From Sublet Risks to Cybersecurity: Why Collision Repair Shops Need Smarter Insurance

The collision repair industry is evolving fast—with ADAS calibrations, connected vehicles, and increasing liability risks. But is your shop’s insurance coverage keeping pace?

In a must-listen episode of the ADAS Empowered Podcast, host Joel Adcock sits down with Nick Melon of RRM Insurance to tackle one of the industry’s most pressing issues: risk management and proper insurance coverage for collision repair and ADAS calibration shops.

Why Insurance Matters More Than Ever in Collision Repair

As ADAS technology becomes standard in modern vehicles, repair shops are facing new exposures that go far beyond dents and paint. Sublet calibrations, vendor partnerships, and cyber threats all introduce risks that could put a shop out of business if not properly covered.

Nick explains how liability always rolls back to the shop, even when work is subcontracted out. Without the right protections in place, a calibration error or a poorly vetted subcontractor could expose shops to lawsuits, third-party injury claims, and multimillion-dollar verdicts.

Key Takeaways from the Episode

Here’s what you’ll learn when you listen to this episode with Nick Melon:

• Subletting Risk – Why shops must carefully vet subcontractors for ADAS calibrations, glass, PDR, and more.
• Certificates of Insurance – How requiring proof of coverage (and additional insured status) protects your business.
• Coverage Gaps – Common exclusions in garage keepers and general liability policies that leave shops exposed.
• Cybersecurity Threats – How connected vehicles and shop networks create new risks—and why cyber liability insurance is essential.
• Specialized Expertise – Why working with an insurance agency that understands collision repair makes all the difference.

Nick also shares real-world examples of claims, including a case where a faulty fifth-wheel hitch installation led to massive liability exposure.

Why Work with an Industry-Specialized Agency Like RRM Insurance?

While many shop owners rely on local insurance agents, Nick points out that general commercial policies often miss key exposures in collision repair. RRM Insurance works exclusively in the automotive services space, offering:

• Access to specialized carriers and policies designed for repair shops
• Guidance on DRP compliance and risk transfer strategies
• Tools like employee handbook templates and subcontractor agreements
• Nationwide coverage and responsive customer service

As Nick explains: “If your agent doesn’t know what ADAS is, that’s a sign you need to work with someone who understands the industry.”

Listen to the Full Episode

If you’re a shop owner, technician, or industry partner, this episode is packed with actionable insights to safeguard your business, protect your customers, and stay ahead of emerging risks.

🎧 Listen now: https://podcast.revvhq.com/

🔗 Resources mentioned:

• RRM Insurance Website
• Contact Nick directly: nick@rrmins.com | (623) 777-4471