As a business owner, it's important to make sure that you have the right insurance coverage in place.
This article will provide an overview of commercial general liability insurance and what you need to know about it. We'll look at the different types of coverage available, as well as the benefits of having this type of insurance in place.
What is commercial general liability insurance?
Commercial General Liability Insurance, also known as CGL, is insurance that businesses purchase to protect themselves from liability claims for bodily injury and property damage. CGL policies cover damages that occur as a result of the business' operations, products, or services. In the event that a customer or third party sues the business for damages, the CGL policy will pay for the legal costs associated with defending the lawsuit.
Who needs commercial general liability insurance?
Commercial general liability insurance is a must for any business, whether you’re a startup or an established company. This type of insurance protects your business from third-party claims of bodily injury, property damage, and personal injury, including slander and libel.
If you have customers or clients who come to your office or place of business, commercial general liability insurance can protect you if they are injured while on your premises. If you have employees, this type of insurance can protect you if they are injured while working for you. If you are sued for any reason, commercial general liability insurance can help cover the costs of your legal defense.
In short, commercial general liability insurance is a vital part of any business’s risk management strategy. If you don’t have this type of insurance, you could be putting your business at risk.
What does a commercial general liability policy cover?
A commercial general liability (CGL) insurance policy covers a business from financial losses arising from third-party claims of bodily injury, property damage, and personal/advertising injury. These claims can come from customers, vendors, or other individuals who do not work for the insured company.
CGL policies typically cover the cost of defending the business in court, as well as any settlements or judgments that may be awarded to the plaintiff.
What are the exclusions?
In order to understand what your commercial general liability insurance policy covers, it is important to know what is excluded. The most common exclusions are:
- Intentional acts
- Contractual liability
- Property damage
- Professional services
- Pollution
- Worker's compensation and employer's liability
If you have any questions about whether or not your specific situation is covered, be sure to contact your insurance agent or broker.
How to get commercial general liability coverage.
To get started, you'll need to find an insurance agent or broker who specializes in commercial general liability insurance. Once you've found someone who can help, be sure to ask about the following:
- The amount of coverage you need: Every business is different, so it's important to work with your agent or broker to determine the right amount of coverage for your business.
- The types of claims covered: Most commercial general liability policies cover a variety of claims, but there may be some that are excluded. Be sure to ask about any exclusions so you know what's covered and what's not.
- The cost of the policy: Premiums will vary depending on the size and type of your business, the amount of coverage you need, and the types of claims covered. Be sure to compare prices from a few different companies before choosing a policy.
Once you have all the information you need, you'll be ready to purchase a commercial general liability policy that fits your business' needs.