A standard commercial general liability policy is designed to cover businesses and other organizations against third party claims for bodily injury, property damage, and personal injury arising out of the insured’s premises, operations, products, and completed operations. Almost all businesses typically need a commercial general liability policy to protect the third parties that consume their products and services.
Liability policies come in all shapes and sizes and are not a one size fits all type of coverage. Liability coverage and rates typically depend on the size and class code of the business. For example, a small retail shop that sells souvenir is a much lower exposure than a large manufacturing operation that makes auto parts. For these reasons a liability policy will need to be tailored specifically to the type of business operations.
It is important to note that a general liability policy usually only covers bodily injury and property damage and does not include financial harm done to a third party. This coverage is typically picked up under a professional liability policy and is common among service related operations such as consultants, accountants, financial advisors, attorneys, insurance agents, and many other “professional” related services.
In addition, there can be many exclusions listed in a commercial general liability policy that will prevent coverage in certain claim scenarios. Several exclusions can be lifted by purchasing additional coverage at additional premium. It’s important to discuss your general liability coverage and exclusions with your agent to gain a better understanding of how your policy will respond in the event of an unforeseen claim.
If you are interested in obtaining commercial general liability coverage for your business or organization with one of our many reputable insurance carriers, our team of licensed and experienced agents will be happy to help you. Call us today toll free at 1-800-686-2147.