The Dealer and Agent determine the dealer’s average monthly inventory amount. Inventory includes vehicles held for sale or on consignment; demonstrators, shop vehicles (parts trucks, courtesy vans, etc.) and any other dealership owned motor vehicles which are not insured under a floor plan insurance policy. The average monthly inventory limit will become the limit of insurance for comprehensive and collision coverage. There are separate limits for comprehensive loss due to flood or earthquake.
The policy features a unique “Margin Clause.” The terms provide a maximum of 125% of the limit of insurance, provided that the monthly limit on the policy is a true reflection of the dealer’s actual values and can be substantiated by the dealer’s books.
Sometimes collision losses impact more than one dealership vehicle at a time. For example, a motorist loses control of his vehicle in front of a dealership and collides with four or five dealership vehicles. Having an aggregate deductible will limit the amount a dealer must pay in out of pocket deductible expense for the loss.
The Risk Point DOL Program provides collision coverage with no mileage restrictions. A vehicle is covered as long as it is in the coverage territory which is the United States, its territories and possessions.
The standard maximum limit for a single vehicle on the policy is $250,000. We can provide a higher limit when satisfactory underwriting information is received (an additional charge is applicable in most cases).