Zurich hosted a panel on Feb. 2 at the NADA Show 2024 Live Stage with dealership leaders to discuss the risks facing dealerships and strategies for prevention.

“We’re getting out of the pandemic and getting used to a new normal,” said Marie Knight, head of direct market strategic services at Zurich North America. “I believe it’s made dealers more adaptable than ever before and able to face the challenges and create business resilience.”

Phil Rosu, head of sales for direct markets at Zurich North America, listed some top risks facing dealers today: employee retention, fire loss, climate-related losses, cyber security vulnerabilities and EV battery storage.

“We are constantly in conversation with our dealers on how to navigate risks,” he said.

Oliver Brodlieb, owner of East Hills Auto Group in Greenvale, N.Y., added to the list of risks and challenges facing dealers: high interest rates, direct sales companies and the technician shortage.

“Every year, there is something that keeps us up at night,” Brodlieb said. “As dealers, we are adaptable and we handle it.”

Rob Smith, president of Fitzgerald Automall in Rockville, Md., has adapted to the technician shortage by creating an early pipeline of talent. His dealerships partner with local organizations and community colleges to give students tours of the stores.

“We need to make sure young people know that there are opportunities they might not find out about in a classroom,” Smith said.

The fire risks of new vehicles, especially those with electric batteries, and cyber security threats were two other concerns the panelists raised. Both require consistent and thorough staff training, which Zurich has helped the panelists accomplish, they said.

Zurich is an NADA Show Live Stage sponsor.