Why Atlanta Towing Companies Need Insurance

rig-towingAny number of things can happen to a vehicle while towing it. As a business, Atlanta towing companies may be liable for damages that occur to a customer’s vehicle during the towing process. This is why having good insurance as a towing company is essential before any business is conducted.

Insurance comes in many forms, but a vehicle liability insurance plan is a must for any towing business in Atlanta. This type of plan has two parts: bodily injury coverage and property damage coverage. If an accident occurs during the towing process, bodily injury coverage will pay for the physical damages caused to the people involved. This includes any hospital bills, long term nursing care, funeral costs, and other damages that a Atlanta towing business could be legally obligated to pay as the result of an accident.

Property damage coverage will pay for any damages to anyone’s property that occurs as a result from an accident. This could include harm to another’s vehicle, home, or harm done to other property like a sidewalk sign. Some property damage coverage will even pay for legal defense costs if the towing company is sued as a result from the accident. In most states, anyone who drives a vehicle needs liability insurance and is required by law to have it.

bit-towingAnother important insurance for any towing business to have before they tow a customer’s vehicle, is On-Hook Towing insurance in Atlanta GA. This will cover any damage caused to a customer’s car while they are hauling it. This includes fires, explosions, and theft that might result from the towing operation. However, most insurance companies require that you have liability insurance before you are able to purchase On-Hook Towing insurance.

Coverage for vehicles that have already been towed and are just stored, is just as important as coverage for vehicles that are currently being hauled. Once a customer’s vehicle enters an Atlanta Georgia tow company’s possession, they may be held responsible for anything that happens to that piece of property in the time they have control of it. This includes anything that may happen to that vehicle while it’s sitting at their place of business. In order to protect from this type of liability, a Garagekeepers Legal Liability insurance is a must for any towing company.

This will pay for damages that may occur to a customer’s vehicle while it is being stored in a covered location for parking or servicing. These damages may include vandalism, theft or fire. Even though a towing company might not be currently towing a vehicle in their local companies rely on digital marketing, that doesn’t mean that damage cannot still occur. Coverage for these types of accidents are a must for any towing company in Atlanta before they consider conducting business.

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