General Liability Insurance - When DO I Need It?

Commercial General Liability Insurance is designed to protect against claims of negligence by a third-party. Professional indemnity insurance is designed to protect against claims of injury by a third-party. These plans are designed to provide coverage for both individuals and companies and should be considered by anyone seeking a policy to protect their business interests. This type of insurance can be very important to anyone who owns a business and is not equipped to handle large claims. Large professional firms with many employees will typically have a separate commercial general liability insurance policy to cover any lawsuits that may arise from negligence or errors that occur during office operations.

Claims through professional negligence may include injuries caused by carelessness, including falls, slips and falls, medical malpractice, negligence in diagnosing a condition, injuries caused by using improper equipment and food preparation and serving. Professional indemnity plans help cover medical expenses for clients who suffer injuries because of carelessness or errors during office operations. Claims through medical malpractice may also arise due to negligence or errors during treatment. Claims may also arise through errors during delivery of products or services. If your company has employees, it is important to know how general liability insurance will help to cover medical expenses that employees may incur due to employer negligence or because of employer discrimination.

When you are purchasing commercial general liability insurance it is important to consider the types of coverage that are available. The three basic types of CGL coverage are property, liability and workers' compensation. Property insurance covers damages to physical property of customers or patients. This includes the cost of repair, loss of profits, and replacement of items. Liability insurance provides coverage for incidents that cause bodily injury or property damage to others.

Workers' compensation coverage provides payment to employees who are injured on the job. It requires two parties to agree to a settlement of liability. A legal liability is responsible for causing bodily injury to an individual on the job. Property damage liability provides coverage for any damages to personal property and any bodily injury that occur on a work-site. General liability coverage pays medical expenses and other charges that may be assessed due to an on-the-job injury.