Many proprietors of smaller enterprises also take the precaution of purchasing general liability insurance. Business owners can safeguard themselves against legal action by purchasing commercial general liability insurance. General liability insurance prices often cover not just injuries but also property damage, personal harm, advertising injury, and medical bills, however this varies by provider. If your manufactured goods or rented property sustain damage, GLI may pay for the repairs.
The cost of defending yourself in court can rapidly build up, even if it turns out that you were not at blame for the occurrence in question. In most cases, general liability insurance will pay for legal fees, judgements, and settlements associated with insured claims.
Third-party bodily injury
General liability insurance can help with medical costs if a client is injured on your premises. If a client is injured and decides to sue, the insurance will pay their legal fees.
Suppose a customer falls over a carpenter’s toolbox and fractures their leg. Customers often resort to legal action when medical costs exceed their budgets. The cost of treatment, including visits to the ER, may be covered by your insurer.
Even if the client declines your aid but decides to sue you nonetheless, your policy should help pay for the costs associated with the case.
Stores are not immune to theft, vandalism, or client injury. Any company involved in the production, distribution, or retail sale of goods runs the risk of being sued by victims of injuries caused by those goods. Legal fees are covered by the company’s general liability insurance, which includes product liability coverage.
Loss or deterioration of another’s property
If you cause damage to someone else’s property, your general liability insurance will pay for the repairs. In the finest policies, both major and minor accidents are covered. For Instances
Landscaping: The grass you were about to mow had a little rock in it, but you overlooked it before you started. When your mower runs over the rock, it launches into the air and smashes through a huge pane of glass. The consumer demands that you cover the price of replacement.
What Commercial Liability Insurance Doesn’t Cover
- Acquired diseases and injuries on the job. To cover employee injuries, you must have workers’ compensation insurance.
- Automobile mishaps. If you own a vehicle and use it for business purposes, you should purchase commercial auto insurance to protect yourself financially in the event of an accident. When driving a personal vehicle or a leased vehicle for business purposes, it is important to have hired or non-owned auto insurance.
- Errors in the workplace. Professional liability insurance is another name for an errors and omissions coverage.
- Your company’s property has been broken into or stolen from. Theft or damage to your company’s equipment or property is not covered by general liability insurance.
- Intentional acts, such as throwing a computer out the window, are not covered by insurance. Moreover, intentional misconduct or illegality on your part or that of your workers will not be covered by general liability insurance.