Car Wash insurance

[JGinther]

Our current insurer (state auto) is not renewing us due to a hail damage roof replacement claim, and is saying they are probably pulling out of car wash industry all together (maybe just Colorado?). Since we have been shopping, we haven't been able to find a good option yet. Especially one that doesn't base their rates off of revenue. Are there any recommendations?

 

[chaz]

Yeah...my carrier bases rates on revenue....I assume that if I ever have a claim (none in 12 years) They’d use the revenue numbers in paying my loss of revenue?!

 

[JGinther]

Nope. They hire a 3rd party forensic analyst who will argue that people could use other bays and that costs of doing business should get deducted, even though unknowns like how many people won't come back in the future due to going to another location while subject is down can not be included. They do not include if it might have been a busy weekend or other real factors. They look at annual numbers instead of comparable info from other washes that would proove busy or slow times. We had a machine get demolished in November once by a wayward driver (who thought they had to have their car on the other side of the guide rails to 'get in the track', then decided to just plow the machine out of the way into the dryer frame and off the rails) and we missed the whole winter waiting on engineers to finally determine the machine was 4 inches out of square. 4 inches! They used October numbers for loss of revenue for the winter. October typically sucks here.

 

[soapy]

Check with Sam Furno of the WEstern car wash insurance agency. The WCA has offered car wash insurance for decades and specialize in it.

 

[MudMoney]

I use farmers alliance of Mcpherson,kansas for my 2 self serves.2 claims in 10 years rates have not gone up.I'm happy camper !

 

[pgrzes]

I got a great rate through Erie Insurance.

 

[OurTown]

I got a great rate through Erie Insurance.

We use Erie also but they do not operate in CO apparently.

 

[soonermajic]

Nope. They hire a 3rd party forensic analyst who will argue that people could use other bays and that costs of doing business should get deducted, even though unknowns like how many people won't come back in the future due to going to another location while subject is down can not be included. They do not include if it might have been a busy weekend or other real factors. They look at annual numbers instead of comparable info from other washes that would proove busy or slow times. We had a machine get demolished in November once by a wayward driver (who thought they had to have their car on the other side of the guide rails to 'get in the track', then decided to just plow the machine out of the way into the dryer frame and off the rails) and we missed the whole winter waiting on engineers to finally determine the machine was 4 inches out of square. 4 inches! They used October numbers for loss of revenue for the winter. October typically sucks here.

same here, in my experience. However, soon as I said let's just let our lawyers work it out, I got a phone call & paid out what I MYSELF determined to be fair. Which i deducted 35% from my past 4 mos avg. I wanted $2500 & 3rd party accounting firm wanted to pay me $1600. 30 sec email made me $900...which was more than fair to them!

 

[copperglobe]

I am also with State Auto. Was told that what they are doing is raising the rates so much that all car washes won't go with them but those that still insist on State Auto can pay those super high premiums. I'm looking at WCA and elsewhere.