Commercial General Liability

Liability refers to legal responsibility for one’s actions or inactions that may result in harm or damage to others, including individuals or entities.

Liability can arise from a variety of circumstances, such as breach of contract, negligence, intentional misconduct, and statutory violations. Liability can be either civil or criminal. Civil liability is when an individual or organization is responsible for compensating the victim or the plaintiff for the harm or damage caused.

Examples of liability include a driver who causes a car accident and is held responsible for the damages and injuries suffered by the other driver and passengers, a company that produces a defective product and is held liable for any harm caused to consumers, and a doctor who fails to provide proper medical care and is held liable for medical malpractice.

It is important for individuals and businesses to understand their potential liabilities and take steps to mitigate risks and protect themselves against lawsuits and legal claims. This can include obtaining insurance, drafting effective contracts, and implementing safety and compliance measures.

Commercial General Liability (CGL) insurance is a type of insurance policy that provides coverage for a business against claims of liability for bodily injury, property damage, or personal and advertising injury caused to a third party. CGL insurance is often considered essential coverage for businesses, as it helps protect them from financial losses resulting from lawsuits or claims arising from their daily operations.

Policy

A CGL policy typically includes coverage for the following:

Bodily Injury

This covers claims for physical injuries suffered by a third party due to the actions of the insured or their employees. For example, if a customer slips and falls in a store and is injured, the CGL policy may cover their medical expenses and any legal fees or settlements that arise from the incident.

Property Damage

This covers claims for damage to property owned by a third party due to the actions of the insured or their employees. For example, if a contractor accidentally damages a client’s property during a construction project, the CGL policy may cover the cost of repairs.

Personal and Advertising Injury

This covers claims for non-physical injuries, such as defamation or copyright infringement, caused by the insured’s advertising or other business practices. For example, if a business is sued for using a copyrighted image in their advertising, the CGL policy may cover the legal fees and any settlements or judgments.

In addition to these basic coverages, CGL policies may also include additional coverage options, such as products and completed operations liability, which covers claims arising from products or services provided by the insured, and medical payments coverage, which covers medical expenses for third parties who are injured on the insured’s property, regardless of fault.

It is important to note that CGL insurance policies have limits on the amount of coverage they provide, and may also have exclusions for certain types of claims or activities. As such, it is important for businesses to carefully review their policy and work with their insurance agent to ensure they have the coverage they need to protect their business from potential liabilities.

Additional Coverages

Protect Your Business with Consumer Claims Advocates' Expert Guidance on Commercial General Liability

Navigating the complexities of Commercial General Liability (CGL) insurance is essential for safeguarding your business from potential legal and financial risks. Consumer Claims Advocates are your trusted partners in this journey, offering expert assistance to ensure you are fully protected. We help you understand your liability coverage, assess potential risks, and effectively manage claims arising from breaches, negligence, or statutory violations. Whether dealing with issues like defective products, accidents, or professional liability, our thorough approach ensures accurate claim processing, minimizing financial exposure. Trust us to shield your business from costly lawsuits and secure your peace of mind.