If you’re a startup business owner, you should protect your livelihood. One of the things you need to do is to have general liability insurance (GLI). You can get it as a standalone policy or include it as coverage under your business insurance.
Many business owners rely on GLI to safeguard their livelihood. GLI is a great way to protect them from any lawsuit that may be filed against them. But this coverage is more than that. Here are some things you need to know about it:
What Is GLI?
GLI is also known as business liability insurance. This protects business owners from financial loss should they be liable for any claims that involve property damage or bodily injury.
The law doesn’t require businesses to have a general liability policy. However, not having this puts your livelihood at risk. GLI will prevent any financial disaster a business may encounter if it ever gets sued.
What Are Its Components?
Your business can benefit a lot from GLI’s coverage. The policy has bodily injury coverage, which includes loss of services, cost of care, and restitution for any death. This also covers property damage if your business caused physical harm to another’s property. This also includes loss of use of the property.
Another thing included in GLI is products-completed operations, which provides protection if your products or services caused an injury to someone else. GLI offers specialized product liability, as well. You also don’t need to worry about entering a variety of contracts since this policy gives contractual liability, too.
You’ll also have the following coverage under GLI:
- liquor liability
- reasonable use of force
- borrowed equipment
- water damage liability protection
- personal injury
- advertising injury
- legal defense costs
- medical payments
- non-owned vehicles
- lightning, fire, or explosion damage
- specialized liability protection for specific business types
Why Do You Need It?
Over the last decade, the chances of getting sued have increased. Nowadays, liability claims are common, and it can cost you a lot of money. According to Hartford’s analysis of claims data (2010 to 2014), 4 out of 10 businesses may experience a liability claim.
One of the leading cases is slip and fall. If someone slips and falls in your establishment, the claim may cost you an average of $35,000. But if it leads to a lawsuit, it may increase to more than $75,000. Without GLI, you’ll have to pay for a huge amount with money out of your own pocket. In the worst-case scenario, this may lead your business to bankruptcy.
Protect Your Livelihood
Don’t wait for something to happen. Start protecting your business with the help of Nicholson Insurance. We offer general liability insurance to ensure that our clients have something to safeguard their huge investment.
At Nicholson Insurance, we have a team of professionals who can help you understand the importance of having GLI. Don’t hesitate to reach out to us today, and we’ll be more than happy to assist you.