Contractors General Liability Insurance
What is Commercial General Liability (CGL) Insurance?
Commercial General Liability (CGL) insurance provides coverage for liability claims and losses arising from bodily injury, property damage, and personal and advertising injury. It's considered one of the most foundational and essential coverages for businesses. It is imperative that contractors and the construction industry keep in mind that there are other types of essential coverage they should consider and acquire.
Bodily Injury Liability
Bodily Injury to third parties
Property Damage
Property Damage caused during business operations
Personal and Advertising Injury
Personal and Advertising Injury - defamation or copyright infringement
Fire Damage Liability
Damage to Premises Rented to You
Contractors and CGL
Contractor General Liability (CGL) is widely regarded as the most important form of insurance for contractors, shielding them from typical risks encountered during their daily activities. Therefore, the importance of CGL cannot be overstated.
General Liability
CGL provides coverage for bodily injury, property damage, and personal and advertising injury caused by your business operations, products, or services.
Defense Cost Included
CGL covers legal defense costs, including attorney fees and court expenses.
Third-Party Focus
CGL mainly covers claims made by third parties, such as customers, clients, or the public.
Fire Damage Liability
Coverage for damage caused by fire to premises you rent
State and Job Holder-Required Contractors Liability Insurance
Many states require contractors to carry commercial general liability and workers' compensation insurance to maintain or obtain a contractor's license. The specific requirements generally depend on the type of license. Most states also generally require a license surety bond.
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- New Construction
- Commercial & Residential
Liability Insurance Protection for Business
Commercial General Liability insurance offers protection to businesses against risks and legal challenges that could significantly disrupt or harm their operations. It acts as a financial safety net that assures businesses manage the uncertainties associated with running a business. Policies are subject to exclusions and conditions.
Not having commercial general liability (CGL) coverage could result in a situation where a company has to pay for expenses and medical bills out of its own funds due to settlements or court rulings. This could be a substantial financial burden and may jeopardize the stability of the business. The Commercial General Liability (CGL) policy does not cover errors and omissions (professional liability), pollution liability, and other specific liabilities. These types of liabilities require separate insurance coverage. Additionally, tools and equipment, installation floaters, builder risk insurance, and workers’ compensation claims are handled by different insurance policies. It's important for insurance buyers to be aware of the exclusions in the CGL policy before purchasing it. Our agency always includes a list of exclusions and the forms that will be part of the policy in our Commercial General Liability proposals.
Commercial General Liability insurance offers protection to businesses against risks and legal challenges that could significantly disrupt or harm their operations. It acts as a financial safety net that assures businesses manage the uncertainties associated with running a business. Policies are subject to exclusions and conditions.