Commercial general liability insurance can help protect you as well as your business against many common lawsuits. General liability insurance is the most popular option for most businesses because of its broad spectrum of coverage. Much like other liability insurance, commercial general liability coverage protects your organization 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:
? Insurance for crafters : In case a customer or other party suffers from bodily injury caused directly or indirectly by your organization, this insurance will help cover medical expenses along with other damages brought about by a lawsuit.
? Property damage: If you or your employees damage someone’s property (e.g., cars, homes, land, and other property of relative value), you could be held responsible for the cost. General liability insurance supplies the type and the quantity of coverage you need.
? Personal injury: Personal injury encompasses slander, libel, lost wages, mental anguish, and other claims that do not fall under 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 instead of an individual.
Why do you need general liability coverage?
General liability insurance protects your business. Even if you think your organization is too small or you are certain you won’t cause any of the damages or injury listed above, you should still be covered. In that litigious environment, you have to be protected against frivolous lawsuits.
Some people see an opportunity to take advantage of unsuspecting small enterprises who is probably not covered against a claim. For example, imagine that you run a commercial cleaning business and you also do most of your work after business hours when the office buildings are empty. You may consider yourself at low-risk and do not see the necessity of having commercial general liability insurance as you rarely, if ever, connect to your customers. But imagine if one of your employees damages expensive computer equipment by accidentally spilling cleaning fluid on it? You would be liable for the damages.
Remember that it is possible to never be completely in control of every situation. Accidents happen. There are always unforeseen problems that could result in a lawsuit, including bogus claims. Your commercial general liability insurance might help cover those claims. Unless you have many assets (or even if you do), your company could be completely destroyed by one claim against your business.
How much commercial liability coverage does your organization need?
The amount of coverage will depend on your specific needs. You may only need a small amount of commercial liability insurance to cover the cost of potential claims brought against you. You should keep in mind that the expense of claims today has increased and folks are seeking larger amounts for damages, making the right amount of coverage critical to safeguard your business interests. Consult with a trusted insurance professional who has your very best interests in mind and can provide recommendations for obtaining the perfect coverage for the business.