Commercial General Liability coverage pays losses and legal defense arising from real or alleged bodily injury, property damage, personal injury on your business premises or arising from your operations, products or services.
What other types of business liability coverage are there?
Commercial Umbrella Liability
Provide excess coverage over a primary or underlying liability policy such as a Business Owners policy or Business Liability policy. This coverage will protect your business when your underlying coverage from your main policy has been exhausted. The amount of this policy coverage will very on your business and its financial needs of protection.
Protects business owners against financial losses from lawsuits filed against them by their clients for injury or loss arising from negligence in rendering professional services. This coverage can also be called errors and omissions liability when liability is limited to acts of negligence.
Directors and Officers Liability
A specialized form of professional liability coverage! Covers for legal expenses and liability to shareholders, bondholders, creditors or others due to actions or omissions of directors and/or officers of a corporation, whether public or private, or nonprofit organization! Note: Directors and officers are not liable for an honest mistake of business judgment made with reasonable prudence or care that result in a financial loss. Officers and directors are held personally liable for actions or omissions made with negligence, recklessness, or bad faith.
Employment Practices Liability (EPLI)
Covers business against claims by workers that their legal rights as employees of the company have been violated! Provides protection against claims of Sexual harassment, Discrimination, Wrongful termination, Breach of employment contract, negligent evaluation, Failure to employ or promote, Wrongful discipline, Deprivation of career opportunity. Wrongful infliction of emotional distress, and Mismanagement of employee benefit plans.
Where we are seeing this type of claim on the rise this may be a very important coverage you may need. Some insurers provide this coverage by an additional endorsement to their Business owner’s policy (BOP). Other companies offer EPLI as a standalone coverage. The cost depends on you type of business, number of employees and whether your company has been sued over employment practices in the past.
Errors and Omissions Liability
Covers damages arising out of the insured’s negligence, mistakes, or failure to take appropriate action in the performance of business or professional duties!
Provides coverage for bodily injury or property damage for which an insured may be held liable by reason of: Causing or contributing to the intoxication of any person, Furnishing alcoholic beverages to a person under the legal drinking age or under the influence of alcohol, or Violating any statute, ordinance, or regulation relating to the sale, gift, distribution, or use of alcoholic beverages.