Auto Repair Shop Insurance

CSP Insurance Services was founded in 1939, when Clifford Cormell joined Earnest Streett to sell insurance in Florence. More than 80 years later, we still answer the phone ourselves. No call centers, no chatbots — just a local team that knows your name and your policy.

We compare several carriers to find a policy that fits you, not one company's products.

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80+ years local experience

Hospital bills, treatment, and prescriptions for a work-related injury or illness.

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Running an auto repair shop in South Carolina means juggling hydraulic lifts, hot engines, customer vehicles worth tens of thousands of dollars, and employees who work with their hands all day. One slip, one fire, one customer who trips over an air hose in your lobby, and you're staring down a claim that could gut your business. The right insurance setup isn't just a box to check: it's the difference between absorbing a bad month and closing your doors. General liability alone averages around $54 per month for repair shops, which is surprisingly affordable considering what's at stake. But general liability is only one piece of the puzzle. Shops need a layered approach covering everything from workers' comp and commercial property to garage-specific policies that most general business owners never think about. This guide breaks down the insurance coverage auto repair shops actually need, with a focus on the policies that matter most and the gaps that catch shop owners off guard.

Core Insurance Policies Every Shop Needs

Every auto repair business, whether it's a two-bay independent shop in Florence or a multi-location operation near Myrtle Beach, shares a common set of risks. These three foundational policies form the backbone of any solid insurance program for a garage.

General Liability for Customer Injuries and Property Damage

General liability covers third-party bodily injury and property damage claims. Think: a customer slips on an oil spot in your waiting area, or a technician accidentally damages a customer's personal property while it's in the shop. This policy also covers advertising injury claims, like if a competitor alleges you copied their branding.


South Carolina doesn't legally require general liability for most small businesses, but good luck getting a commercial lease or a contract with a fleet client without it. Most shops carry at least $1 million per occurrence with a $2 million aggregate. If you're doing work for dealerships or government contracts, they'll often require higher limits.


One thing to keep in mind: general liability does not cover damage to vehicles you're working on. That's a separate policy entirely, which we'll get to shortly.

Workers' Compensation for Mechanic and Staff Safety

South Carolina requires workers' comp for any business with four or more employees. Even if you're under that threshold, carrying it voluntarily is smart. Mechanic injuries are not rare: burns, lacerations, crushed fingers, back injuries from lifting transmissions. A single ER visit and a few weeks of lost wages can easily run $30,000 or more.


Workers' comp covers medical expenses, lost wages, and rehabilitation costs for employees injured on the job. It also protects you from lawsuits by injured workers, since accepting workers' comp benefits generally means the employee gives up the right to sue. In a trade where injuries happen regularly, that legal protection alone is worth the premium.


Rates in South Carolina vary by classification code, but auto repair shops typically fall under NCCI code 8380 (automobile service or repair center), and premiums are calculated based on your payroll. Keeping a clean safety record and investing in proper training can lower your experience modification rate over time.

Commercial Property Insurance for Tools and Equipment

Your building, your lifts, your diagnostic scanners, your compressors, your specialty tools: all of it is vulnerable to fire, theft, vandalism, and severe weather. South Carolina's coastal counties face real hurricane and wind exposure, and even inland shops in Columbia or Rock Hill deal with hail and severe thunderstorms.


Commercial property insurance covers the physical assets your business depends on. Make sure your policy covers replacement cost rather than actual cash value, because a five-year-old alignment machine depreciates fast on paper but costs just as much to replace. Also verify that your tool inventory is accurately valued. Many shop owners underestimate the total value of hand tools, diagnostic equipment, and specialty items until they have to file a claim.


Flood damage is excluded from standard property policies, so if your shop sits in or near a flood zone, you'll need a separate flood policy through the NFIP or a private carrier.

Your CSP agent

Lawson Walker, CIC

Insurance Sales

CSP Insurance Services is a fully licensed independent insurance agency serving individuals, families, and businesses across South Carolina.

From our home in Florence, we proudly serve clients in Florence, Myrtle Beach, Rock Hill, Columbia, and communities throughout South Carolina. As an independent Trusted Choice agency, our team works with a wide range of top-rated carriers to provide personal and commercial coverage — home, auto, business, life, and more — tailored to the real needs of the people and businesses we protect.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Feature Admitted (Standard) Carriers Non-Admitted (E&S) Carriers
State regulation Fully regulated; rates filed with state Exempt from rate filing; flexible pricing
Guaranty fund protection Yes: state fund covers claims if carrier fails No: no guaranty fund backstop
Policy forms Standardized (ISO forms common) Manuscript or custom forms
Risk appetite Prefers low-to-moderate risk Accepts high-risk and unusual exposures
Premium cost Generally lower Typically 20-75% higher
Surplus lines tax Not applicable Buyer pays state surplus lines tax (varies 2-5%)
Speed of placement Standard timelines Can be faster or slower depending on complexity

Businesses increasingly rely on portable tech: laptops, tablets, external drives, and mobile servers. A computer equipment floater covers these items when employees take them off-site, whether that's a sales rep carrying a laptop to a client meeting in Columbia or a nonprofit transporting presentation equipment to a fundraiser. Some policies even cover the cost of data restoration, which can be more expensive than the hardware itself.

Industry-Specific Protections for Auto Repair

Standard business policies leave significant gaps for auto repair operations. These garage-specific coverages fill the holes that generic policies miss.

Garagekeepers Liability: Protecting Vehicles in Your Care

This is the policy most shop owners don't know about until they need it. Garagekeepers liability covers physical damage to customer vehicles while they're in your care, custody, or control. If a fire sweeps through your shop and destroys three customer cars, your general liability policy won't pay for them. Garagekeepers will.


Coverage typically applies to damage from fire, theft, vandalism, collision, and weather events. You can choose between "direct primary" coverage (which pays regardless of fault) and "legal liability" coverage (which only pays if you or your employees caused the damage). Direct primary costs more but provides broader protection and keeps customers happier.


A shop in South Carolina holding even five or six customer vehicles overnight could easily have $150,000 to $250,000 worth of cars on the lot. Understanding how garagekeepers insurance works is essential for any shop owner who doesn't want to pay for a customer's totaled vehicle out of pocket.

Garage Liability vs. General Liability

Garage liability is a specialized form of liability insurance designed specifically for automotive businesses. It combines elements of general liability with coverage for your garage operations, including test drives, moving vehicles around the lot, and damage caused during the repair process itself.


A standard general liability policy typically excludes coverage for incidents that arise from your core automotive work. If a technician test-drives a repaired vehicle and rear-ends someone, general liability won't cover it. Garage liability will.


Most independent repair shops in South Carolina opt for a garage liability policy as their primary liability coverage rather than a standard GL policy. It's built for the risks you actually face. That said, some insurers bundle garage liability with other coverages into a garage package policy, which can simplify administration and sometimes reduce overall cost.

Errors and Omissions (E&O) for Faulty Repairs

E&O insurance, sometimes called professional liability, covers claims arising from mistakes in your work. If you replace a brake caliper and it fails two weeks later causing an accident, the injured party may sue alleging negligent repair. E&O covers your defense costs and any resulting settlement or judgment.


This is different from products liability (which covers defective parts) and different from garage liability (which covers damage during the repair process). E&O specifically addresses the professional judgment and workmanship side of things. Shops that perform safety-critical work like brake jobs, steering repairs, and suspension work should seriously consider this coverage. Claims related to faulty automotive repairs have been trending upward, and defense costs alone can run into five figures even if you win the case.

Managing Vehicles on the Road

Commercial Auto for Shop-Owned Tow Trucks and Parts Runners

If your shop owns any vehicles: tow trucks, parts runners, courtesy shuttles, or service vans: you need commercial auto insurance. Personal auto policies exclude vehicles used for business purposes, and South Carolina's minimum auto liability limits (25/50/25) apply to commercial vehicles too, though most shops carry significantly higher limits.


Tow trucks in particular carry elevated risk. You're hauling other people's vehicles on public roads, often in emergency situations. Commercial auto insurance costs vary widely based on vehicle type, driver history, and radius of operation, but expect to pay more for a tow truck than a standard service van. Make sure your policy includes on-hook coverage, which protects the vehicle you're towing if it's damaged in transit.

Hired and Non-Owned Auto Coverage

Here's a gap that catches a lot of shop owners: if an employee runs to the parts store in their personal car and causes an accident while on the clock, your business can be held liable. Hired and non-owned auto coverage fills this gap. It covers liability when employees use their own vehicles for business errands or when you rent or borrow a vehicle temporarily.


This coverage is inexpensive relative to the risk it addresses and is often added as an endorsement to your commercial auto or garage liability policy. Any shop where employees occasionally run errands, pick up parts, or shuttle customers should carry it.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Feature Admitted (Standard) Carriers Non-Admitted (E&S) Carriers
State regulation Fully regulated; rates filed with state Exempt from rate filing; flexible pricing
Guaranty fund protection Yes: state fund covers claims if carrier fails No: no guaranty fund backstop
Policy forms Standardized (ISO forms common) Manuscript or custom forms
Risk appetite Prefers low-to-moderate risk Accepts high-risk and unusual exposures
Premium cost Generally lower Typically 20-75% higher
Surplus lines tax Not applicable Buyer pays state surplus lines tax (varies 2-5%)
Speed of placement Standard timelines Can be faster or slower depending on complexity

Comparing Garage Liability vs. Garagekeepers Insurance

These two policies sound similar but cover completely different things. Confusing them is one of the most common mistakes shop owners make.

Garage Liability Garagekeepers Liability
What it covers Bodily injury and property damage arising from your operations Physical damage to customer vehicles in your care
Example claim Customer's car rolls off a lift and hits another car during repair A fire in your shop destroys a customer's vehicle overnight
Who's protected Third parties (customers, bystanders) Customer vehicle owners
Required? Strongly recommended; often required by landlords Not legally required but practically essential
Typical limits $500K to $1M per occurrence $100K to $500K per vehicle or aggregate

The simplest way to remember it: garage liability covers what you do to others, while garagekeepers covers what happens to their stuff. You need both. An independent agency like CSP Insurance Services, which has been helping South Carolina businesses since 1939, can walk you through how these policies interact and make sure there are no gaps between them.

Specialty Lines: Flood, Earthquake, and Valuable Items

Flood insurance is a separate policy, typically written through FEMA's National Flood Insurance Program or a private carrier. If your home sits in a designated flood zone anywhere along the SC coast or near inland rivers, your mortgage lender will require it. But even homes outside mapped flood zones can flood: roughly 25% of flood claims come from properties in low-to-moderate risk areas.


Earthquake coverage is less common in South Carolina, but the state sits near the Charleston fault zone, which produced a magnitude 7.3 quake in 1886. A rider or standalone earthquake policy is worth considering if you're in the Lowcountry.


Scheduled personal property endorsements cover high-value items like jewelry, art, firearms, or musical instruments that exceed standard policy sub-limits. Most homeowners policies cap jewelry coverage at $1,500-$2,500 per item. If your engagement ring is worth $8,000, you need a scheduled endorsement or inland marine floater to cover the difference.

Common Questions About Shop Insurance

How much does auto repair shop insurance cost per month? It depends on your shop size, revenue, employee count, and coverage selections. A basic general liability policy runs about $54/month, but a full package with garage liability, garagekeepers, workers' comp, and commercial auto typically falls between $300 and $800/month for a small to mid-size shop.


Does my shop need insurance if I work alone out of my own garage? Yes. Even solo operators face liability if a customer's car is damaged or a visitor is injured on your property. South Carolina doesn't exempt home-based businesses from liability.


What's the difference between a BOP and a garage package policy? A Business Owner's Policy bundles general liability with commercial property insurance. A garage package policy replaces the general liability component with garage liability and often includes garagekeepers coverage. For auto repair shops, a garage package is usually the better fit because it's tailored to automotive risks.


Will my insurance cover a customer's car if it's stolen from my lot? Only if you carry garagekeepers liability with theft coverage. Your general liability and garage liability policies won't cover it.


Do I need commercial auto insurance if I only have one tow truck? Yes. Any vehicle owned by the business and used for business purposes needs commercial auto coverage, regardless of fleet size.


Are my employees' personal tools covered under my policy? Usually not automatically. You may need an inland marine policy or a tools and equipment floater to cover employee-owned tools stored at your shop. Check with your agent to add this coverage.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Feature Admitted (Standard) Carriers Non-Admitted (E&S) Carriers
State regulation Fully regulated; rates filed with state Exempt from rate filing; flexible pricing
Guaranty fund protection Yes: state fund covers claims if carrier fails No: no guaranty fund backstop
Policy forms Standardized (ISO forms common) Manuscript or custom forms
Risk appetite Prefers low-to-moderate risk Accepts high-risk and unusual exposures
Premium cost Generally lower Typically 20-75% higher
Surplus lines tax Not applicable Buyer pays state surplus lines tax (varies 2-5%)
Speed of placement Standard timelines Can be faster or slower depending on complexity

Making the Right Choice for Your Garage

Getting the right insurance for your auto repair shop isn't about buying every policy available: it's about understanding your specific risks and building coverage around them. A two-person brake and muffler shop in Rock Hill has different needs than a full-service collision center on the Grand Strand dealing with hurricane season every year.


The policies that matter most: garage liability, garagekeepers, workers' comp, commercial property, and commercial auto: form the core of a solid protection plan. E&O and hired/non-owned auto fill the gaps that trip up shop owners who thought they were fully covered.


Working with an independent agency gives you access to multiple carriers, which means better pricing and coverage options than going direct to a single insurer. CSP Insurance Services specializes in matching South Carolina businesses with policies that actually fit their operations, not one-size-fits-all packages. If you're opening a new shop or suspect your current coverage has holes, request a quote and get a real person on the phone who understands what your garage actually needs.

About the author

Lawson Walker, CIC

I'm proud to be part of an agency that's served Florence since 1939. CSP Insurance Services started as Cormell-Streett & Patterson, built by people who believed insurance should be personal — and more than eight decades later, that conviction still drives everything we do. Commitment, Service, Protection isn't just what CSP stands for; it's how I approach every client relationship.


As an independent, Trusted Choice agency, we aren't tied to any single carrier. That means I work for you — shopping multiple companies to match you with coverage that actually fits your family, your business, and your budget. No call centers, no chatbots. Just a local expert who takes the time to understand what matters to you and stands by you when it counts.


Whether you're protecting your home, your car, or a business you've spent years building, I'd be glad to help you find the right coverage.

We compare several carriers to find a policy that fits you, not one company's products.

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80+ years local experience

1939

Serving SC

Meet Richard

Most Requested

Core business coverage.

The policies most South Carolina businesses start with.

Commercial Property

Protect the building, equipment, and inventory your business runs on, so a covered fire, theft, or storm doesn’t become a closed door.

Workers Compensation

Required for most South Carolina employers with staff. It covers medical bills and lost wages when an employee is hurt on the job.

Commercial Auto

Cars, trucks, and fleets used for work need more than a personal policy. This handles liability, damage, and your drivers.

General Liability

Accidents happen on the job and on your property. General liability covers third-party injury and property damage claims against your business.

Inland Marine

Tools, equipment, and goods on the move aren’t covered by standard property policies. Inland marine protects them wherever they travel.

Business Owners (BOP)

A business owners policy bundles property and liability coverage into one package, often at a better price for small businesses.

We compare several carriers to find a policy that fits you, not one company's products.

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80+ years local experience

1939

Serving SC

Insurance Sales

J. Roger Jordan, CIC

Meet Richard

[CONFIRM bio]

Personal Insurance

Coverage for your home, vehicles, and family.

Protect what matters most with personal policies shopped across our carriers.

Home

Your house is likely your largest investment. Home insurance helps rebuild after covered damage and protects you from liability.

Auto

South Carolina drivers need real protection. Auto coverage handles liability, collision, medical costs, and uninsured drivers.

Umbrella

When a serious claim climbs past your home or auto limits, umbrella coverage adds an extra layer of liability protection.

Boat

Time on the water should be worry-free. Boat coverage protects your vessel, your passengers, and your liability on the lake or coast.

Motorcycle

Riders need coverage built for the road. Motorcycle insurance protects your bike, your gear, and you after an accident.

Condo

Your association covers the building, but not what’s inside. Condo insurance protects your belongings, improvements, and liability.

We compare several carriers to find a policy that fits you, not one company's products.

◆

80+ years local experience

1939

Serving SC

Insurance Sales

J. Roger Jordan, CIC

Meet Richard

[CONFIRM bio]

Get a Quote

Boat

Your association covers the building, but not what’s inside. Condo insurance protects your belongings, improvements, and liability.

Time on the water should be worry-free. Boat coverage protects your vessel, your passengers, and your liability on the lake or coast.

Condo

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Motorcycle

Riders need coverage built for the road. Motorcycle insurance protects your bike, your gear, and you after an accident.

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Industries We Serve

Specialized coverage for your industry.

Every industry carries its own risk. We help South Carolina businesses protect what they've built.

Restaurants

Kitchens, customers, and staff create daily exposure. We protect your property, equipment, liquor liability, and employees.

Manufacturers

From equipment breakdown to product liability, manufacturers face risk on the floor and beyond. We help cover property, machinery, and goods.

Healthcare Providers

Practices and clinics carry patient, property, and professional risk. We help cover liability, equipment, and the people who run your practice.

We compare several carriers to find a policy that fits you, not one company's products.

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80+ years local experience

1939

Serving SC

Commercial Property

Protect the building, equipment, and inventory your business runs on, so a covered fire, theft, or storm doesn’t become a closed door.

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Commercial Auto

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Cars, trucks, and fleets used for work need more than a personal policy. This handles liability, damage, and your drivers.

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Four steps, one real person from start to finish.

Tell us about you

Share a few details about what you need to protect. A real person reviews it.

We compare carriers

We shop options across our carriers to find strong protection at a fair price.

We recommend coverage

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You get covered

Sign with confidence — and we stay on for changes, claims, and yearly reviews.

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Multi-carrier choice

Claims advocacy

When a claim happens, we stand in your corner and help move it forward with your carrier.

Local SC roots

We live and work in Florence and understand the risks your community faces because we face them too.

Client Reviews

Why clients choose CSP.

Independent advice, real people, and decades of local roots.

We compare several carriers to find a policy that fits you, not one company's products.

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80+ years local experience

1939

Serving SC

Insurance Sales

J. Roger Jordan, CIC

Meet Richard

[CONFIRM bio]

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Boat

Your association covers the building, but not what’s inside. Condo insurance protects your belongings, improvements, and liability.

Time on the water should be worry-free. Boat coverage protects your vessel, your passengers, and your liability on the lake or coast.

Condo

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Motorcycle

Riders need coverage built for the road. Motorcycle insurance protects your bike, your gear, and you after an accident.

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FAQs

Questions, answered.

Straight answers about working with an independent agency.

  • What does an independent insurance agency do?

    An independent agency represents several carriers instead of one. We compare coverage and pricing across companies, then recommend the policy that fits you best.

  • Do you cover both personal and business insurance?

    Yes. CSP writes personal lines like home and auto, and commercial lines for businesses across South Carolina.

  • How long has CSP been in business?

    CSP traces its roots to 1939, with more than 80 years serving South Carolina families and businesses.

  • Will I work with a real person?

    Always. No call centers and no chatbots — you work with a local team member who knows your account.

  • Which areas do you serve?

    We’re based in Florence and serve clients statewide, including Myrtle Beach, Rock Hill, and Columbia.

  • How do I get a quote?

    Request a quote online, call us, or stop by the office. A real person will review your needs and follow up.

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We compare several carriers to find a policy that fits you, not one company's products.

◆

80+ years local experience

1939

Serving SC

Insurance Sales

J. Roger Jordan, CIC

Meet Richard

[CONFIRM bio]

Get a Quote

Boat

Your association covers the building, but not what’s inside. Condo insurance protects your belongings, improvements, and liability.

Time on the water should be worry-free. Boat coverage protects your vessel, your passengers, and your liability on the lake or coast.

Condo

Get a Quote

Motorcycle

Riders need coverage built for the road. Motorcycle insurance protects your bike, your gear, and you after an accident.

Get a Quote

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2420 Hoffmeyer Road, Suite D
Florence, SC 29501

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