Small Businesses, Don’t Forget About General Liability Insurance

Commercial general liability insurance provides coverage to a business for bodily injury, personal injury, and property damage caused by the business’ operations, products, or injury that occurs on the business’ premises. This type of protection is considered comprehensive business insurance and is a foundation for risks that a business is likely to encounter.

General liability insurance for small businesses is a must-have to safeguard against financial devastation, because it offers coverage against many things that are not covered by a professional liability insurance policy.

General Liability Coverage

Standard general liability includes property damage, bodily injury, personal and advertising injury, and medical payments. It is commonly needed for businesses to utilize property damage coverage which protects the business from claims that occur at the business’s physical location during regular business operations. Keep in mind that excess liability coverage is available to be purchased in order to cover claims that exceed the limit of the general liability policy. Note that some commercial general liability policies may have exclusions to what actions are covered. 

It is important to know the difference between a claims-made policy and an occurrence policy.

• A claims-made policy provides coverage over a specific time period and covers claims made during that time period, even if the claim event occurred at a different time.
• An occurrence policy covers claims provided that the claim event occurred during a specified time period and does not cover claims stemming from events that occurred before the policy came into effect.

General liability insurance for small businesses is a great tool to keep your small business intact if a disaster comes over business operations. Even a small disruption could make a significant impact. 

Special Considerations 

Each business’s needs are unique. A company may need to name other companies or persons as “additional insured” under their general liability insurance policy. It is common for businesses to enter into a contract with another entity that requires the insuring business to name the additional entity as “additional insured” on the policy. 

Being financially responsible is crucial when you’re trying to grow a company, However small business insurance is an important purchase that protects your assets. It can be considered a smart investment to safeguard your company from potential issues. Regardless of business size, unfortunate circumstances can occur at any time, and often at the most difficult times, which is why it is so important to be prepared. Speak to an agent regarding your unique coverage needs and general liability insurance for small businesses. 

About Bozzuto & Co. Insurance Services, Inc.

Bozzuto & Company Insurance Services has provided business and personal insurance solutions to clients throughout California since its founding in 1981. Our experienced staff understands the unique needs that each person has when insuring their lives and their businesses, and we pride ourselves on our deeply personal customer service. We are happy to help you through every step of the insurance selection process. Contact us today at (800) 400-6394 to learn more about what we can do for you.