Why can’t I get Garage Insurance?

Sometimes getting an insurer to give you garage insurance can be a tall order. There are many reasons for this, but after asking our customer to complete a survey as to why they were unable to obtain garage insurance, nearly ALL of them said the same thing:

“I can’t get garage insurance as the garage is located away from my residence and is not on the main house deeds.”

There are over 27 million private cars in the UK and they account for 83% of the 34.5 million licensed vehicles in Great Britain alone. The average car owner makes around 700 trip a year, which equates to around 14 every week. It’s only right that your car has a home too! If your care is lucky enough, it will have a garage. However, all too often these garages are left uninsured! Visit the RAC Foundation here for more information.

This is a huge problem in the UK. In order for an insurance company to take on a garage insurance risk, the garage needs to be on the property deeds of the main home and be included within the total sum insured of the home. When a garage does not fit in to this criteria, then it falls into no man’s land and is effectively uninsurable by a standard household insurance policy.

This is when you need to think about getting a standalone garage insurance policy. The problem being, and again this was asked with the survey to our customers, not many insurers can or even are willing to provide such cover. We were told:

“ No insurer will give me a quote for my garage as it’s detached from my main residence.”

And

“My insurance company doesn’t insure garages.”

There it is. Customer after customer has been told the same thing, time and time again. Many garage property owners have simply left their garage uninsured due to getting absolutely nowhere with regard to a simple request for a garage insurance quote!

The risk to begin with is hardly too large for an insurer to consider. They are normally of standard construction, have very low footfall (not many visitors meet you in your garage for a cup of tea) and are very low rebuild or reinstatement cost (most garages will cost only around £10,000). So the risk, comparatively speaking is minimal.

Property Insurance Centre identified this problem with the insurance market many years ago, and set about finding a reputable insurer to take on these risks. We are now the number one insurer of garages in the UK, and this is something we are proud of. There was a large gap in the market and many people were simply left vulnerable to the possibility of a liability claim against them, with no insurance cover in place to fight it.

Our survey indicated two main concerns from our customers – these were what happens if someone insures themselves on my garage or the garages catches fire! Property Insurance Centre have partnered with an insurer that will not only:

• Grant cover for detached garages

They will also give cover up to £5,000,000 Property Owners Liability, include cover for Fire, Lightning, Earthquake, Explosion and Aircraft Cover. If that’s not enough, if you decide to rent your garage out, this garage insurance will give you cover for Loss of Rental Income due to an insured peril occurring.  Renting your garage out is now big business and inner city parking can be a huge task for commuters at the best of times. The scale of garage owners, now effectively becoming landlords can be illustrated by the ‘government waiting list’ that have been set up to cater for would be garage renters.

Do you own a terraced property?

The vast majority of customers who require garage insurance are homeowners living on a terrace. When these properties were built, it was often the case that the garage relating to the same property is a couple of 100 yards down the road, and possibly in a block with the other terraced homes owners.

Do you have a number of garages?

Some customers will own blocks of garages. Blocks are especially good value to insure. We can give discounts on block policies. We also insure garages as a portfolio – so not necessarily connected to one another, and can be located from one end of the country to the other and all insured under the same single garage insurance policy. One of the benefits of having a single garage portfolio policy, is that all garages will have the same renewal date making it easier to manage.

Will my Garage Roof be a problem?

Garages have various methods of construction and that particularly applies to the garage roof. We can insure the vast majority of garages despite them having Asbestos or Cement Fibre Garage Roof for example. It is best to find out exact what your garage roof is constructed of and tell us. We can refer this information to one of our underwriters, and chances are have it approved to allow you to get covered.

What level of security do I need for my Garage?

Minimum Protection:

It is a condition precedent to liability unless otherwise agreed in writing, that the following protections are fitted to the undermentioned doors, windows and other openings (where these are under the Insured’s control) and put into full and effective operation whenever the Premises are closed for business or left unattended:-

-Garage doors must be fitted with:

(a) a key-operated lock (other than a rim latch); or

(b) a good quality padlock.

How much do I insure my garage for?

Getting the right sum insured is especially important. Failure to insure your garage to the correct sum insured can mean any potential claim is effect by the condition of ‘average’. What this means is, if you under-insure by say 30%, then the settlement figure of any claim can in turn be reduced by 30%. So, it is important to get this right from the outset. Reinstatement cost should consider the following, in addition to ‘bricks & mortar’.

1. the additional cost of reinstatement to comply with public authority requirements;
2. Professional Fees;
3. Debris Removal.

Give Property Insurance Centre a call today. Our staff are knowledgeable and can have cover in place to protect your asset within minutes. Our renewals invitations are emailed and you can renew online and have documents emailed confirming cover instantly. The process is seamless giving you ultimate piece of mind you have the correct garage insurance.