What is General Liability Insurance?
General liability insurance is a policy that protects your business from normal accidents. Therefore, it should be a coverage held by all businesses and contractors. The consequences of not getting general liability insurance for your business could cost you a lot of money. A single claim, say an injury on your property, could bankrupt your company. So the risk isn’t worth the money saved from getting cheap general liability insurance. You simply need general liability insurance to ensure your business stays afloat.
How Much Does Commercial General Liability Insurance Cost?
For how much commercial general liability insurance covers, it is a low-cost insurance protection. However, most business owners overestimate the cost of general liability, assuming it would cost a lot to insure a business. But pricing can vary depending on the coverage and amounts desired so be sure to request a free quote to see how much it would cost your business and its specific needs.
What Could It Cover?
General liability insurance could provide coverage for bodily injury, property damage, product liability, personal and advertising injury, medical payments, and legal fees. For example, to better understand general liability insurance and its importance, take a look at common incidents it covers:
- A person slips in your place of business and rolls their ankle.
- While working on a client’s roof, the ladder falls down and lands on their brand new car.
- When mowing the lawn, you hit a rock and it breaks a window.
- A customer at your restaurant complains that your food made them sick.
- As a salon, you sell homemade products to clients. One customer has an allergic reaction to a product.
Advertising and Personal Injury
- One of your employees writes something demeaning about a customer or competitor online. They sue the business for slander.
- In an advertisement, you use an image found online that belongs to someone else. They sue you for copyright infringement.
With all of these examples, general liability insurance would have paid for the incidents.
Who Needs General Liability Insurance?
The consequences of not having general liability to protect your business, make this coverage a requirement. Therefore, every business, even if you are a one person business, should have general liability coverage. So, it is extremely necessary for anyone who:
- Owns property.
- Rents property.
- Works on or near other people’s property (e.g. construction, landscape, etc).
- Cooks or prepares food.
- Sells products.
- Employs people who are prone to gossip.
- Does a lot of advertising.