There are 116,000 auto repair shops in the United States. These shops employ hundreds of thousands of workers.
If you own one of them, you know how challenging it is to own and run an auto repair shop. You might know a lot about cars, but not a lot about accounting, management, and customer service.
One of the things they don’t teach in school is how to manage risk. Auto repair shops have high injury rates among workers. It’s because they can trip over tools and wires, and they also have repetitive stress injuries.
Small business owners have to recognize the risk this poses. You could be held liable for their injuries or the injuries of your customers if they suffer an injury.
That doesn’t have to be too scary. You just need to learn risk management. Read on to learn the top risk management strategies for auto repair shops.
1. Have Insurance Coverage
If you don’t have the right insurance policies, you’ll pay for damages out of pocket. That’s enough to ruin your business.
You’ll need to get worker’s compensation insurance and general liability insurance. A business owner’s policy is another policy to consider.
Garage liability insurance is necessary if you resell cars on your lot. It combines commercial auto and general liability insurance. You’re covered if someone takes a car for a test drive and gets injured.
2. Maintain Written Safety Policies
A written safety policy instructs employees what to do if something happens on the job. It details how to identify safety issues, report them, and report injuries.
There should be policies like no smoking near the garage, wearing protective gear, and how to organize the working areas.
3. Train Employees
It’s not enough to have a document. You have to make sure that employees understand that document. Regular safety training shows that you care about employees and reduces your risk.
Employees are less likely to get injured. They’re also more engaged in the business.
4. Clean the Shop
Slips and falls are the most common injuries for your employees and customers. Be sure to clean not just the garage, but the waiting area as well.
Remove clutter from the waiting room to reduce the risk of injury. Clean up spills as soon as they happen and caution everyone about the floor condition.
5. Install Cameras
Security cameras protect your property and your customers’ cars. There’s a chance that people will try to break into your shop for parts and vehicles.
Reduce that risk with a surveillance system.
Tips on How to Manage Risk
One of the most important things to learn as an auto repair shop owner is how to manage risk. It’s essential that you have good insurance coverage and train your employees on worker safety.
These are just some of the auto shop risk management strategies that you can employ. You’ll feel better about your business knowing that you covered your bases.
Looking for more ways to create systems in your business? Check out the forms and templates on this site for everything you need to run your business.
