Commercial insurance
Used car dealer insurance
For independent used car dealers, from small lots to several locations. We quote dealer liability, lot inventory against hail and theft, garagekeepers and property.
- Lot inventory against hail, theft, vandalism and fire
- Test drive liability, subject to the policy rules
- For buy-here-pay-here, wholesale and dealers with a service bay
What does it cover?
| Coverage | What it pays for |
|---|---|
| Dealer liability | Harm to others from your premises, operations and the vehicles you drive, including test drives under the policy rules. |
| Inventory (open lot) | Vehicles held for sale, against hail, theft, vandalism, fire and collision if you add it. |
| Garagekeepers | Customer vehicles you hold for service or on consignment. |
| Commercial property | Your sales office, service building, signs and equipment. |
| Other options | Umbrella, crime, false pretense and errors in title and financing paperwork, where offered. |
These are the most common coverages. Exact options, limits and deductibles depend on the carrier and your state.
Who is it for?
- Independent used car dealers
- Buy-here-pay-here dealers
- Wholesale dealers who buy and sell at auction
- Dealers with a service bay or body shop
Have this ready
- Dealer license and legal business name
- Highest inventory value you expect to hold
- Lot address and whether you do repairs
- Number of employees and drivers
- Claims history, if any
Missing something? Start anyway. We'll ask for the rest later.
How it works
- 1
Fill out the form
About 2 minutes, from your phone.
- 2
We compare options
A licensed agent checks several carriers for your case.
- 3
You choose and you're covered
We explain everything in plain language and start your policy.
Frequently asked questions
Does my liability policy cover my inventory?
No. Liability pays for harm you cause others. Hail, theft or collision damage to the cars you sell needs inventory (open lot) coverage.
How is inventory coverage priced?
Usually on the highest inventory value you expect to hold. Depending on the program, you report values monthly or choose a fixed limit.
Do I need a dealer bond?
Most states require a surety bond for a dealer license. The bond is not insurance for your business; it protects consumers and the state.
Other coverage
Insurance guides
-
Insurance Options for Used Car Dealerships
Dealer liability, open lot coverage, garagekeepers and property — what each one does for an independent dealer and the gaps to watch for.
-
Garagekeepers vs. Garage Liability Insurance
Two coverages with nearly the same name protect completely different things. Here is how to tell them apart — with examples from real shop situations.
-
How to Request Insurance for a 24-Unit Apartment Building
The documents and details that get a 24-unit building quoted quickly — and the questions that slow it down.
A licensed agent reviews every request. Coverage, eligibility and price depend on the carrier and underwriting. The information on this page is general and does not replace the policy terms.