Garage liability insurance covers property damage or bodily injury to a third party resulting from an accident arising from your garage operations. Commonly confused with garage keepers insurance, garage liability does not cover for physical damage to your clients vehicles when they are in your care, custody and control.
A garage keepers policy is generally added when a garage wants to cover their client's vehicles when they are in their care, custody, and control. This policy covers for damages like fire, theft, vandalism, and extreme weather. However, the policy does not cover losses that arise from faulty workmanship on behalf of the garage.