It is a fact of life that individuals and businesses are held accountable by law for injury, damage, or loss caused to another party due to negligence or fault. Regardless of whether injury, damage, or loss was intentionally or unintentionally caused, liability remains liability in the eye of the law.

What is liability?

Liability, concerning small businesses, refers to the company’s legal responsibility for reparations to a third party. Exposure to liability extends beyond the obvious, and costs are inevitable, regardless of whether legal liability is proven. General liability insurance covers the business for these eventualities, costs surrounding litigation, and damages payable to claimants.

Why do you need General Liability Insurance?

Any business or entity is liable for damages caused as a result of their negligence. Regardless of guilt, litigation which follows accusations made is typically costly. To understand potential risks and protect against them, whether in retail, contracting, trade, or consultancy, general liability coverage should be mandatory. Remember that litigation is harmful not only to a business’ bottom line but also to its very reputation.

General liability insurance covers the costs arising from being held responsible for property damage, injury, and even death as a result of the insured’s products or business operations. This includes the financial costs of litigation, financial settlements, and associated reparations. General liability also covers exposure on the insured premises to loss, injury, or damage of an accidental nature.

What is covered under general liability insurance?

• Injuries occurring on the insured premises to employees, customers, merchants, or visitors
• Injuries other than on the insured premises due to the negligence or actions of an employee while in the scope of their employment
• Damage to third-party property by your employee during the scope of employment

Who should have General Liability Insurance?

No matter the size or nature of the business, all companies should cover themselves, their employees, and their premises against claims by third parties, employees, visitors, vendors, and the public