From workers\u2019 compensation insurance to commercial property insurance, business owners must have several types of insurance to cover themselves and their companies. General liability insurance is one type of coverage that doesn\u2019t get talked about as much. So, what is general liability insurance? Keep reading to find out everything you need to know.<\/p>\n\n\n\n
Also known as business liability insurance or commercial general liability insurance, this type of policy helps protect your business from claims involving property damage or bodily injury. If an accident occurs on your property, someone can take you to court, or you can be held accountable for any damages or medical bills. So, as the name suggests, general liability insurance ensures you\u2019re not liable<\/em> for the costs.<\/p>\n\n\n\n Instead of footing the entire bill themselves or risk being sued by a patron, business owners can simply file a general liability claim with their insurance company to have them cover the costs. Keep in mind that your monthly insurance premium will likely go up after you file a claim, but that\u2019s better than paying out of pocket.<\/p>\n\n\n\n Now that we\u2019ve covered the general liability insurance definition, let\u2019s dig in a bit deeper and go over events that can be covered under a general liability insurance policy. These are the broad categories that a general liability insurance policy will cover:<\/p>\n\n\n\n Clearly, it\u2019s important to know what general liability insurance is, but it\u2019s also crucial to understand scenarios that aren\u2019t<\/em> covered by a general liability insurance policy. These situations must be covered by a different type of insurance plan:<\/p>\n\n\n\n Unlike some other types of insurance, general liability insurance isn\u2019t required by law. But when you consider the potential risks of not getting general liability insurance, signing up for a policy is a no-brainer.<\/p>\n\n\n\n If your business has a physical location and if you work directly with customers in that location, you certainly need to have a general liability insurance policy. For example, the last thing you want is for one of your customers to sue you after they slip and fall in your store. In some cases, a single lawsuit can be sufficient to destroy a business\u2014this isn\u2019t a risk you want to take.<\/p>\n\n\n\n Additionally, while running advertisements is a fantastic way to generate new business, you need to be careful to avoid finding yourself in the middle of a lawsuit as the result of an advertising error. It\u2019s all too easy for someone to file a lawsuit against a business for libel, slander, or false advertising. There\u2019s no guarantee that you\u2019d lose your case and be ordered to pay the plaintiff, but a general liability insurance policy is your best protection from any defamation lawsuit.<\/p>\n\n\n\n All businesses are different, and while some companies are fine carrying a standard general liability insurance policy, others will need to expand their coverage. Here are some common instances where business owners should consider paying for a more extensive insurance plan:<\/p>\n\n\n\n The good news for anyone worried about the cost of general liability insurance is that the average plan only costs about $40 per month. That said, here are a few factors that can affect how much you pay each month for your general liability insurance:<\/p>\n\n\n\n<\/span>What does general liability insurance cover?<\/strong><\/span><\/h2>\n\n\n\n
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<\/span>What doesn\u2019t general liability insurance cover?<\/strong><\/span><\/h2>\n\n\n\n
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<\/span>Does my business need general liability insurance?<\/strong><\/span><\/h2>\n\n\n\n
<\/span>Is general liability insurance enough?<\/strong><\/span><\/h2>\n\n\n\n
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<\/span>How much does general liability insurance cost?<\/strong><\/span><\/h2>\n\n\n\n