Understanding The General Liability Insurance In California
For business owners in California, General Liability Insurance plan is the perfect option to protect their businesses. The plan is meant to protect businesses against different lawsuits that can result in big losses for the business owners. To know more about the insurance plan, read on the article.
It needs a lot of responsibility and accountability to own and operate a business today. Regardless of your utmost care while operating the business, there are always chances for the clients to perceive you as wrong and blame for several damages and injuries.
As the society today is getting more litigious, small missteps can account for large lawsuits. In businesses, it can bring huge losses to the company; therefore it is essential to protect it with appropriate liability insurance. In California, General Liability Insurance plan is the best solution for businesses to protect their company from various lawsuits.
Basically, General Liability Insurance is a risk insurance policy that provides protection to the business from several claims and liabilities. Being a reliable and effective business liability insurance policy, many organizations purchase it to ensure protection against claims made by the third party.
The General Liability Insurance plan covers the costs that businesses would have to pay to defend or settle down the claims. In this way, the insurance safeguards business owners from the huge amount of expenses that would have made them bankrupt otherwise.
Also referred to as Commercial General Liability (CGL), the insurance plan safeguards businesses from claims including bodily injury, property damage, personal injury and advertising injury. Your General Liability Insurance policy covers all the medical expenses if the third party suffers from bodily injury caused by your business. Also, the policy provides businesses with protection in case there is a bodily injury on customer's property because any of your duty employee.
As a business owner you are held responsible in case you or any of your employees cause damage to the property of third party. Here, the term property includes homes, cars, land or any other property of relative worth. As per the lawsuit of the state, you would have to pay for the damage costs, however when you buy General Liability Insurance policy you get the type and amount of coverage required.
Besides the bodily injury claims, the insurance protects the businesses from personal injuries as well. Libel, slander, mental anguish, lost wages and other claims that are not physical are also covered by the insurance.
Third party can make claims based on advertising methods used by your company. In such cases, the General Liability Insurance policy safeguards the businesses against claims that are brought about by libel, slander, copyright infringement or any other advertising related issue.
Whether you run a small business or you take all the appropriate measures not to cause any damage or injury to the third party, it is essential to cover your business. The litigious environment of today has made it necessary to ensure protection against the lawsuits.
Besides General Liability Insurance, many businesses opt for a Commercial Package Policy (CPP) that consists of two or more forms of coverage including commercial general liability, commercial property, equipment breakdown, inland marine, crime and commercial auto. As businesses get a choice to select and customize coverage forms as per the specific risks, CPP is carried by several businesses today.
by: Ali Movahedi