As a business owner, you understand the importance of protecting your company from financial losses. One way to do this is by obtaining commercial liability insurance, or general liability. But what exactly is commercial liability insurance and why is it so important for your business?
In short, commercial general liability insurance is a type of insurance that provides protection for businesses against financial losses resulting from claims of negligence, errors and omissions, or other types of liability. This coverage can help protect a business from the costs associated with lawsuits, settlements, and judgments that may arise from claims made by customers, clients, or other third parties.
For example, imagine that a customer slips and falls in your store. They may decide to file a lawsuit against your business, claiming that your negligence led to their injury. Without commercial general liability insurance, you would be responsible for covering the costs of the lawsuit and any settlement or judgment that may come as a result. However, with commercial general liability insurance, your insurance company would step in to cover these costs, helping to protect your business’s financial assets.
Another example is if your company is providing a service, and due to an error or omission, the service causes a loss or damage to your client, they can hold you liable, and commercial general liability insurance may cover the costs of legal defense, settlements and judgments.
The costs of legal defense can include the costs of hiring an attorney, as well as any court fees and other expenses associated with a legal case.
Overall, commercial general liability insurance is an important investment for any business. It can help protect your company’s financial assets and ensure that you are able to continue operating in the event of a liability claim. So if you haven’t already, it’s time to consider obtaining commercial liability insurance for your business.
DISCLAIMER: Informational statements regarding insurance coverage are for general description purposes only. These statements do not amend, modify or supplement any insurance policy. Read your policy or consult with your agent for details. Your eligibility for particular products and services is subject to final underwriting and acceptance by the insurance company providing such products or services.
This website does not make any representations that coverage does or does not exist for any particular claim or loss, or type of claim or loss, under any policy. Be sure to read the policy, including all endorsements, or prospectus, if applicable.