Classic Truck Insurance--Truck Insurance Quote--TN-GA-FL-KY-OH-MS-AL-LA
  • Wix Facebook page
  • Wix Twitter page
  • Home

  • Insurance Quote

  • Short Term Insurance

  • Get Your Authority

  • Brokers

  • About Us

  • Certificate Requests

  • Truckers Tool Kit

  • Available Truck Coverages

  • Truckers Health Benefits

  • Truckers Safety

  • Members

  • More

    Classic Truck Insurance

    Call us today at 888-498-0255​

    The One Stop Shop for Transportation Services

    Dealers Open Lot Insurance

    Dealers’ open lot, also known as auto physical damage coverage, provides physical damage coverage for vehicles owned by a dealership. As an important part of garage insurance, it is different from general liability or business property insurance. Dealerships are unique types of businesses, and dealers’ open lot policies are tailored for the specific risks involved. Each insurance company’s interpretation will vary, so work with Chadler Solutions to be clear on all the provisions of your policy. Vehicles covered may include private passenger vehicles (autos, pickups, minivans, SUVs, etc.), RV units and other autos that are in a dealer’s inventory and are held for sale. Coverage is usually provided for used, new, demonstrators or service vehicles. Most insurance companies require that dealers insure 100 percent of the value of the inventory. There are two options to establish the value for this type of coverage:

    1. Monthly reporting requires the dealer to send the insurance carrier a monthly report with the exact dollar value of the vehicle inventory. This option is typically used to insure inventories with value more than $1,000,000.

    2. Non-reporting requires the dealer to state the maximum value of the inventory on the date the policy starts. For this option, it is important to pick the value of the inventory at its highest peak to avoid a coinsurance penalty. 

    ​

    What is the Coinsurance Clause?

    Insurance companies generally require that dealers insure 100 percent of the value of their inventories. If you insure less than this, they will only pay a corresponding percentage of your claim. For example, if the value of your inventory is $200,000 and you insure it at $100,000, the insurance company is only required to pay for 50 percent of your claim. To be sure this doesn’t happen to you, check your limit each month. 

    It is tempting to think that when you have a certain amount of inventory insurance, and when a claim arises that is less than the amount of insurance you carry, you will collect the amount of the claim less the deductible. Instead, the most that will be paid for a loss to any single auto is the lesser of the actual cash value of the damaged or stolen property, the wholesale value of the property, the cost of repairing or replacing the damaged or stolen property or the limit indicated as the most that will be paid for any single auto.  

    ​

    Limit per Unit, in Transit and Other Locations

    It is important to ensure that the limit per vehicle—which is the maximum amount the insurance company will pay for each vehicle in the event of a loss—is high enough to avoid excessive loss in the event of a claim. The standard per-vehicle limit on the policy may be much lower than the value of each of your vehicles, so be sure to examine this value to ensure it is appropriate. Similarly, the in-transit limit may be too low if you have a portion of your inventory off site. Even when 100 percent of the value of the inventory is covered, the limit per vehicle applies. 

    ​

    What is Covered?

    Dealers’ open lot coverage is generally divided into two parts:

    1. Collision coverage pays for damage to a covered auto’s collision with another object or its overturn.

    2. Losses other than collision that are covered depend on the policy, and may include one of the following sets of inclusions. Be sure to read your policy to clarify specifics.

      1. Comprehensive provides coverage to a covered vehicle from any cause of loss except collision with another object or overturn.

      2. Specified causes provides coverage to a covered vehicle or its equipment caused by fire, lightning, explosion, theft, windstorm, hail, earthquake, flood, mischief, vandalism or the sinking, burning or derailments of any conveyance transporting the covered vehicles.

      3. Fire and theft provides coverage to a covered vehicle or its equipment caused by lightning, explosion or theft.

      4. False pretense provides coverage to a covered vehicle caused by someone who causes the dealer to voluntarily part with a covered auto by trick, scheme or under false pretense. It also covers the dealer acquiring a vehicle from a seller who did not have clear and legal title. An example of a false pretense claim is a test drive where the driver does not come back. Most policies exclude false pretense, although it can be bought back. 

    Dealers’ open lot provides only physical coverage. A comprehensive garage liability policy will protect your dealership against liability exposure.
     

    What's Next?

    Call our office at (888) 498-0255, and talk to one of our experienced agents to begin the process of compiling a bespoke quote tailored to your needs and circumstances.

    HOURS OF OPERATION

    Monday-Friday

    8:30am-5:00pm EST

     

    ADDRESS

    2005 Ailor Avenue

    Knoxville, TN 37921

    sales@classictruckinsurance.com

    Tel: 888-498-0255

    Fax:865-522-7772

    • Wix Facebook page
    • Wix Twitter page

    www.classictruckinsurance.com

    www.getyourauthority.com

    www.brokercontingentcargo.com

    www.shorttermtruckinsurance.com

    www.freightbrokerbondbmc84.com

    © Copyright Classic Truck Insurance. All rights reserved.

    Classic Truck Insurance Privacy Policy

    ​Insurance Choices

    Truck Insurance

    Semi Truck Insurance

    30 Day Short Term Truck Insurance

    Log Truck Insurance

    Tow Truck Insurance

    Cement Truck Insurance

    Dump Truck Insurance

    Auto Insurance

    Motorcycle Insurance

    Boat Insurance

    Mobile Home Insurance

    Motor Home Insurance

    ATV Insurance

    Occupational Accident Insurance

    Workers Compensation Insurance

    

    About Classic Truck Insurance

    ​States For Truck Insurance

    ​Trucker Toolkit

    Insurance Glossary

    Certificate of Insurance

    Truckers Safety

    Truckers News Blog

    Bobtail/Physical Damage

    Commercial GL

    Motor Truck Cargo

    Truck Insurance Videos

    Truckers Fuel Feed

    How to Become a Truck Driver

    How to Get a Truck Driving License

    Truckers Drug and Alcohol Testing

    Compliance, Safety, and Accountability

    ​

    Trucking Services

    ​​​​​F​reight Broker/Forwarder Services

    What is Freight Forwarding

    What is Freight Brokering

    Learn about Broker Bonds

    Get Your Authority

    Short Term Truck Insurance

    Broker Bond Application

    Contingent Cargo Insurance

    Towing and Roadside for Truckers

     

    Disclaimer:  Our General insurance Glossary is for general information only. We  do not warrant the information found here as usual and customary for assessment of insurance claims or pay outs. Insurance terminology could vary widely per State or Insurance company acceptability. Contract language can vary widely dependent upon  many factors. The information contained here is meant to be general in scope. We recommend contacting your insurance agent or the insurance bureau in your state for exactly what is appropriate in your state .

    Pennsylvania
    Rhode Island
    South Carolina
    Tennessee
    Texas
    Utah
    Virginia
    Washington
    West Virginia
    Wisconsin
    Oregon
    Maine
    North Carolina
    New York
    New Mexico
    New Jersey
    New Hampshire
    Nevada
    Nebraska
    Montana
    Missouri
    Mississippi
    Minnesota
    Michigan
    Massachusetts
    Maryland
    Arizona
    Arkansas
    California
    Connecticut
    Delaware
    Florida
    Georgia
    Idaho
    Iowa
    Illinois
    Indiana
    Kansas
    Kentucky
    Louisiana
    Alabama
    Ohio
    Oklahoma
    About Us
    Contact Us
    Partner Insurance Carriers
    Hospital Medical Insurance
    Life Insurance
    Dental Insurance
    Vision Insurance
    Short Term Disability
    401 K for Truckers
    Accidental Death

    Trucker Health Benefits

    Click Here For Health Insurance