The future of car repair businesses in the UK has been brought into question as data shows a steady slide in the number of these companies.
According to industry analyst Trend Tracker, the number of bodyshops in Britain has fallen by a third since 2004 – and this is expected to decrease by a further nine per cent by 2020. Who car insurance companies choose to give work to in a competitive market has been highlighted as a key factor in driving some companies out of business.
For car garages and repair centres, one way they can protect themselves and prevent the risk of having to shut up shop is to get a comprehensive and high quality combined motor trade insurance policy. If the policy includes road risks insurance, building insurance, employer's and public liability cover and protection for all stock held on site then it prevents the chances of the business being hit by an unmanageable fee in the case that business property is stolen or damaged, or an individual is injured or suffers a fatality.
Trend Tracker's research suggests that with profit margins diminishing there could be as few as 3,000 accident repair centres left in the UK by 2020. However, it is also predicted that there will be an increase in car accident repairs, from 4.2 million this year to 4.3 million in 2020, which means the repair market worth is set to rise five per cent to almost £5 billion.