Garage & Auto · Car Wash & Detailing
Car wash and detailing business insurance in Michigan
Washing, detailing and taking possession of customers' vehicles creates risks a standard business policy can miss. We build coverage for wash equipment, customer cars and your crew, and compare carriers to keep the price competitive.
Schedule a Coverage ReviewWhat insurance does a car wash or detailing business need?
A car wash or detailing business typically needs property coverage for its building, wash equipment and signs, general liability for injuries and damage to others, garagekeepers coverage for customers’ vehicles in its care, and workers’ compensation for employees. Many also need equipment breakdown, business income, hired and non-owned auto, employment practices liability, cyber liability and pollution coverage for storage tanks.
Businesses our car wash program is designed for:
- Full-service car washes
- Exterior-only car washes
- In-bay automatic car washes
- Self-service car washes
- Hand wash, paint correction and detailing operations
Does general liability cover damage to a customer’s car at a car wash?
Usually not on its own. General liability typically excludes damage to property in your care, custody or control, and a customer’s car going through your wash or sitting in your detail bay is exactly that. Garagekeepers coverage, or a specific customer-auto coverage added to the liability policy, fills that gap. It responds to damage such as a broken mirror or scratched paint from equipment, or a vehicle damaged while an employee is moving it.
Liability coverages commonly included in a car wash package:
- Medical expense for minor injuries on your premises
- Hired and non-owned auto liability
- Customers’ autos in your care, custody and control
- Garagekeepers
- Personal and advertising injury
- Employment practices liability (EPLI)
- Damage to premises rented to you
What property coverage does a car wash need?
A car wash needs property coverage for its building, wash equipment and contents, written at replacement cost where possible, with actual cash value or functional replacement options for older buildings. Because wash equipment is mechanical and electrical, equipment breakdown coverage matters. Business income and extra expense coverage replace lost revenue and pay added costs if a covered loss shuts down a bay or the whole site.
| Coverage | What it actually touches | Where it stops |
|---|---|---|
| Building, equipment and contents | Physical damage to the site and wash systems | The limit and valuation you choose |
| Equipment breakdown | Mechanical or electrical failure of wash equipment | Wear and tear and routine maintenance |
| Business income / extra expense | Lost income and extra costs after a covered loss | The period of restoration and your limit |
| Exterior signs and outdoor property | Signs, vacuums, lighting and other property outside the building | Sublimits shown on the policy |
| Ordinance or law | Added cost to rebuild to current code | The limit you select |
| Personal property of others | Customers’ items in your care | Vehicles themselves, which need garagekeepers |
Coverage for interruption of computer operations, such as payment and membership systems, can also be included.
What other coverages should a car wash owner consider?
Beyond property and liability, car wash owners should review workers’ compensation for employees who work around moving equipment, water and chemicals; cyber liability for the customer payment and membership data they store; ERISA bonds if they sponsor an employee benefit plan; and pollution coverage for any underground storage tanks. A commercial umbrella above the liability and auto limits adds protection for larger claims.
- Workers’ compensation. Covers medical care and lost wages for employees injured on the job.
- Cyber liability. Helps pay breach response costs and liability if customer or employee data is exposed.
- ERISA bonds. Protect employee benefit plans against fraud or dishonesty, including theft, embezzlement and forgery.
- Storage tank (UST) pollution. Covers cleanup and liability from tank leaks, which general liability policies typically exclude.
Related: Garage & Auto Services · Commercial Property · General Liability · Workers’ Compensation · Cyber Liability
This page is educational and does not alter any policy. Coverage is determined by the actual policy forms, endorsements and declarations issued by the insurer.