Dealership insurance designed for your motorcycle or powersport business

Our dealership insurance is here to help with the unique risks that come with selling, leasing, and maintaining motorcycles and powersport vehicles for your customers.

Why motorcycle and powersport dealers trust us

We have more than 100 years of experience creating custom-built dealer insurance solutions for motorcycle and powersport dealers.

Through our experience working with both franchise and independent dealerships, we understand the risks you’re exposed to on a daily basis.

So, whether your dealership sells new or used motorcycles or powersport vehicles such as ATVs and UTVs, take advantage of our industry expertise to get tailored dealer insurance designed specifically for your business.

At Federated Insurance, we provide:

  • Dealership insurance solutions designed for motorcycle and powersport businesses
  • Dedicated advisors who work with you to tailor your motorcycle dealer insurance or powersport dealer insurance to your exact needs
  • Expanded coverage options
  • Flexible payment and deductible options
  • Quick, no-hassle renewals

Common risks that motorcycle and powersport dealers face

Whether you participate in tradeshows and events, work on customers’ vehicles in your shop, or allow customers to take vehicles out for test drives, finding the right insurance for your motorcycle or powersport dealership can help protect your inventory, your employees, and your business in the event of financial loss. A few of the common risks that motorcycle and powersport dealerships can face include:

Inventory damage and loss

Motorcycle and powersport dealers often carry expensive inventory, which is sometimes accessible from public roads or property. This can make dealerships an attractive target for potential thieves and vandals. At the same time, high-value inventory inside the showroom and on the lot could be stored close together, making it vulnerable to fire and natural disasters. As dealers know all too well, even a small scratch on a brand-new vehicle can result in losses.

Liability risks

With a motorcycle or powersport dealership, several functions may exist on the same site, including new and used motorcycle or powersport sales, vehicle servicing, and purchase financing. Customers could be injured in a showroom, on the lot, or in the service area of the dealership, while third-party bodily injury and/or property damage could occur if a vehicle is involved in an accident during a test drive.

Environmental risks

Dealership staff may work with and dispose of hazardous substances such as used motor oil, lubricants, coolants, and tires. Spills or incorrect disposal could lead to expensive cleanup costs and/or environmental remediation.

Cyber attacks

Dealerships often store sensitive information such as customers’ credit card numbers. At the same time, IT systems are essential in keeping track of inventory and sales. If a dealer is unable to access this data for more than a few hours, it could result in financial consequences.

Insurance coverages for your motorcycle or powersport dealership

Protecting your dealership may require several different types of coverages. In addition to providing you with coverage for liability, property, and employees, our toolbox is filled with coverages designed specifically for your dealership to ensure that you’re properly protected:

Mechanic’s Warranty of Work:

We’ll cover corrections for mistakes made through the installation of a defective part or as a result of faulty work on customers’ vehicles.

Up to 100% of Retail Charges on Repairs:

When asked to use your own facilities to repair damaged vehicles, you’ll receive up to 100% of normal retail charges for such repairs.

Odometer:

We’ll protect you against odometer tampering.

False Pretense:

We’ll protect you against the loss of vehicles due to tricks or schemes.

New Vechicle Sales Protection:

We provide insurance coverage for claims from customers dissatisfied with a vehicle they purchased from you.

Customers’ Vehicles:

We offer liability and physical damage protection for customers’ vehicles when they are in your possession, on your property, or on a test drive.

Improvements to ‘Floor Plan’ vehicles:

We’ll protect enhancements (additional parts and accessories) you add to floor-planned vehicles, if not covered by the floor plan insurance program.

Business Interruption:

Our business interruption insurance can help protect your business from a loss of income.

Crime:

We offer insurance coverage to help protect you from employee dishonesty, credit card forgery, and other types of theft.

Cyber:

We’ll help to keep your business safe with costs coverage for data recovery, customer breach communications, and e-commerce threats.

Company Vehicles:

We’ll ensure you have the right coverage for all of your company vehicles, whether you have just one or a whole fleet.

Pollution:

We can help protect you from environmental damages and costly expenses.

Personal:

Whether you own a house, cottage, car, boat, or RV, we can help you build a complete insurance package that protects your business, your employees and your family.

We’re your dealership industry experts

Our dealer insurance expertise in the motorcycle and powersport industries is defined by our relationships with the leading dealer industry associations such as the Recreational Vehicle Dealers Association (RVDA), the Motorcycle and Moped Industry Council (MMIC), Power Sports Services (PSS), and more.

Work with us directly for tailored dealership insurance coverage

Whatever your needs, our team of industry-trained experts will ensure that your dealership is properly protected.

We take the time to understand your business today and in the future, so that as your business evolves, we’ll be there to ensure that your coverage is aligned to meet the needs of your operations.

Value-added services for your motorcycle or powersport dealership

Once you become a customer, you’ll have access to an array of value-added services for your small business, including:

Superior claims handling

Our claims professionals are skilled in handling claims in the motorcycle and powersport dealer industries. They’re available 24/7 to resolve your claim and get your dealership back up and running as quickly as possible.

Dedicated advisors

Our commercial insurance specialists have the expert knowledge and experience required to develop tailored insurance programs to fit the unique needs of your motorcycle or powersport dealership, while also providing expert advice and support along the way.

Loss prevention expertise

Our highly-trained loss prevention consultants can answer your questions and provide you and your employees with valuable safety advice.

Safety programs

Our tools can help you create, implement, and maintain safety programs, with a focus on identifying, communicating, and mitigating risks.

Trauma assistance

Our confidential one-on-one counselling services can help you through traumatic loss.