What Coverage Do You Need As A Professional Tow Operator?



Bodily Injury Liability
Covers your legal defense and pays claims to others if your driver is found at fault in an accident that injures someone in the other vehicle involved. i.e., the injured occupants of a vehicle your driver rear-ends.

Property Damage Liability
Pays the cost of defense and claims that result from damage caused by your vehicle to someone else's property. i.e., your driver backs into a parked car.

Uninsured Motorist Coverage
Covers driver and passengers in your vehicle for bodily injuries caused by an uninsured motorists. Uninsured motorist coverage is comparable to Bodily Injury coverage.

Ask your agent if Uninsured Motorist Property Damage is available through your carrier. This covers your vehicle up to $3,500 for physical damage if hit by any uninsured motorist.

Medical Payments to Others
Provides limited coverage for medical expenses for driver or passengers in your vehicle if injured in an accident (regardless of fault).




Comprehensive Coverage
Covers damage to your owned vehicles caused by fire, flood, earthquakes, and falling objects (Acts of God), as well as losses due to theft, vandalism and malicious mischief. Most damage other than collision or upset falls under comprehensive.

Specified Peril Coverage
Not as broad of coverage as full comprehensive; covers your owned vehicle for "Specified Perils" only (fire, vandalism, theft). Perils that are not named, are not covered.

Collision/Upset Coverage
Covers damage to your vehicles in an accident, regardless of fault. Any damage caused to your vehicle by collision or upset.




Garage Liability Coverage
Covers premises, operations, products and completed operations. This coverage should be written for the same limit as owned auto coverage.

Garage Liability - Broad Form Endorsement
Broadens the scope of product liability and removes several exclusions. Additional premium to include this coverage is usually nominal. i.e., repairs made by you or your employee are later the cause of an accident; Garage Liability proves coverage for property damage and any injuries incurred.

Garagekeepers Legal Liability
Covers customer vehicles while in your care, custody and control. Coverage can be written with either specified perils or comprehensive, along with collision coverage. Remember, comprehensive coverage is much broader protection than specified perils.

Coverage is also limited to "Motor Vehicles" and does not cover cargo or items in tow other than licensed motor vehicles (see Cargo/On Hook Coverages)

"GKL" (Garagekeepers Liability) is available in tow forms:' "Legal Liability" or "Direct Primary" coverage. Legal Liability is just as it sounds. You must be found legally liable for the loss for coverage to be effective. If you were not negligent, the claim would not be paid. If you have Direct Primary coverage, you would be covered for nearly all situations arising from the care, custody and control of customers' vehicles. Direct Primary coverage is excellent for "good will" payment for damage to your valued customers' vehicles, regardless of fault.

On Hook Coverage
Covers motor vehicles while being towed or transported by your vehicle and driver. Some Insurance companies extend the Garagekeepers coverage form to include vehicles in tow, while others write a separate form, for an additional premium of course. Be sure to read this coverage section for specific coverages and exclusions. i.e., some policies do not provide coverage if a car is "dropped" and safety chains are not used or if improper towing techniques damage the transmission of the customer's vehicle.

Cargo Coverage
Covers Legal Liability for goods or contents which are in your care, custody and control. Coverage can usually be extended toy our storage facility. This coverage can also be purchased on a "Specified Peril" or "All Risks" basis.
These are the most basic coverages used for Tow Operators package policies. There are many other coverages available that can be used to "tailor' a package to the individual Towing Operator, garage, service station or body shop. Ask your agent or broker to outline any special coverages your business may need.