Auto Insurance for Dealers in Iowa

If you’re opening or operating a dealership in Iowa, you’ll need to meet the state’s requirements. These regulations are in place to protect your customers and your business. At a minimum, Iowa auto dealers must secure the following:

• Garage Liability Insurance – This core coverage protects auto dealers from third-party bodily injury and property damage claims related to dealership operations, such as test drives and on-lot incidents.
• Surety Bond – Iowa requires a $75,000 auto dealer surety bond. This bond acts as a financial commitment to complying with Iowa laws and ethical practices.

According to the Iowa Department of Transportation, the required liability coverage must include $100,000 for bodily injury per person, $300,000 per accident, and $50,000 for property damage. These limits are commonly combined by insurance carriers into a Combined Single Limit (CSL) of $350,000 for simplicity and broader protection.

Insured ASAP works with independent and used car dealerships across Iowa to help them meet state requirements quickly and affordably. Whether you’re applying for your first license or renewing, we can help you get the coverage and proof of insurance you need.

Who Needs Auto Dealer Insurance in Iowa?

Insured ASAP helps a wide range of vehicle-related businesses across Iowa stay compliant and protected, including:

• Used car dealers
• Auto repair shops
• Motorcycle dealers
• Car detailers
• RV or trailer sales
• Tire shops
• Towing operations

If your business involves selling, servicing, or storing vehicles, you need a dealer insurance policy that meets Iowa’s requirements and shields your operation from costly risks.

Garage Liability vs Garage Keeper Liability

If your dealership services or stores customer vehicles, you may be required to carry garage keeper liability insurance in addition to garage liability. Garage keeper liability insurance protects customer vehicles in your care from covered damages such as theft, vandalism, fire, or collision.

This coverage is essential for:

• Dealerships with service bays or repair operations
• Dealerships that offer detailing, tire changes, or inspections
• Lots that store customer vehicles

At Insured ASAP, we help Iowa dealers find the right balance of garage liability and garagekeepers liability to ensure full protection, without overpaying.

Optional Coverages for Iowa Dealers

Your business is unique, and your insurance policy should reflect that. Optional coverages help you customize your policy for maximum protection:

• Dealer Open Lot Insurance – Protects your dealership’s inventory from physical damage
• Garagekeepers’ Liability – Covers non-owned vehicles left in your care
• Business Auto Coverage – Covers service vehicles or loaners
• False Pretense Insurance – Protects against fraud-related losses
• Errors & Omissions Coverage – Protects against title paperwork errors
• Business Interruption Insurance – Replaces income during covered closures
• Commercial Property & Contents Coverage – Protects buildings, signage, and equipment

Used Car Dealers Insurance in Iowa

Insured ASAP specializes in used car dealer insurance in Iowa. Used car dealers face different risks than franchised new vehicle operations. From customer test drives to higher inventory turnover, your coverage needs to reflect your business model.

Typical coverages include:

• Garage liability insurance
• Dealer plate insurance
• Surety bonds
• Inventory protection (Dealer Open Lot coverage)
• Commercial property insurance
• Workers’ compensation

We also include Garagekeepers Liability when relevant, such as if your business offers service, repair, or customer vehicle storage. Whether you operate from a small indoor showroom or a sprawling open lot, we make sure your insurance policy matches your needs and your budget.

Why Choose Insured ASAP for Auto Insurance Dealers in Iowa?

At Insured ASAP, we specialize in auto dealer insurance for small and independent dealerships throughout Iowa. Our team understands the unique risks dealers face—and how to cover them without wasting money on extras you don’t need.

• Multiple Carrier Quotes: We compare rates from leading carriers to find you the best deal.
• Fast Proof of Coverage: Get same-day certificates and bond confirmation.
• Customized Policies: Every quote is tailored to your business’s size, services, and operations.
• Support for Upstarts: We help new and growing dealerships get insured quickly and easily.

When you work with Insured ASAP, expect quality coverage options at the lowest possible rates.

Get an Auto Dealers Insurance Quote in Seconds

Getting affordable auto dealer insurance in Iowa is quick and easy with Insured ASAP. Whether you need basic garage liability, Iowa garage keeper liability, or full coverage with dealer bonds and inventory protection, we’ll help you meet state requirements and protect your business.

Call us today at (800) 641-7488 or click here to start your quote today. Get the coverage you need in moments so you can return to running your dealership.