any damage a vehicle might experience while in your car. Specifically, a garagekeepers policy is designed to pay for claims related to the following events:

• Fire
• Theft
• Extreme weather
• Vandalism

"If you leave your car at an auto shop for repairs and while it's being stored someone breaks into the property and your vehicle, a garagekeepers policy will cover the claim," says insurance expert Paul Martin. "It will also cover if your vehicle is stolen from a shop or dealership."

Why your business should consider garagekeeper insurance

• 1,200,000 - Number of small businesses in IL
• 2,500,000 - Number of people employed by small businesses in IL
• $16,998,439,000 - Amount of commercial insurance claims paid

What Doesn't Garagekeepers Insurance Cover in Illinois?

While a garagekeepers policy is great for protection against damage related to weather, theft, or vandalism, it will not provide the protection you're looking for if there is damage done to a vehicle as a result of the actual work you perform on the car. Specifically, Illinois garagekeepers insurance will not cover damage from things like faulty workmanship, faulty parts, or out-of-date warranties unless you've purchase liability coverage. 

It will also not typically cover any personal property that is inside the vehicle. It's limited specifically to the physical damage done to the vehicle. If you're interested in extending your garagekeepers insurance to cover personal property, you can work with your Illinois independent insurance agent to add an endorsement for personal property coverage.

How Do Garage Liability and Garagekeepers Insurance Differ in Illinois?

Even though garage liability insurance and garagekeepers insurance have similar names, they serve very different purposes. The main difference is that garage liability is designed to cover liabilities related to the daily operations of the business. 

It supplements the coverage offered by a general liability policy and covers bodily injury and property damage that occur during any garage operations. If a car dealership employee takes a car for a test drive and crashes it on the road, garage liability steps in. It also includes any customer injuries that happen in your shop, such as slips and falls, as well as discrimination claims and employee dishonesty.

In contrast, garagekeepers insurance is a completely separate policy that covers any damage to a customer's car while it is in your care. 

Martin says that most places do not need to buy a garage liability policy, since they'll receive sufficient coverage from a commercial auto policy and general liability policy. If you find yourself in need of a garage liability insurance policy, you will most likely also need garagekeepers insurance. 

What Is Illinois Garagekeepers Insurance Direct Primary?

Garagekeepers insurance direct primary is a purchasing option that you'll have when you buy your garagekeepers insurance. You'll have the option to choose between direct and indirect coverage as well as primary or excess coverage.

• Direct coverage: Pays for the damage to the vehicle even if it's not your fault. An example would be if a customer's car is vandalized overnight while in your shop.
• Indirect coverage: Only covers the damage if there's proof there was no negligence on the part of the person who had custody of the car. With indirect coverage, you must file your own claim and prove there was no negligence.
• Primary: Primary means that the insurance company will pay for the loss and the insured pays the deductible, like a typical insurance claim.
• Excess: Excess means that the insurance company only pays the deductible of the customer. 

"A good insurance expert will always recommend you buy direct primary garagekeepers insurance," said Martin. 

How an Illinois Independent Insurance Agent Can Help You

Garagekeepers insurance and garage liability insurances are terms that confuse clients and even insurance experts. The easiest way to make sure your auto shop or business has full protection is to work with an Illinois independent insurance agent. They have years of experience purchasing insurance in the state and working with businesses to build insurance packages. They'll shop multiple carriers and present you with a variety of quotes and coverage options that will fit your needs.