What Does General Liability Insurance Mean?
A general liability insurance policy is type of insurance policy that protects insured commercial entities from a variety of liability risks, except for automobile and professional liability. It pays for various expenses, such as:
- Medical costs incurred if someone sustains an injury on company property
- Property damages or injuries that the owners or employees of the company cause
- Legal expenses, including the cost of the company’s legal defense, settlements, and awards if someone sues the company
- Damages, such as non-monetary losses suffered by the injured party, compensatory damage, and punitive damages
- Tenant-related liabilities, such as property damage if the company use rented property
- Expenses arising from claims pertaining to misleading or false advertisement, including slander, libel, and copyright infringement
General liability insurance is also known as commercial general liability insurance.