What Is General Liability Insurance?
General liability insurance is also commonly known as business liability insurance or commercial general liability insurance. It is one of the most common types of insurance purchased by small business owners and self-employed professionals as it can help to protect businesses from a variety of claims including third-party property damage and bodily injuries that arise during business operations. Without coverage, you may be expected to pay for damages and cover the costs of claims out of pocket.
General liability insurance from PolicySweet® is included in our Business Owners Policy (BOP) and HomeHQSM coverage. A Business Owners Policy from PolicySweet combines general liability, property insurance, and cyber insurance into one policy to help protect your business from multiple risks. HomeHQ is for businesses that operate from a residential space like a home or an apartment.
What Does General Liability Cover?
General liability insurance can help cover claims that your business caused, such as:
- Accusations of libel or slander
- Advertising injuries
- Reputational harm
- Third-party bodily injuries
- Third-party property damage
If your company is at fault, it could cover medical expenses associated with bodily injury. Legal defense costs like attorney fees and settlements could also be covered by general liability insurance.
What Does It Not Cover?
General liability insurance only covers third-party bodily injury claims. So, you may be wondering how to protect your employees if they become injured while on the job.
Workers’ Compensation coverage could help pay for medical expenses and ongoing care costs for work-relate injuries and illnesses
sustained by employees. It is also legally required for businesses in many states with more than one employee.
Learn more about Workers’ Compensation >
General liability helps to protect third-party property damage so you may also be wondering how to protect your business property from damage. A commercial property insurance policy could help to protect owned or rented business equipment.
Property insurance and general liability insurance are two types of insurance that are part of a Business Owners Policy (BOP). A BOP from PolicySweet also includes cyber insurance. Learn more about BOP coverage >
How Do I Get A General Liability Policy?
We make it short and SWEET to get a policy through our instant quote tool. Follow the steps below to request a free no-obligation custom quote for BOP coverage for your business. BOP coverage combines general liability, property, and cyber insurance into one policy to help save you time and money from purchasing each policy separately. You can receive a quote for BOP coverage today and be insured as soon as tomorrow!
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Why Does Your Small Business Need General Liability Insurance?
There are several reasons why you should consider general liability insurance coverage, such as:
- If you or your employees interact with customers face to face
- If you or your employees work with another person’s property
- If you or your employees visit or use third-party locations for business related activities
- If you advertise or market your company
As a business owner, you may be legally responsible if a person is injured while visiting your business or their property is damaged while in the possession of your company. General liability coverage is one of the most affordable ways to help protect your business. Without it, your business may be expected to pay out of pocket for claims for expenses related to repairing or replacing third-party property, medical costs from third-party injuries, or expenses from advertising injuries.
Client contracts may also require you to show proof of general liability insurance before conducting business with your company. If a potential client has a choice between a business that is insured and one that is not, they may choose to work with the business that is insured.
It can even be required if you rent or own an office or commercial space. Having general liability insurance may give you and your clients peace of mind, knowing that your business could be covered in the event of an unfortunate situation. Instead of worrying about what could happen, you can concentrate on growing your business.
Why Does Your Small Business Need General Liability Insurance?
Almost every business has a need for general liability coverage. It could protect your business from unexpected expenses related to common incidents that may lead to lawsuits. General liability insurance can help with investigating and defending claims, along with paying for damages no matter what industry your business is in. Some businesses that use general liability insurance are cleaning companies, food services, landscaping businesses, offices, personal services and care, and retail companies.
Still not sure if general liability insurance is right for you? Feel free to contact us to answer any insurance questions you may have.
How Much Does General Liability Insurance Cost?
The cost of general liability insurance is different for every business. There are several factors that contribute to determining the cost of general liability insurance. Some factors that influence the rate of insurance for your business include:
- The industry of your business
- Years of experience
- Location of business
- Size of business
- Building condition
- Insurance claims history
The amount of coverage and limits you choose can also affect the cost of your insurance policy. The higher the total coverage limit, the higher the cost your insurance policy could be. One of the best ways to determine what the specific cost of insurance will be for your business is to get a quote.
