Buy Car Wash Insurance

Car wash insurance is a type of insurance that specifically covers businesses that operate car washing and detailing services.

It typically includes coverage for property damage, liability, and injuries that may occur on the premises. It may also include coverage for damage to customers' vehicles while they are being washed or detailed.

This insurance is designed to protect the business and its employees from financial losses due to accidents or other unexpected events.

The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small car washes ranges from $67 to $79 per month based on location, size, payroll, sales and experience.

Car washes need insurance for a number of reasons. First and foremost, insurance protects the business in the event of a liability claim. If a customer slips and falls on the premises, or if their vehicle is damaged while it is being washed, the car wash could be held liable. Insurance can help to cover the costs of these types of claims and protect the business from financial ruin.

Additionally, car washes often have a lot of expensive equipment that needs to be protected. This may include pressure washers, drying machines, and other specialized equipment. Insurance can help to cover the cost of replacing this equipment if it is damaged or stolen.

Finally, many states and localities require businesses to carry certain types of insurance in order to operate. This may include liability insurance, workers' compensation insurance, and other types of coverage. Car washes need to be sure that they are in compliance with these regulations in order to stay in business.

The type of car wash that you operate will have a great deal to do with what type of insurance you need. There are basically two different types of car washes:

• The first type of car wash is the self-serve. These are usually unattended and everything is automated (in-bay automatic). This is a significant investment, but it can be run 24 hours a day, 365 days a year, without having to manage it yourself or hire employees.
• The other type of carwash is the full-service. A full-service carwash is usually only open during certain hours and has actual employees that will clean cars, including the interior detailing and hand wash - so it will require different insurance options than the self-serve car wash.

Full service car washes need more coverage due to employees, custody of customer vehicles and other circumstances.

There are multiple types of car wash insurance available, but these are some of the most common:

Commercial General Liability - The first type of insurance is general liability insurance. This covers things like someone slipping in your place of business or a part of your carwash malfunctioning and damaging someone's vehicle or injuring them. Commercial liability insurance is absolutely vital for a carwash business.

Property Insurance - Property insurance is a good idea for any business that has premises where employees work or where customers come. Property insurance protects you from fire, natural disasters, vandalism, theft and more. Property insurance and liability insurance are sometimes grouped into the same umbrella policy.

Garage Liability - One of the unique types of car wash insurance you may want to consider is garage liability insurance. This is a special type of insurance that auto repair shops and car washes can sign up for that protects them much more fully if someone's vehicle is damaged, the car is stolen or something else happens. If you are providing a service for a vehicle such as mechanical work or a car wash, then you probably want to sign up for garage liability to make sure that if a major incident ever does happen that your business is protected.

Equipment Breakdown - A car wash requires a great deal of expensive equipment, and when that equipment breaks down, it can be detrimental to the business owner and the employees that work there because the carwash will not function. Equipment breakdown insurance protects you against this possibility.

Business Income and Extra Expense - If your carwash must has to close foe repairs due to a covered loss, this coverage can replace your lost income and help with temporary extra expenses if you must relocate your business operations for a period of time.

Workers Compensation - If you have a full-service car wash, then you might have employees that work for you, and if that's the case then you most likely are going to need workers comp. Worker compensation insurance is there to pay for medical bills from work-related accidents, illnesses or injuries.

Car washes do need garagekeepers liability insurance as it covers damages that occur to vehicles while they are in the care of the car wash. This type of insurance is important for car washes as it protects them from financial losses if a vehicle is damaged while in their possession.

For example, if a car wash employee accidentally dents a customer's car while washing it, the garagekeepers liability insurance would cover the cost of repairing the damage. Without this insurance, the car wash would be responsible for paying for the repair out of pocket, which could be costly.

In addition to covering damages to vehicles, garagekeepers liability insurance also covers any legal fees that may arise from a claim. This is important as it can protect the car wash from financial ruin in the event of a lawsuit.

Overall, it is important for car washes to have garagekeepers liability insurance as it provides protection for both the car wash and its customers. Without it, car washes could face significant financial losses and legal issues if a vehicle is damaged while in their care.

Premises liability exposure is from slips and falls due to public access to the premises. If there are customer waiting areas, floor coverings should be in good condition with no frayed or worn spots on carpet and no cracks or holes in flooring. Steps and uneven floor surfaces should be prominently marked. Sufficient exits must be provided and be well marked, with backup lighting systems in case of power failure. Proper attention to housekeeping is required to prevent slips and falls from water, detergents or waxes or from icing during winter months.

Parking lots and sidewalks need to be in good repair with snow and ice removed, and generally level and free of exposure to slips and falls. All machinery and equipment used in the operation should be well maintained to prevent property damage to customers' vehicles. Car washes done at customers' premises can result in damage to the customer's real or personal property.

Environmental impairment exposures are due to the detergents and waxes used in the car washing operations and the solvents used for cleaning and maintaining equipment. Adequate procedures should be in place to prevent these hazardous wastes from contaminating the soil or polluting water sources. Contracts should be in place to dispose of all environmentally dangerous chemicals.

Workers compensation exposure can be high due to the potential for slips and falls and for employees to be injured by vehicles or automated washing equipment. Proper attention to housekeeping is required due to the water, detergent and waxes used in operations and to prevent icing during winter months. All equipment used in the operation must be properly maintained to prevent vehicles from rolling off conveyances.

Improper lifting can result in back injuries, sprains, strains, and hernias. Exposure to the elements can result in sunburn, heat exhaustion, or heat stroke during the summer and frostbite and hypothermia during the winter. The use of soaps and waxes can cause dermatitis. Due to the large amounts of cash on hand, hold-ups are possible. Employees should be trained to respond in a prescribed manner.

Property exposure comes from the machinery used to wash, wax, and dry vehicles as they are conveyed through the car wash. All electrical wiring must be well maintained and meet current codes. If the car wash is self-service, there is a potential for vandalism. Attendants help cut down on problems. Locations should be on well traveled and patrolled areas that are well lighted.

Equipment breakdown exposure is high as the business is dependent on its machinery for conducting operations. Replacement parts may be difficult to obtain on a timely basis.

Crime exposures are from employee dishonesty and theft of money and securities. Employee dishonesty is controlled through background checks, inventory monitoring, control of the cash register, disciplined controls and division of duties. Theft of money and securities prevention requires controls of monies kept in the cash drawers and bank drops made throughout the day to prevent a buildup of cash on the premises.

Self-serve car washes may include coin- or currency-operated vending operations. These should have automated coin counters. An attendant should be on duty at all times to prevent vandalism and break-ins.

Inland marine exposures come from computers due to automated machinery used in car wash operations, signs, and valuable papers and records for customers' and vendors. There may be accounts receivable if the car wash offers credit to business customers and goods in transit if there are multiple locations.

Commercial auto exposure is generally limited to hired and non-owned for employees running errands. If there are owned vehicles, any regular driver should have a valid license and an acceptable MVR on record. All owned vehicles must be maintained with documentation kept.

Car wash businesses can be sued for a variety of reasons. Here are some common reasons and how insurance can help protect them:

Damage to Vehicles: Car wash businesses can be sued if a customer's vehicle is damaged while in their care. This can happen due to malfunctioning equipment, improper handling by employees, or even something as simple as a scratch caused by a car wash brush.
Insurance Coverage: A car wash business can protect itself from these types of lawsuits by having Garagekeepers Liability insurance. This type of insurance provides coverage for damage to customers' vehicles while in the care, custody, or control of the business.

Personal Injury: A customer or employee can be injured at a car wash, either by slipping and falling or by being hit by a moving vehicle.
Insurance Coverage: General Liability insurance can help protect car wash businesses from lawsuits related to personal injury. This insurance provides coverage for bodily injury or property damage that occurs on the business's premises.

Environmental Damage: Car wash businesses use a lot of water and chemicals, which can potentially cause environmental damage if not disposed of properly. This can lead to lawsuits and expensive cleanup costs.
Insurance Coverage: Environmental Liability insurance can help protect car wash businesses from lawsuits related to environmental damage. This insurance provides coverage for cleanup costs and third-party claims related to pollution or contamination.

Employee Misconduct: Car wash employees can engage in misconduct, such as stealing from customers or harassing coworkers or customers.
Insurance Coverage: Employment Practices Liability insurance can help protect car wash businesses from lawsuits related to employee misconduct. This insurance provides coverage for claims of wrongful termination, discrimination, harassment, and other employment-related issues.

In conclusion, car wash businesses face a variety of risks that can result in costly lawsuits. However, by having the right insurance coverage, car wash businesses can protect themselves from financial losses related to these risks.