As a business owner, you need to protect yourself and your company from lawsuits arising out of your everyday business activities.

At a very high level, General Liability insurance is designed to provide bodily injury and property damage coverage to someone else, someone who is not part of your business.  And while that definition seems straightforward, there is much confusion regarding this type of insurance.

Some of the common misperceptions include the following:

• “I purchased Professional Liability insurance so I don’t need a General Liability policy: Oftentimes, Professional Liability insurance and General Liability insurance are used interchangeably. But there are differences between these types of insurance policies. General Liability typically protects against physical damage to either a person or property that is not part of your business. Professional Liability, on the other hand, typically protects against damages that your business causes as a result of the services provided. So say, for example, your accounting business fails to file the proper tax documentation for a client. Professional Liability, also known as Errors and Omissions (E&O) insurance, could protect your business from litigation or could pay the fees resulting from the oversight. In some instances, both a Professional Liability policy and a General Liability policy are necessary to fully protect your business.
• “General Liability insurance will protect my business from all work related injuries”: While true that General Liability insurance will protect the business from many types of claims, this policy does have some limitations. Most notably, General Liability only protects against third-party claims.  As a result, personal injury claims from you, your own employees or owners wouldn’t be covered. Likewise, any auto accidents caused by employees while driving for work would also be excluded. Other types of insurance, such as a Worker’s Compensation policy or a Commercial Auto policy, would be required to protect the business from these types of claims.

The best way to determine what type of General Liability insurance you should purchase is to ask a licensed agent in our office. We can assist you with assessing your insurance needs.

Get A Quote For Your General Liability Insurance Today

Our licensed staff is ready to help you get a General Liability insurance quote. We’ll work with you to maximize your discounts while getting you the coverage you need. Call today.