COMMERCIAL GENERAL LIABILITY
Business owners get sued every day. Unfortunately, this ugly side of doing business can be a harsh reality. A judgement could bankrupt your business. Commercial General Liability (CGL) insurance provides protection for your business. Under this form of insruance, the insurance carrier will pay all sums the insured becomes legally obligated to pay pertaining to a covered occurrence. The company will cover any claim or judgment up to the applicable limits of the policy purchased.
Here are a few terms that are important in CGL Coverage:
General Aggregate: A limit in an insurance policy stipulating the most it will pay for all covered losses sustained during a specific period of time, usually one year.
Products & Completed Operations: Liability arising out of the insured’s products or business operations conducted away from the insured’s premises once those operations have been completed or abandoned.
Personal & Advertising Injury: Covers offenses that result in monetary damages, such as slander and libel. Covers offenses that result in monetary damages, such as slander and libel.
Each Occurrence: The amount paid per accident, including continuous or repeated exposure to conditions, which results in bodily injury or property damage neither expected nor intended from the standpoint of the insured.
Policy Limit: A limit in an insurance policy stipulating the most it will pay for all covered losses sustained during a specific period of time, usually one year. Liability arising out of the insured’s products or business operations conducted away from the insured’s premises once those operations have been completed or abandoned. Covers offenses that result in monetary damages, such as slander and libel. The amount paid per accident, including continuous or repeated exposure to conditions, which results in bodily injury or property damage neither expected nor intended from the standpoint of the insured.
What Factors Determine Price?
Annual Gross Sales
Annual Payroll
Limits of Insurance
Type of Business
Previous Claims History
PROFESSIONAL LIABILITY & OTHER TYPES OF COVERAGE
Professional Liability:
Just about every professional today is vulnerable to a claim. Professionals are often regarded as surrogate insurers of the success of their client’s ventures, and when those ventures go sour, professionals are perceived as "deep pockets" from which to recoup the losses.
Some Other Types of Coverage Available:
Commercial Property: Commercial Property coverage protects against damage to your physical place of business and its contents.
Errors & Omissions: Errors & Omissions coverage protects against in certain lines of business. This coverage is often required or highly recommended to do business in certain industries, like insurance. Errors & Omissions coverage protects against in certain lines of business.
Commercial Auto: Commercial Auto covers company vehicles and employee drivers. This coverage is not only necessary if you have company vehicles, but also if your employees are using their personal vehicles to conduct business.
Directors & Officers Liability: Helps protects the assets of the company and personal assets of these individuals.Helps protects the assets of the company and personal assets of these individuals.
Bonds (Surety, Fidelity, Bid, and Performance): Bonds are often required to ensure proper completion of a project, to protect against dishonesty and more. Bonds are often required to ensure proper completion of a project, to protect against dishonesty and more.
Excess or Umbrella Coverage: Many policies have exclusions and limitations. Umbrella coverage provides excess protection above and beyond existing policy limits.
Business Owner’s Policy: Combines property insurance and general liability insurance into one package.
