Commercial General Liability Insurance

Find The Best Commercial General Liability Insurance

Commercial general liability insurance is a vital type of protection for all types of businesses in Canada. As a business owner you are predisposed to a variety of threats. Run a coffee shop? Have a business from home? Are you a freelance consultant? Do you operate any other type of business? You need to protect your company from liability threats or you could have a financial catastrophe.

Claims lawsuits could cripple your business and negatively impact your brand reputation. Commercial general liability insurance can help you mitigate threats and protect your business. Our advisors will compare quotes and plans from the top insurers in Canada to find you best coverage and rate.

What Is Commercial General Liability Insurance?

Commercial general liability insurance (CGL) provides businesses with financial protection against loss. You are safeguarded against threats you face while running your business. If you faced a lawsuit, CGL will help cover legal fees and damages awarded against you.

CGL provides coverage against two main threats :

Claims of personal injury : This is injury to a third party. This can happen on or off your property. Bodily injury can happen to customers, employees, delivery people, vendors, and anyone else. If you are found guilty you could be forced to pay for medical bills, lost wages and pain and suffering. It could be a big financial loss.
Property damage caused by your company, products, or employees : This is damage, by your business or employers, to a third-party location. You could have to repair the damage. You also will have to deal with the impact it could have on your brand reputation.

Do I Need General Liability Insurance?

Some owners question the need for general liability insurance. You may think you don’t require it because you are a small operation. You have cost concerns, or don’t think you’ll ever use it. No matter what size, type, or industry, you should have protection from potential loss.

Without CGL insurance you would have to pay for a loss out of pocket if liable for damages. A lawsuit could force you the shut down of operations. It helps cover these losses and protect your financial stability.

Here are some instances when you would require it :

You have an office or storefront.
You have client meetings at your home office.
You regularly go to your clients place of work.
You do work off-site at various locations.

What Does Commercial General Liability Insurance Cover?

General liability insurance protects your business if found liable for injury or damage to a third party. Your premises, operations, and products are covered for :

Bodily injury : Claims related to personal injury to customers, visitors, employees and other on your business property.

Property damage : Damages to a third party’s property on or off your business land.

Personal and advertising injury : Protection against liability as a result of a variety of offenses. They include defamation, slander, libel, false statements, copyright infringement and more.

Legal costs : Get protection against lawsuit and legal fees associated with representation for a liability claim against your company.

Medical payments : Get compensation for medical payments for non-employee injuries on your property.

What Does Commercial General Liability Insurance Not Cover?

GCL insurance does not cover you for all threats to your business. Here are some of the things not part of a GCL policy :

Lost revenue if you have to shut down

Damage to your commercial vehicles

Uninsured operations

Cyber-attacks or misuse of data

Intentional or malicious actions

Professional liability

You will need to take out additional coverage for the above items.

How Much Does Commercial General Liability Insurance Cost?

Costs for CGL vary as every company has unique insurance requirements. Plans vary based on your type of business, limits and many other factors. Increasing limits can increase premiums.

Some of the factors that impact commercial general liability plans include :

Business type and industry
Business size and number of employees
Annual revenue and overall value
Product and service offerings
Risk exposure

Commercial General Liability Insurance FAQs

How Much Commercial General Liability Insurance Coverage Do I Need?

It depends. Your insurance requirements will vary based on your business type. It depends on your exposure, budget, and other factors. SMBs tend to have a minimum of a $2 million policy. Speak with our experts to assess your coverage requirements.

Is General Liability Insurance Required By Law?

No. You are not legally required to purchase this protection, but it is highly recommended. Some types of businesses and practitioners may be required to carry insurance. You will require it to secure loans, create partnerships and win contracts.

Are There Commercial General Liability Insurance Limits?

Yes. All types of policies have limits. Always consider your coverage limits when comparing costs before you purchase your plan.

How Is Commercial General Liability Insurance Calculated?

The calculation for CGL premiums varies by insurer. Insurers use a variety of factors such as revenue, payroll, and location. They also use industry type, and risk types to calculate rates.

Does Commercial General Liability Insurance Cover Property Damage?

Yes. CGL provides protection if you, your business, or employees cause property damage to a third party. It does not provide protection for damage to your business location. This is covered under commercial property insurance.

Get quotes for general liability insurance from the top insurers in Canada and save more.