§ 2-262 — Service Dealer Insurance Coverage

§ 2-262 Service Dealer Insurance Coverage.

(a) A service dealer must at all times carry insurance which, in the opinion of the Commissioner, is adequate to protect the public. Sufficient coverage must include protection against liability for damage done to the customer’s property and against loss by fire and theft of the average number of articles entrusted to the service dealer or their agents or left by customers at any one time with the service dealer for service. Where special circumstances make it difficult or impossible to obtain the required insurance, an application may be made to the Commissioner for approval of a substitute means of coverage. (b) A certificate of insurance, in which the insurance company undertakes to notify the Department of Consumer and Worker Protection as an interested party, must accompany every application by a service dealer for a license. Where a service dealer’s insurance coverage is suspended or revoked for any reason, the applicable insurance carrier must promptly notify this Department of the extent and terms of the suspension or revocation. (c) A service dealer must notify this Department within five working days of damage to, theft or loss of customers’ property which is in excess of 10 per cent of the average number of articles entrusted to the service dealer or their agents or left by customers at any one time with the service dealer for service. (d) Failure to maintain such insurance at all times shall be considered grounds for the suspension or revocation of a license issued to a service dealer pursuant to Subchapter 24 of Chapter 2 of Title 20 of the Administrative Code. (Amended City Record 8/6/2026, eff. 9/8/2026)