Is Business Liability Coverage something I need?
Many people ask us all the time, “What is Business Liability Coverage”? In this litigious society your business faces liabilities everyday. The best way to protect your assets is to carry adequate liability insurance. A Commercial General Liability Policy (CGL) is really your first line of defense. The General Liability Insurance package covers claims of bodily injury or other physical injury or property damage. Often times this policy is offered in a package with Property insurance to protect your business against incidents that may occur on your premises or at other covered property locations where you normally conduct business. Commercial General Liability enables your business to continue operations while it faces real or fraudulent claims of certain types of negligence or wrongdoing.
Commercial General Liability –is one basic form of Business Insurance
Commercial General Liability policies usually cover claims in four basic areas of business liability:
- Advertising Injury
- Bodily Injury
- Personal Injury (which can include both libel and slander)
- Property Damage
Commercial General Liability Insurance policies can also cover the cost to defend or settle claims – even if they are fraudulent ones.
Business Liability insurance protects your business against financial loss resulting from claims of injury or damage caused to others by you or your employees. It is dependent on the state what coverages are included.
- Personal and Advertising Injury. Covers you for certain offenses you or your employees commit in the course of your business, such as libel, slander, disparagement, or copyright infringement in your advertisements.
- Employment Practices Liability. Covers claims, including legal defense costs, for certain employment-related lawsuits brought against you by your employees or job applicants.
- Defense Costs. Pays legal expenses for certain liability claims brought against your business regardless of who’s at fault.
- Medical Expenses Pays the applicable medical costs if someone is injured and needs medical treatment due to an accident on your premises.
- Premises and Operations Liability. Provides coverage for bodily injury and property damage sustained by others at your premises or as a result of your business’ operations. Tenant’s Liability. Protects your business against claims of damage due to fire or other covered losses caused by you to premises that you rent.
The points above are reflective of some policies. You really need to review your policy to determine if there are any exclusions, limitations or any other terms or conditions that can effect your coverage.
Why Do I Need Business Liability / Commercial General Liability Insurance?
Business Liability Insurance Keeps You In Business.
Every business benefits from adequate Commercial General Liability coverage. CGL insurance protects you if a customer is injured at your place of business. It would also cover damage or injuries caused by your employees at a client’s site.
Commercial General Liability protects businesses against these types of claims. Even if your company is negligent or liable for damage, injury or loss to another’s property, reputation or health, your business can keep its assets if it is adequately insured.
Commercial General Liability Only Protects Against Some Business Liabilities.
Even as a BOP (Business Owner’s Package), where CGL insurance is combined with Property insurance at very reasonable rates, General Liability insurance does not protect your business against every liability. If you or your employees make professional judgments and recommendations in the course of your business, ask your agent or broker about a Professional Liability policy in addition to a CGL policy.
Professional Liability insurance (also known as Errors and Omissions, or E&O coverage) is a separate type of insurance that protects your business against loss from a claim of alleged negligent acts, errors or omissions in the performance of your professional services. Professional Liability insurance is another important type of coverage to protect your business from potentially catastrophic claims.
“In Business to Protect Your Busines”