General liability insurance, known as Commercial General Liability (CGL), protects your business from another person or business’s claims of bodily injury, associated medical costs, and damage to property. Some examples of what could be covered are below:
- Bodily injury: It is raining outside and someone slips on the floor at your location but there is not wet floor sign. The person sustains injuries and a claim is made. A general liability insurance policy could cover the medical costs, including any lost wages, that result from the injury.
- Property damage/data loss: One of your employees is at a clients location and accidentally knocks over an expensive antique lamp. A general liability policy would cover to replace the lamp.
- Personal injury: You make a comment about a competitor which is made public and the competitor sues you for slander. Your general liability would cover defense costs as well as any potential settlement.