Buy Repossession Insurance Vermont

Or call for your free quote:

Get the best VT small business insurance quotes online & info on cost, coverage, minimum requirements, certificates & more.

Repossession Insurance Vermont Policy Information

VT Repossession Insurance

Repossession Insurance Vermont. A century ago, cars were new, exotic, and considered a luxury. As times have changed, however, automobiles have practically become a necessity in many localities. Even though vehicles have become more accessible to greater numbers of people in recent times, there is no doubt that cars remain a serious investment - and many buyers rely on car loans to fund the purchase of a vehicle.

Automobile repossession companies are hired by banks and other financial institutions to recover vehicles when borrowers are delinquent in making payments.

Some lenders require the vehicles they finance to have electronic disabling devices that keep the vehicle from starting once a payment is late. Others install GPS devices to aid in location should the need for repossession arise.

The lender has the right to claim the vehicle at any place and at any time without providing any notice to the borrower but must do so based on the laws of the state where it operates. In some states, the payment can be as little as one day late to warrant repossessing the vehicle.

Any personal items in the vehicle at the time it is recovered must be set aside, secured, and returned to its owner. Recovered vehicles may be stored in a garage or an open lot outside the building. The recovery company may sell the vehicle on behalf of its lender client.

When buyers default on those car loans, automobile repossession companies - also often called "repo companies" - have the responsibility of recovering the property that, ultimately, still belongs to the lender.

While these companies can certainly expect to be kept busy, the fact remains that automobile repossession companies also face a range of risks, each of which could jeopardize their financial future. What types of repossession insurance Vermont might repo companies need to carry to protect themselves?

Repossession insurance Vermont protects you towing and collateral recovery specialist businesses from lawsuits with rates as low as $97/mo. Get a fast quote and your certificate of insurance now

Why Do Vermont Repossession Companies Need Insurance?

Each business, regardless of its branch of commerce, faces a number of hazards. While some risks apply to every field, others are industry-specific. Repo companies have to take both into account when deciding how to shield themselves from significant financial setbacks.

No company with physical assets is immune to perils such as acts of nature (earthquakes, floods, wildfires, for instance), vandalism, theft, or accidents. In every industry, important equipment can also break down suddenly, requiring urgent repair or replacement.

Employees also face significant occupational risks - when a car is repossessed, all personal belongings must be taken out of the vehicle. Sometimes, that's an easy job. Agents may also, however, encounter dangerous objects, and sometimes even drugs and syringes, which puts their health at risk. An an employer, you can be held liable for such occupational injuries.

The risks are many, and often, you will not see them coming. In some cases, a major peril can even force your company into bankruptcy. That is why it is so vital to protect yourself with a comprehensive repossession insurance Vermont plan.

What Type Of Insurance Do VT Repo Businesses Need?

There is, unfortunately, no such thing as a universal commercial insurance plan that would meet the needs of all automobile repossession companies. Each company is unique.

Your number of employees, the volume of cars you repossess, the geographical location and VT legal jurisdiction of your company, are all examples of factors that influence the kinds of coverage you may need.

For this reason, it is essential to consult a commercial insurance specialist and discuss your risk profile in-depth. Together, you'll be able to craft the comprehensive insurance plan that will have your back no matter which peril you may be impacted by.

Having said that, among the most important types of repossession insurance Vermont that repo companies should be aware of are:

  • Commercial Property: This type of insurance shields your company from financial losses caused by damage to or loss of commercial property as a result of perils like acts of nature (hurricanes, floods, earthquakes), vandalism, or theft. It covers your building, but also smaller assets, such as computers, that are present on the property.
  • Commercial General Liability: In case your business causes damage to third party property (such as equipment you rent), this type of repossession insurance Vermont will cover your legal and related costs. It also protects you in the event of a bodily injury claim resulting from an incident that took place on your premises or as a result of your activities.
  • Bailee's Liability: As an automobile repossession company, you temporarily take custody of vehicles that you then return to their legal owners. Should vehicle be damaged or lost while in your custody, this type of insurance helps you manage the costs.
  • Workers' Compensation: Car repossession employees face a range of occupational health hazards. This type of insurance covers the medical expenses in the case of an unfortunate event, as well as the lost income of the affected employee.

The automobile repossession industry is thriving, but the fact that it faces numerous perils is inescapable. Sometimes, even a single mishap can lead to massive costs. While the types of repossession insurance Vermont covered here will go a long way toward protecting your business, you may have additional insurance needs.

Make sure you are fully covered, by discussing your individual circumstances with a commercial insurance broker.

VT Repossession's Risks & Exposures

Business auto exposures are high because of the methods used to recover vehicles. Tow truck operators often must act quickly and surreptitiously to remove the vehicle before the borrower returns. This could result in improperly attaching the recovered vehicle to the tow truck.

The vehicles may be required to operate quickly in parking lots and other areas where children and other persons may be present, resulting in bodily injury, or damage to other vehicles. Some vehicles may be driven away instead of being towed, presenting non-owned exposures.

All employee drivers should have valid licenses with their MVRs regularly checked. Random testing for alcohol and drug use should be required. All owned vehicles, especially hoists and tow bars on tow trucks, must be regularly maintained with records retained.

If clients' vehicles are kept on the repossessor's premises, garagekeepers coverage will be needed. Keys to these vehicles should be kept in a locked box inaccessible to non-authorized employees.

Premises liability exposures are minimal because of lack of public access to the office and the garage or open lot where the recovered vehicles are stored. Vehicles stored in the open may be an attractive nuisance to children or other trespassers.

Off-site exposures include damage to borrowers' premises or personal property.

Personal injury exposures include allegations such as assault, battery, discrimination, and invasion of privacy. Policies concerning employee conduct should be established with periodic training provided. There is product liability exposure if the recovery company sells repossessed vehicles for its customers.

Professional exposures may be present, based on specific state licensing and certification regulations.

Workers compensation exposures are high. Employees should be properly trained and supervised. During the repossession process, borrowers may threaten and physically attack employees. Procedures to avoid and prevent confrontations must be in place. Weapons should not be permitted.

The lifting of a vehicle by hoists or other mechanical means can result in injury if the equipment malfunctions. Workers can slip and fall, incur back injuries, be attacked by pets or other animals, or be involved in automobile accidents.

Property exposures are moderate and include an office and a garage or open lot where the recovered vehicles are kept. Ignition sources include electrical wiring, heating, and air conditioning systems. Gasoline, oils, and lubricants inside stored vehicles increase the fire hazard. Oily rags should be kept in National Fire Protection Association (NFPA) approved metal containers to prevent spontaneous combustion.

Recovered vehicles can be targets for theft and vandalism from angry borrowers or other trespassers. Appropriate security controls must be taken, including physical barriers such as fences or gates, lighting to deter access to the premises after hours, and an alarm system that reports directly to a central station or the police department.

Coverage on the property of others is needed because all personal property inside recovered vehicles must be returned to its owner. An inland marine bailees form may also provide this coverage.

Inland marine exposures include accounts receivables from client banks and other financial institutions, computers used to track, monitor, and sell recovered vehicles, and valuable papers and records for all orders for recovery and vehicle titles. Duplicates should be kept off-site to allow for re-creation following a loss. A bailees form may be needed to cover the personal property of others inside the recovered vehicles.

Crime exposures include employee dishonesty for the individuals who recover the vehicles, office employees, and persons who sell the vehicles on behalf of the financial institution. Background checks should be conducted on all employees handling money or recovered vehicles.

There must be a separation of duties between persons handling orders, deposits and disbursements and reconciling bank statements. Endorsements are needed to cover employee theft of customers' property because the vehicles do not belong to the repossessor.

Repossession Insurance Vermont - The Bottom Line

To protect your repo business, employees and the people you serve, having the right repossession insurance Vermont coverage is important. To learn what types of policy options are available to you, how much coverage you should invest in and the premiums - speak to a reputable commercial insurance broker.

Vermont Economic Data, Regulations And Limits On Commercial Insurance

Made In Vermont

For business-minded individuals who are either thinking about launching their first organization or established entrepreneurs who would like to expand their operations, there are several factors that need to be taken into consideration before proceeding. Of those factors, top on the list of importance is location.

The target market and demographics of a location must be favorable for the industry in order for a business to be successful. By analyzing the unemployment rate of a specific state and the key industries that are flourishing with that state, business owners can determine whether or not the will amass the success they are hoping to achieve.

In addition to understanding the economic data of a state, it's also important for proprietors to know what type of commercial insurance they are required to carry.

If you're considering Vermont as the headquarters of your operation for a branch of your already existing business, read on to for an overview of the economic data and commercial insurance requirements in the Green Mountain State.

Economic Trends For Business Owners In Vermont

In December of 2019, the Bureau of Labor Statistics reported that the unemployment rate in Vermont was 2.3%; 1.2% lower than the national average of 3.5% during the same time period. While the state's unemployment rate did rise slightly – it was 2.1% in July of 2019, for example – these statistics sill indicate that Vermont has a healthy economy that is conducive for business owners and residents of the state.

The favorable tax climate, the healthy environment, and the overall quality of life in Vermont are just some of the reasons why the economy in this state is booming.

As in most states, densely populated urban areas offer the most promise for businesses. These regions offer a larger workforce and market than smaller suburban and rural areas, they're easier to access, and they are more closely connected with surrounding states and the region of New England, as a whole.

With that said, the top places to start a business in Vermont include:

  • Bennington
  • Brattelboro
  • Burlington
  • Killington
  • Manchester
  • Montpelier
  • Rutland
  • Stowe

Several industries are seeing significant growth in Vermont. At the time of writing, the following sectors were seeing the most growth in the state:

  • Agriculture
  • Education
  • Food and beverage
  • Health care
  • Hospitality and tourism
  • Manufacturing
  • Professional services
  • Retail
  • Technology
Commercial Insurance Requirements In Vermont

The Vermont Department of Financial Regulation regulates insurance in VT. Vermont mandates very few forms of insurance coverage by law. They enforce worker's compensation.

Vermont requires you to have worker's compensation insurance if you hire even one employee on a regular basis. This includes part-time employees, family members, minors, and immigrant employees. It is not required for independent contractors or domestic employees, though you should check to make sure any contractors you have are true contractors, and not employees.

Vermont also requires all business-owned vehicles to be covered by commercial auto insurance. Other types of business insurance that business owners should carry depend on the specific industry.

Additional Resources For Commercial Auto Insurance

Learn about small business commercial auto insurance which includes liability and physical damage protection for vehicles that are used for business purposes.


Commercial Vehicle Insurance

The person injured in an vehicle accident may be a child, a wage earning single parent, a brain surgeon, or even a homeless person. The costs of the accident may be relatively small or run into the millions of dollars, depending on the victim and his or her injuries. Do you have the assets to handle such costs?

Trucking operations in this chapter are among the most heavily regulated in the country. All are subject to multiple types of regulation including municipal, state and federal. The regulations are necessary because potential for severe property damage and/or bodily injury is extremely high.

All carry cargo that if not handled appropriately could have serious consequences to the cargo owner and/or the public at large. Those that carry people must prove that they keep their equipment in good condition and that employees operate in a safe, sober manner.

The insurance company pays amounts an insured is legally obligated to pay as damages because of bodily injury or property damage and certain types of pollution events covered by this insurance caused by an accident and resulting from ownership, maintenance or use of covered vehicles.

The obligation to pay is triggered only by accidental occurrences involving vehicles covered under the Business Auto Coverage Form. An eligible pollution event is covered only if it is connected to a covered bodily injury or property damage loss.

It is important that you have the proper Limit of Insurance to protect your operations. This limit is the most the insurance company pays for the total of all damages, including any covered pollution cost or expense resulting from any one covered accident, is the Covered Auto liability limit of insurance on the declarations.

This limit applies regardless of the number of insureds, autos covered, vehicles involved in an accident, premium paid, or number of claims made.

Minimum recommended small business insurance coverage: Building, Business Personal Property, Business Income and Extra Expense, Accounts Receivables, Computers, Motor Truck Cargo, Valuable Papers and Records, Employee Dishonesty, Money and Securities, General Liability, Employee Benefits, Umbrella, Motor Carriers Liability and Physical Damage, Hired and Non-owned Auto & Workers Compensation.

Other commercial insurance policies to consider: Earthquake, Flood, Mobile Equipment, Signs, Warehouse Operators' Legal Liability, Cyber Liability, Employment-related Practices, Environmental Impairment, Underground Storage Tank, Stop Gap Liability and International Coverages.


Request a free Repossession insurance Vermont quote in Alburgh, Arlington, Barre, Barre city, Barton, Bellows Falls, Bennington, Berkshire, Bethel, Bradford, Brandon, Brattleboro, Bristol, Burlington, Cambridge, Castleton, Charlotte, Chester, Clarendon, Colchester, Danville, Derby, Dorset, Dummerston, East Montpelier, Enosburgh, Essex, Essex Junction, Fair Haven, Fairfax, Fairfield, Ferrisburgh, Georgia, Grand Isle, Guilford, Hardwick, Hartford, Hartland, Highgate, Hinesburg, Huntington, Hyde Park, Jericho, Johnson, Ludlow, Lyndon, Manchester, Middlebury, Middlesex, Milton, Monkton, Montpelier, Morristown, Morrisville, New Haven, Newbury, Newport and Berlin, Newport city, Northfield, Norwich, Pittsford, Poultney, Pownal, Putney, Randolph, Richford, Richmond, Rockingham, Royalton, Rutland, Rutland city, Shaftsbury, Shelburne, Sheldon, South Burlington, Springfield, St. Albans, St. Albans city, St. Johnsbury, Starksboro, Stowe, Swanton, Swanton village, Thetford, Underhill, Vergennes, Vernon, Wallingford, Waterbury, Waterbury village, Weathersfield, West Rutland, Westford, Westminster, Williamstown, Williston, Wilmington, Windsor, Winooski, Woodstock and all other VT cities & Vermont counties near me in The Green Mountain State.

Also find VT local small businesses by General Liability Class Code and learn about Vermont small business insurance requirements for general liability, business property, commercial auto & workers compensation including VT business insurance costs. Call us (802) 909-0067.

Free Business Insurance Quote Click Here