Types of Coverage in General Liability Insurance

Injury to the body, mind or emotions, as opposed to an injury to property.

General Liability Insurance is a comprehensive insurance policy that provides coverage for risks and liabilities faced by businesses. It is designed to protect businesses from the financial impact of liability claims. This article will delve into the various types of coverage provided under a General Liability Insurance policy.

Bodily Injury and Property Damage Liability

This coverage provides protection against legal liabilities that may arise when a third party suffers bodily injury or property damage due to the insured's business operations. For instance, if a customer slips and falls in a store, the bodily injury liability coverage would cover the medical expenses and any legal costs if the customer decides to sue.

Personal and Advertising Injury Liability

Personal and Advertising Injury Liability coverage protects businesses against claims of offenses made in the course of advertising their goods, products, or services. These offenses may include libel, slander, invasion of privacy, copyright infringement, and misappropriation of advertising ideas. For example, if a business is sued for using a competitor's copyrighted material in their advertisement, this coverage would protect the business.

Medical Payments

Medical Payments coverage, also known as Med Pay, covers the immediate medical expenses incurred when someone is injured on the insured's premises or due to the insured's operations, regardless of fault. This coverage is typically limited and is meant to cover minor injuries.

Products and Completed Operations

Products and Completed Operations coverage protects businesses against claims of bodily injury or property damage that arise from products sold or work completed by the insured. For instance, if a customer is injured by a defective product sold by the business, this coverage would protect the business against the resulting liability.

Tenants' Legal Liability

Tenants' Legal Liability coverage protects businesses that lease or rent their premises from claims of property damage to rented spaces. For example, if a fire in a rented office caused by the tenant's negligence damages the building, this coverage would protect the tenant against the property owner's claim for damages.

In conclusion, General Liability Insurance provides a broad range of coverages to protect businesses against various risks. Understanding these coverages is crucial for businesses to ensure they have the right protection in place.