10 Smart Ways to Help Your Auto Service Clients Keep Garage Premiums Low

Producers: Your clients in the auto service industry—whether they run a repair shop, tire store, muffler shop, or detailing center—can take proactive steps to reduce claims and maintain lower insurance premiums. Sharing these smart risk management tips can help strengthen your relationship, provide real value, and reduce exposure for both you and your insureds.

Whether you’re quoting through our Automotive Aftermarket Express Package or simply helping a client better manage their risk, these top 10 tips are a great place to start.

1. Prioritize Workplace Safety

A safety-conscious shop is a lower-risk shop. Encourage your clients to:

• Maintain a written safety manual and hold regular safety meetings.

• Repair cracks or uneven flooring.

• Keep floors clean and dry.

• Ensure handrails and slip protection on stairs.

• Keep aisles and customer areas clear of obstructions.

• Train staff to respond to spills immediately and keep absorbent materials handy.

Electrical hazards? Remind teams:

• Never leave tools running or plugged in unattended.

• Avoid using electrical equipment with wet hands or near water.

• Check for frayed cords and overloaded outlets regularly.

2. Handle Flammable Materials with Care

Shops often work around flammable liquids—extra caution is a must:

• Use only approved containers for storage and dispensing.

• Ensure containers are closed when not in use.

• Ground and bond containers when transferring liquids.

• Fuel tank work should only be done by trained techs.

• Always drain tanks outside when possible.

• No smoking or welding near flammable areas.

3. Follow Proper Welding & Cutting Procedures

Fire hazards are serious risks in garage operations:

• Never weld near gasoline tanks or combustible materials.

• Keep extinguishers nearby and assign a fire watch during hot work.

• Inspect hoses and equipment daily.

• Secure all gas cylinders safely.

4. Maintain Fire Protection Systems

A well-maintained fire protection system is key:

• Test and inspect sprinklers regularly.

• Lock control valves in the open position or monitor electronically.

• Place extinguishers strategically—one for every 3,000 sq ft and within 75 feet of any point.

• Match extinguisher types to specific fire risks (electrical, chemical, etc.).

5. Don’t Forget the Office

It’s not just the shop floor—offices need safety, too:

• Keep walkways and workspaces clear.

• Avoid cords across floors.

• Lock up electronics and secure sensitive customer data.

• Maintain computers and electrical equipment.

6. Secure the Premises Inside & Out

Theft and vandalism can drive up premiums. Encourage:

• Strong perimeter fencing and secure gates with controlled access.

• Intrusion alarms and security cameras.

• Park customer vehicles tightly and lock them.

• Store keys in a safe—never leave them in vehicles.

• Install secure drop boxes to prevent key fishing.

• Post disclaimers for personal belongings in vehicles.

7. Reinforce Driver & Vehicle Safety

When shop employees are behind the wheel, your client’s liability increases:

• Vet drivers carefully (MVR checks, background, drug testing).

• Provide ongoing training and safe driving reminders.

• Keep shop vehicles in top condition.

• Educate staff on accident reporting procedures.

8. Limit Customer Exposure on the Floor

Customer injuries can be costly and damaging to reputation:

• Designate waiting areas clearly.

• Post “Employees Only” signs in work areas.

• Only staff should move vehicles into service bays.

• Ensure customer walkways are slip-resistant and clearly marked.

9. Use Automotive Lifts Safely

Lifts are a major safety risk if misused:

• Only trained personnel should operate lifts.

• Inspect lifts daily.

• Never allow anyone on a lift while in motion.

• Always clear tools and equipment before lowering.

10. Prevent Wheel-Offs

Wheel-offs are one of the most serious garage claims—and often preventable:

• Hire skilled technicians and provide frequent training.

• Encourage techs to double-check each other’s work.

• Require supervisory spot checks for safety-critical repairs.

• Have the checker sign off on the repair order.

Final Thoughts

Fewer claims mean better rates—and stronger renewal positioning. Share this list with your auto service clients as a value-add. You can even personalize it with your contact info and use it as a client retention tool.

This blog was originally published on www.arrowheadgrp.com and has since been updated and repurposed for relevance.