General liability insurance, or Commercial General Liability (CGL) protects your business from another person or business’s claims of bodily injury, associated medical costs, damage to others’ property, and lawsuits involving libel, slander or copyright infringement.
We all know ambulance rides and emergency room visits can cost a fortune. Immediate medical expenses such as these are covered when an accident happens. And if a claim results in a lawsuit, your policy can help cover the cost of hiring a lawyer to negotiate and settle the case or take it to trial.
You need General Liability insurance coverage if:
A subcontractor trips over a power chord,even after you warned him, and he falls down a flight of stairs. A CGL will cover the claim and related medical expenses.
While at an open house, a potential buyer knocks over a valuable sculpture and it falls and breaks into pieces. A CGL will pay for the replacement cost.
Libel, Slander, and Defamation
An email you wrote about a competitor's work is somehow uncovered and makes it onto the internet. The competitor sues you for libel. A CGL will cover the defense costs.
General Liability Covers You For:
Someone could file a claim against you alleging that a product you made or sold is defective and caused injury or damaged property. Most General Liability policies automatically include Products Liability coverage for your protection unless it's specifically excluded.
Here are some details you can prepare ahead of time to get you the quote you need:
A waiver of subrogation is when you agree that you and your insurance company will not seek to recover all or part of any damages paid. You may need to pay an additional premium since more risk is being taken on by the carrier. You will need to waive your right to subrogation in writing and prior to any loss.
Things to think about when comparing various general liability insurance plans:
All of these questions and more will play a vital role in ensuring that your general liability business insurance plan will fit your needs if and when an accident occurs.
General Liability Insurance won't protect you from everything. Some things general liability does not cover: