What is General Liability Insurance?
General Liability Insurance is a fundamental business insurance policy that protects your company from financial losses due to third-party claims of bodily injury, property damage, personal injury, and advertising injury. This coverage is essential for businesses of all sizes, providing a safety net against unexpected lawsuits and claims that could otherwise devastate your company financially.
This type of insurance covers legal defense costs, settlements, and judgments up to the policy limits, ensuring your business can continue operating even when faced with costly litigation.
Who Needs General Liability Insurance?
Virtually every business can benefit from General Liability Insurance, but it's especially critical for:
- Retail Stores: Protecting against customer slip-and-fall accidents and product liability claims
- Service Businesses: Coverage for property damage while working at client locations
- Contractors: Protection against third-party injury and property damage claims on job sites
- Restaurants: Coverage for food-related illnesses and customer injuries
- Office-Based Businesses: Protection against client injuries on your premises
- Landlords: Coverage for tenant and visitor injuries on rental properties
Many clients, property owners, and government contracts require proof of General Liability Insurance before doing business with you.
What Does General Liability Insurance Cover?
This comprehensive coverage typically includes:
- Bodily Injury: Medical expenses, legal fees, and settlements if someone is injured on your business premises or due to your business operations
- Property Damage: Costs to repair or replace third-party property damaged by your business activities
- Personal and Advertising Injury: Protection against claims of slander, libel, copyright infringement, or false advertising
- Medical Payments: Coverage for immediate medical expenses of injured parties, regardless of fault (typically up to $5,000)
- Legal Defense Costs: Attorney fees, court costs, and settlement expenses, even if the lawsuit is groundless
- Products and Completed Operations: Coverage for injuries or damages caused by products you sell or work you've completed