Mechanics Insurance Guide: Cover for Garages and Technicians

What is mechanics insurance?

Mechanics insurance is a term used for a package of covers suited to people and businesses that repair, service, or maintain vehicles. Rather than a single standard product, it typically draws together public liability, employers’ liability where staff are employed, cover for tools and equipment, and sometimes motor trade road risk cover if the mechanic drives customers’ vehicles.

The exact combination needed depends on how the mechanic works. A self-employed mobile mechanic working alone from a van has different needs to a multi-bay garage employing several technicians, so cover is usually built around the specific nature of the work and premises involved.

Who needs it?

This type of cover suits self-employed mechanics, mobile mechanics who travel to customers, small and large garages, and specialist technicians working on particular vehicle types. Anyone whose work could result in damage to a customer's vehicle, injury to a third party, or loss of valuable tools is likely to benefit from considering appropriate cover.

Garages that employ staff should also be aware that employers’ liability insurance is generally a legal requirement once they take on employees, separate from any liability cover relating to customers or the public.

What's covered and what's excluded

Public liability cover within a mechanics policy typically responds to claims of injury or property damage caused to third parties in connection with the business, such as a customer being injured while visiting the garage. Tools cover can protect against the loss, theft, or damage of tools and equipment, which is often a significant investment for a working mechanic.

If the mechanic needs to drive customers’ vehicles, such as for test drives or collection and delivery, this generally falls under motor trade road risk cover rather than standard liability cover, and needs to be arranged specifically. Common exclusions include wear and tear, pre-existing faults with a vehicle being worked on, and tools left unsecured or in unattended vehicles, depending on the policy wording.

• Public liability for injury or damage claims from third parties
• Employers’ liability if staff are employed
• Tools and equipment cover against loss, theft or damage
• Road risk cover if customer vehicles are driven
• Pre-existing vehicle faults and general wear and tear are typically excluded

What affects the price

Premiums are influenced by the type of work undertaken, whether the mechanic is mobile or based at fixed premises, the value of tools and equipment to be insured, the number of employees, and claims history. Specialist work, such as on high-performance or classic vehicles, may be viewed differently to general servicing and repairs.

For mobile mechanics, the areas worked in and how tools are stored and transported (for example, security features in a van) can affect the cost of tools cover. For garage-based mechanics, the size of the premises and security measures in place may also be relevant.

Tips for mechanics

Keep an accurate and updated inventory of your tools and their value, as this can help ensure cover levels are appropriate and can support a claim if tools are lost or stolen. If you occasionally take on specialist work outside your usual scope, check whether this is covered or needs to be declared separately.

If you ever drive a customer's vehicle, confirm whether this is included in your policy or whether you need separate road risk cover, as assuming it is automatically included can leave a gap. Comparing how different specialist brokers price tools and liability cover for your specific trade can help you find a policy that matches your working pattern.

How to get a quote

If you work as a mechanic, whether mobile, self-employed, or as part of a garage, you can fill in a short form with some details about your business, and a specialist broker will contact you to discuss suitable cover. There is no obligation to take out a policy.

Frequently asked questions

Do I need employers' liability as a self-employed mechanic?

Employers' liability is generally a legal requirement only if you employ staff. If you work alone, it typically wouldn't apply, but public liability is still worth considering.

Does mechanics insurance cover my tools?

Many policies offer tools and equipment cover as a section, protecting against loss, theft, or damage, though limits and conditions vary between insurers.

Can I drive a customer's car under mechanics insurance?

Driving a customer's vehicle usually requires motor trade road risk cover, which is separate from general liability and tools cover, so check this is included if relevant to your work.

Is mobile mechanic work covered differently to garage work?

Yes, mobile mechanics may need cover reflecting travel and tool storage in a vehicle, while garage-based mechanics may need cover relating to fixed premises.

What affects the cost of mechanics insurance?

Key factors include the type of work, tool values, number of employees, whether you drive customers' vehicles, and your claims history.