If you are a business owner, either small or large, you are at risk. In general, we live in a very litigious world. People are often quick to file a lawsuit against others if there is potential for financial gain. If you are a business owner, you are at a higher risk than the average citizen. Whether it’s a frivolous lawsuit or an action against you that you are responsible for, you must protect yourself. You must also protect your investment in your business. You can do both by purchasing commercial general liability insurance.
The very best way to protect yourself against legal claims is a commercial general liability policy. The CGL is a policy that protects you from claims made against you. It does not protect your personal business property. There is a significant distinction so please don’t be confused. CGL covers you against claims made by others for their own injury that is traced back to your business. With the CGL you are protected not only at your place of business but also at places that you typically conduct business.
Commercial general liability insurance or CGL is commonly paired with property insurance in a packaged policy but don’t be confused. CGL does not cover your property. It covers the property of others when in your place of business, bodily injury, personal injury and a liability called advertising injury. Therefore, if someone’s body or things are injured and the injury can be traced to your business, you are covered. If someone is slandered, libeled or personally injured as a result of your business or its employees, you’re covered. If you are found responsible for copyright infringement or you have inadvertently disparaged someone in the course of your advertising, you are covered.
In summary, the following coverages are included in a commercial general liability insurance policy:
1. Injuries as a result of advertising practices 2. Slander, libel or other personal injury claims 3. Damage to the property of others 4. Physical damage to the bodies of others
A very nice feature that is included in the commercial general liability insurance policy is the cost of legal defense. Whether a claim is real or fraudulent, the typical CGL policy covers the cost of legal defense. This fact brings most business owners a great sense of relief since just one small incident can result in extremely large legal expenses.
When evaluating your insurance needs it is very important to speak to a qualified professional. Always consult with a licensed insurance agent or broker who has an excellent reputation. Finding the correct policy with appropriate limits can make or break your business so be sure to work with someone you trust when choosing your policy.
Get a free commercial general liability insurance quote online to get the basic coverage your company requires. With a business product liability insurance policy, you receive specialized coverage if you sell, make or distribute consumer products.
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