Responding to claims alleging bodily injury or property damage
The chances of a business owner getting sued have dramatically increased in the last decade. Commercial General Liability responds to claims alleging bodily injury or property damage for which your business may be liable.
Claims stemming from negligence acts by you, others within your organization or others acting on behalf of your organization, can arise from a variety of circumstances:
- Someone slips and falls on your premises, sustaining a bodily injury
- Your product does not work the way it was intended to and results in a bodily injury or property damage to the consumer using it
- During business operations, property damage is caused to a third party
- Slander or defamation of character is caused to a third party by one of your employees
Providing financial protection in case your business is ever sued
Commercial General Liability typically provides coverage for expenses stemming from allegations of bodily injury or property damage such as:
- Amount the insurer spends to investigate or defend the claim or suit brought against you
- Other costs incurred directly by the insurance company, such as attorney's fees, witness fees, and police report costs
- Any court costs or other costs assessed against you in a suit
- Reasonable expenses you incur at the insurance company's request to aid in your defense against a claim (such as your loss of income for a day spent in court)
- Any judgment or settlement arising from a covered suit
- Any required interest on the judgment if the defense is unsuccessful
- Medical expenses for injured parties
- Premiums for any bonds required by a liability suit
Providing protection to a number of people involved in your business
Commercial General Liability provides protection to yourself as a business owner, your employees and a number of people involved in your business - while they are acting in their official capacity for your business:
- All partners or members and their spouses, if your business is a partnership or joint venture
- All executive officers, directors, and stockholders, if your business is a corporation or association
- Any subsidiary for which you own more than 50% of the voting stock.
- Any person or organization, such as a vendor, with whom you have a written agreement to indemnify, for any bodily injury or property damage that results from distributing or selling your products.
- Any volunteers for your business, while acting under your direction and within the scope of their responsibilities for you
* The information provided is for information purposes only. In case of inconsistency between this information and the policy, the policy terms, conditions and limitations will govern.