Auto repair shop insurance combines several specialty coverages: general liability ($54/month average), business owners policy ($149/month), and garage keepers liability for customer vehicles on the lot. Full package cost depends on shop size, services, and customer vehicle volume.
Most auto repair businesses pay about $54 a month for general liability and $149 a month for a business owner's policy (BOP), based on Insureon's figures for its own customers.
Price is one part of it. Our auto repair shop insurance guide covers which policies you need and why.
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Auto Repair Shop Insurance Cost Breakdown
Premiums from Insureon's 2026 auto repair shop cost data for its own customers (Insureon calls them averages; its method note describes median premiums):
| Coverage | Average Monthly | Average Annual |
|---|---|---|
| General liability (GL) | $54/mo | $652/yr |
| Business owners policy (BOP) | $149/mo | $1,787/yr |
What Drives Auto Repair Shop Insurance Cost Up or Down
- Type of repair (general vs body shop vs transmission specialist)
- Number of bays and lift capacity
- Value of customer vehicles on lot (garage keepers coverage)
- Hazardous waste handling (used oil, brake fluid, refrigerant)
- Claims history (vehicle damage during service)
- Whether you do paint/body work (adds pollution exposure)
How to Lower Your Auto Repair Shop Insurance Cost
- Maintain detailed customer vehicle intake documentation
- Carry garage keepers limits that match the value of customer vehicles typically on your lot
- Document hazardous waste disposal protocols
- Bundle BOP + commercial auto + garage liability with one carrier
- Consider pollution liability if you do body or paint work
Frequently Asked Questions
How much does auto repair shop insurance cost?
Per Insureon's 2026 data, general liability averages $54/month ($652/year), a business owners policy averages $149/month. Total premium depends on revenue, employees, state, and claims history.
What insurance do I need as a auto repair shop?
Most auto repair businesses need: general liability (often bundled into a business owners policy). The specific mix depends on your operations, employee count, and any contractual requirements from clients or vendors.
How long does it take auto repair businesses to get insurance quotes?
It depends on how many policies auto repair businesses need and how quickly you can supply the details. Chubb says a basic online quote often takes only a few minutes for a simple business. Having these details ready is the fastest way to get quotes; see what you need for a business insurance quote.
Should auto repair businesses buy insurance direct or through an agent?
Either can work for auto repair businesses. Buying direct from an insurer online suits a simple business that needs one or two policies. An agent or broker who compares several insurers helps when your work is unusual or one insurer declines you. Neither route is cheaper by default: each insurer prices its own business types and states, so comparing quotes is the only way to know.
What is garage keepers liability and do I need it?
Garage keepers is essential for any auto repair shop — it covers damage to customer vehicles while they're in your care, custody, or control. A standard BOP covers your premises liability but typically does NOT cover damage to customer cars on your lot. Garage keepers fills that gap. Most carriers offer it as part of an auto services package; limits should reflect the value of the vehicles typically in your care.
Do auto repair shops need pollution liability?
Often yes — particularly if you do body work, painting, transmission service, or anything involving brake fluid, antifreeze, refrigerant, or used oil. Standard GL excludes pollution-related claims. A pollution liability endorsement on the GL or a standalone policy covers cleanup costs and third-party claims from spills, leaks, or improper disposal.
Related Guides for Auto Repair Shop Insurance
For the coverages auto repair businesses need and what insurers ask before they quote, see our auto repair shop insurance guide.