Commercial general liability insurance can help protect you and your business against many common lawsuits. General liability insurance is the most popular option for many businesses due to the broad spectrum of coverage. Similar to other liability insurance, commercial general liability coverage protects your business from many common claims that many small businesses can face.
What does general liability insurance protect against?
Commercial liability coverage protects your organization against four basic claim categories:
? general liability insurance Bodily injury: In case a customer or other party is suffering from bodily injury caused directly or indirectly by your business, this insurance will help cover medical expenses and other damages brought about by case.
? Property damage: In the event that you or your employees damage a person’s property (e.g., cars, homes, land, along with other property of relative value), you will be held responsible for the price. General liability insurance provides the type and the amount of coverage you need.
? Personal injury: Personal injury encompasses slander, libel, lost wages, mental anguish, and other claims that do not are categorized as bodily injury.
? Advertising injury: This is similar to personal injury in that it really is as a result of slander, libel, or copyright infringement, but advertising injury involves another business rather than an individual.
Why do you need general liability coverage?
General liability insurance protects your organization. Even if you think your business is too small or you’re certain you won’t cause the damages or injury in the above list, you should still be covered. In that litigious environment, you should be protected against frivolous lawsuits.
Some people see an opportunity to take advantage of unsuspecting small business owners who may not be covered against a claim. For instance, imagine that you run a commercial cleaning business and you do most of your projects after business hours once the office buildings are empty. You may consider yourself at low-risk and do not see the necessity of experiencing commercial general liability insurance as you rarely, if ever, connect to your customers. But what if one of your employees damages expensive computer equipment by accidentally spilling cleaning fluid onto it? You would be liable for the damages.
Remember that you can never be completely in charge of every situation. Accidents happen. You can find always unforeseen problems that could result in case, including bogus claims. Your commercial general liability insurance might help cover those claims. If you don’t have many assets (as well as if you do), your company could be completely destroyed by one claim against your business.
How much commercial liability coverage does your business need?
The amount of coverage will depend on your specific needs. You may only need a little bit of commercial liability insurance to cover the expense of potential claims brought against you. You should keep in mind that the price of claims today has increased and people would like larger amounts for damages, making the proper amount of coverage critical to protect your business interests. Consult with a trusted insurance professional who has your best interests in mind and will provide recommendations for acquiring the perfect coverage for your business.