In our blog content related to business insurance, we have been covering various topics around preventing losses and protecting the interests of organizations and stakeholders. (You can check out the archives here).

While we’ve put together some general posts that apply to any business, such as cyber security and crime prevention, in this post we’re going to specifically look at ways that car mechanics can prevent losses in their small businesses. So, if you’re a mechanic, read on! And if you’re not, stay tuned for further posts related to commercial insurance.

Tips for preventing losses as a mechanic

– Get your paperwork in order: As a mechanic, it’s invaluable to have a paper trail to protect yourself. Make sure that you always prepare work orders that specifically list out all the repairs that will be completed. The customer should sign this work order as proof of their authorization for the work to be done. This way, if there ever were to be disputes, you have the paperwork to back you up. You should also include a list of repairs that you recommended be done, but that the customer declined. This protects you from a possible liability loss.

– Keep your customers where they should be: A clean, safe waiting area is a good idea for mechanic shops. You want to avoid customers wandering around the service bay area at all costs – there is just too much room for potential disaster, such as slip and fall type losses. Your mechanics will also certainly appreciate not being disturbed while they work! In addition to the waiting room, make sure signs are posted that clearly outline the “no customers in the service area” rule. Make sure that everyone on your team strictly enforces this rule.

– Keep close tabs on those keys: All mechanics should have a key control procedure followed by all employees. All keys should be kept under lock and key somewhere safe within your office premises. This helps to make it harder for thieves to gain access to the keys, reducing the potential for vehicle theft or vandalism.

– Monitor cash on hand: If you’re often paid in cash, make sure that there is not a lot of cash on hand in the till by using a safe or a mechanism to limit money available at the till. Deposit the cash regularly at the bank and ensure that you’re not always going to the bank at the same time following the same route. Make it impossible for would-be thieves to establish a reliable, observable pattern.

– Light up your business premises: The front, back and inside of your garage should be well-lit, including when you’ve closed up shop. Ideally, if you’re keeping cars overnight they should be stored inside. If that is not possible, the outdoor area must be lit up, fenced and secured by padlock overnight.

– Maintain accurate inventory: As a mechanic you no doubt have plenty of tools, in addition to a considerable stock of auto parts and retail items. By keeping a regularly updated, accurate inventory, if you do experience the misfortune of a theft or other loss, your business insurance provider will be able to better serve you and ensure that you get a swift and fair settlement.

– Tune-up your test drive process: Test driving vehicles comes as part and parcel of a mechanic shop. There are steps you can take to ensure you’re as protected as possible. Regularly get driver abstracts from your employees to ensure that only those in good standing are test-driving cars. Create an established test driving route where there is not much for vehicle traffic or pedestrians to reduce the chance of an accident or loss with a customer’s car.

Want more advice and recommendations? Click here for more commercial insurance and business protection tips.

Have any questions related to business insurance or looking to get a quote for coverage? Zip over here for more information and to get in touch with us.

Image source: FreeDigitalPhotos.net | ponsulak