General Liability

Small Business

General Liability Insurance

At GSI Insurance Group we know that there are always uncertainties no matter the size and nature of your business.  We will work with you to determine your risks and put together an insurance package that protects your business.

What does general liability insurance cover?

General liability insurance covers common business risks of bodily injury, property damage, and advertising injury. Here are some of the specific types of coverage that a general liability insurance policy for small business may include:

1. Bodily injury coverage: This type of coverage provides protection if someone is injured on your business premises or as a result of your business operations. This may include medical expenses, lost wages, and other damages.

2. Property damage coverage: This type of coverage provides protection if your business causes damage to someone else’s property. For example, if a contractor accidentally damages a client’s property while working on a project, property damage coverage would help cover the costs of repairs or replacement.

3. Products liability coverage: If your business produces, distributes, or sells products, products liability coverage can help protect you against claims of injury or damage caused by your products. This type of coverage can be particularly important for businesses that produce or sell high-risk products, such as food or medical devices.

4. Completed operations coverage: This type of coverage provides protection if your business is sued for damages resulting from work you completed in the past. For example, if a contractor is sued for faulty workmanship after completing a project, completed operations coverage would help cover the costs of legal fees, settlements, or judgments.

5. Personal and advertising injury coverage: This type of coverage provides protection if your business is accused of causing harm to someone through advertising or marketing. For example, if a competitor sues your business for false advertising, personal and advertising injury coverage would help cover the costs of legal fees, settlements, or judgments.

General liability insurance for small business can provide essential protection for businesses against unexpected events and accidents. It’s important for business owners to carefully consider their risks and select a policy that provides the necessary coverage to protect their assets and operations.

Why get general liability insurance?

Small businesses need general liability insurance to protect themselves from various risks and potential lawsuits. General liability insurance is designed to cover the costs associated with bodily injury, property damage, and personal or advertising injury that a business may be liable for.

Here are some reasons why small businesses should consider getting general liability insurance:

1. Protection against accidents: If a customer or a vendor is injured while visiting your business premises, general liability insurance can help cover the medical expenses and other costs associated with the injury.

2. Coverage for property damage: If your business accidentally damages someone else’s property, such as a customer’s car or a neighbor’s fence, general liability insurance can help cover the costs of repairs or replacement.

3. Defense against lawsuits: If your business is sued for a covered claim, general liability insurance can help cover the legal costs of defending against the lawsuit, even if the claim is groundless or fraudulent.

4. Contract requirements: Many clients and contracts require small businesses to have general liability insurance before they can be hired or awarded a contract

5. License Requirements: Depending on your type of business, you may need coverage to get a professional license in your state.

6. Peace of mind: General liability insurance can provide peace of mind for small business owners, knowing that they have coverage in place to protect against unexpected events and potential financial losses.

Overall, general liability insurance can be a valuable investment for small businesses, providing protection and peace of mind in a variety of situations

Who Needs General Liability Insurance

Any business, regardless of size or industry, that interacts with the public, other businesses, or customers, should consider getting general liability insurance. Some of the industries that commonly purchase general liability insurance include:

1. Construction: Construction businesses may face risks such as property damage or bodily injury on job sites.

2. Landscaping and lawn care companies: These businesses face risks such as bodily injury, property damage, and damage to underground utilities.

3. Retail: Retail businesses may face risks such as slip-and-fall accidents or product liability claims.

4. Food and beverage: Food and beverage businesses may face risks such as food poisoning, allergic reactions, or liquor liability.

5. Manufacturing: Manufacturing businesses may face risks such as product liability or equipment damage.

6. Janitorial and cleaning services: Janitorial and cleaning services face risks such as property damage, bodily injury, and personal and advertising injury.

In general, any business that has interactions with customers or the public, provides professional services, or creates products, may be at risk for claims of bodily injury, property damage, or other liabilities. General liability insurance can help protect these businesses from financial losses associated with these risks.

Do independent contractors need general liability insurance?

Independent contractors, including realtors, should consider getting general liability insurance to protect themselves from potential risks and liabilities associated with their work. While independent contractors may not have the same level of liability exposure as larger businesses, they still face risks that could result in financial losses or legal action.

For example, an independent contractor who accidentally damages a customer’s property or causes bodily injury to a third party during the course of their work could be held liable for the resulting costs. Without general liability insurance, an independent contractor would be responsible for paying these costs out of pocket.

General liability insurance for independent contractors typically covers bodily injury, property damage, and personal and advertising injury that may result from their work. It can also provide coverage for legal fees and settlements if the independent contractor is sued for a covered claim.

Overall, while general liability insurance may not be legally required for independent contractors, it can provide valuable protection and peace of mind, and may even be required by some clients or contracts. Independent contractors should speak with their GSI insurance agent to determine if general liability insurance is necessary for their specific work and risks.

 We can help you determine a policy that works for your unique business needs.