What Does General Liability Cover? 

General liability insurance is standard coverage for most businesses, as it offers a crucial financial safeguard against various claims that may arise during normal operations. Understanding what this insurance does and doesn’t cover is essential for business owners.

Benefits of General Liability Insurance

General liability insurance typically offers coverage for the following four categories:

1. Third-party bodily injury—General liability insurance typically offers financial support for third-party bodily injury claims. This can include the medical expenses and legal costs if someone is injured on your premises because of your business operations. For example, if a customer trips over a box of supplies, falls, and breaks an arm, general liability insurance may help cover the customer’s medical bills and legal fees if they sue your business.
2. Third-party property damage—If your business accidentally damages someone else’s property, general liability insurance may help cover the repair or replacement costs. For example, if you are renovating a client’s kitchen and you crack their stove top in the process, general liability insurance may help cover the cost of repairing or replacing the oven.
3. Personal and advertising injury (libel or slander)—General liability insurance may provide coverage if your business is sued for personal or advertising injury, such as libel, slander or defamation. It can help cover the costs of legal defense and settlements related to these claims.
4. Advertising injury (copyright infringement)—If your business is accused of using copyrighted material, such as a logo, image or slogan, without permission in an advertisement, general liability insurance may help cover the legal expenses involved in defending your business.

What Is Not Covered

While general liability insurance has wide-reaching coverage, it typically will not cover the following:

• Professional errors, mistakes or negligence

• Employee injuries

• Intentional acts

• Injury or property damage related to an auto accident

Learn More

For general liability insurance near you, contact McCartan Insurance Group.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.