Believe it or not, CGL coverage is one of Garzor’s most important insurance products given the high risk for businesses and the harmful consequences of a lawsuit. 

A CGL insurance policy should cover the costs of your legal defense and pay on your behalf all damages if you are found liable—up to the limits of your policy.

A workers compensation and an employment practices liability insurance are  two other policies that mustbe considered for purchase since the standard CGL coverage is based on non-professional negligent acts. 

WHAT IS COVERED

Coverage A: Bodily Injury and Property Damage Liability

Bodily injury and property damage coverage provides protection against losses from the legal liability of insureds for bodily injury or property damage to others arising out of non-professional negligent acts or for liability arising out of their premises or business operations. Mental injuries and emotional distress can be considered bodily injuries, even in the absence of physical bodily harm.

Coverage B: Personal and Advertising Injury

Personal and advertising injury liability protects an insured against liability as a result of certain offenses, such as:

• Libel

• Slander

• False arrest

• Infringing on another’s copyright

• Malicious prosecution

• Use of another’s advertising idea

• Wrongful eviction, entry or invasion of privacy

Coverage C: Medical Payments 

Limited coverage for medical payments includes payments for injuries sustained by a non-employee caused by an accident that takes place on the insured’s premises or when exposed to the insured’s business operations. Medical payments coverage can be triggered without legal action. This provides for prompt settlement of smaller medical claims without litigation. It is included in the CGL policy and pays for all necessary and reasonable medical, surgical, ambulance, hospital, professional nursing and funeral expenses for a person injured or killed in an accident taking place at the insured’s premises or arising from business operations. 

There is no defense or legal liability coverage—as there is with bodily injury and property damage (Coverage A) and personal and advertising liability (Coverage B) —since coverage is provided on a no-fault basis.

According to Insurance Journal, the Top 10 Small Business Property and Liability Claims are: #1 Burglary and Theft; #2 Water and Freezing Damage; #3 Wind and Hail Damage; #4 Fire; #5 Customer Slip and Fall; #6 Customer Injury and Damage; #7 Product Liability #8 Struck by Object; #9 Reputational Harm and #10 Vehicle Accident.

There are other types of coverage for situations, not included in your standard general liability policy, you must include depending on the type of business you own. Among them: Directors and Officers Liability, Liquor Liability, Pollution Liability, 

Your local commercial insurance expert at Garzor will be pleased to guide you through your options and find the combinations that will provide you the most comprehensive protection for your business.

For personal insurance solutions visit our sister company Orlando Insurance Center