As a business owner, you might not relish the prospect of dealing with business insurance. One coverage that you probably hear a lot about is general liability. Why do you need general liability insurance? Why is it such a big deal? We’re going to go over six reasons why your business may need general liability insurance.
Why do I need general liability for my business?
It’s always important to read your insurance policy so that you know what’s covered and what isn’t, but here are a few things that your general liability can do to protect your business.
1. General liability can help you cover bodily injury or property damage claims (premises and operations liability).
First of all, general liability is an essential coverage because it provides protection against claims of bodily injury and property damage caused by the operation of your business. It can help you cover damages as a result of bodily injury or property damage for which your business is found to be liable. These expenses can be very hefty, but general liability can help your business stay on its feet.
2. General liability provides coverage to help you defend or settle claims.
Even if the claim brought against your business has no real basis, it’s still expensive to get legal defense for your business. General liability coverage can help cover these expenses so you get the legal defense you need. It doesn’t even matter who was at fault – you can get help covering those legal expenses.
3. General liability can provide coverage for medical expenses.
Let’s say someone gets hurt on your premises. Maybe they wipe out and take a bad fall or something. General liability can help cover the injured person’s medical expenses. (Medical bills can get very expensive, you know.) Besides, you’d probably want the injured person to get the medical care they need, right? GL can help with that!
4. It can also provide protection against claims of personal/advertising injury.
Personal or advertising injury can help you out if you or a staff member is accused of…
- Copyright infringement.
You never know when one of these claims might pop up – it could come out of left field.
5. General liability can offer product liability coverage.
General liability can also help you cover claims of bodily injury and property damage that result from the use of your product. Of course, you hope that no one would ever get hurt from using your product, but with this coverage, you can protect your business against such claims. One again, you never know when this coverage could come in handy.
6. You can package it with other coverages.
You may be able to package your general liability coverage with other coverages, such as crime coverage. You could also consider a BOP (business owner’s policy) so you can get general liability and property coverage and business income insurance in one convenient policy – and possibly save some money.
How much general liability coverage do I need for my business?
Of course, it’s important to have adequate coverage for your business. Every business is unique, so the amount of coverage you’ll need depends on different factors. For example, the risk presented by your business can be a consideration, as can your state (some states are known for giving high damages as awards, so higher limits of liability might be required.) For coverage that goes above and beyond your underlying policy, you can consider commercial umbrella insurance.
A few other tips to protect your business.
In addition to having a robust general liability policy, it’s also important to lower your risks. Here are a few tips:
- Have high standards for product quality.
- Make sure all of your records are current and thorough.
- Train your employees well and emphasize safety.
- Keep an eye out for trip hazards.
- Have good housekeeping.
- Make sure the carpet is well-maintained.
- Mark the flooring if there are steps or ledges.
- Clean up spills quickly.
- Make sure the stairs are well-maintained and tidy so no one trips.
- Keep your parking lot, walkway, and sidewalk clear of holes, cracks, and uneven spots. (Also, keep it clear of snow and ice.)
- Make sure there is enough lighting, both inside and outside.
So, that’s a bit about general liability insurance – why it’s important, how much coverage you need, and how you can manage your risk. Our insurance experts can go over your business’s insurance needs so you can get the right coverage for you. Get started with your quotes by filling out our online form, giving us a call, or messaging us on LiveChat.