General Liability Insurance 101: Helpful Facts
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What is General Liability Insurance? It's a policy that covers many common — or "general" — lawsuits that affect small businesses. These lawsuits include disputes related to copyright infringement, falls and injuries on your property, libel or slander, and property damage.

At Insureon, we work with countless small businesses, which means we know what you're going through. If you're like other small-business owners, you don't have time to wade through confusing explanations about coverage. You just want someone to give you the facts on Commercial General Liability Insurance. Well here's a plain-English explanation of all you need to know.

Business Insurance: Basic Facts

  • Fact #1: Nearly every business can benefit from Commercial General Liability Insurance.
  • Fact #2: General Liability Insurance helps pay for expenses related to lawsuits (lawyer's bills, evidence costs, witness fees, damages owed to the party suing you, etc.).
  • Fact #3: General Liability Insurance only pays for lawsuits filed against your business by third parties (i.e., people your business doesn't employ).
  • Fact #4: General Liability Insurance is sometimes called "slip-and-fall" insurance because, among other things, it covers lawsuits when someone is injured at your store or on your property.
  • Fact #5: General Liability Insurance isn't usually required by law, but it is required in many business contracts and rental leases.
  • Fact #6: Many small businesses buy General Liability Insurance packaged with Property Insurance through a bundled policy called a Business Owner's Policy.
  • Fact #7: If you have to apply for a business licenses (plumber's, electrician's, etc.), you'll probably have to purchase General Liability Insurance to meet your state requirements.

Commercial General Liability Insurance Frequently Asked Questions

Got small business insurance questions? We've got answers.

  • Where should I buy Commercial General Liability Insurance? You can buy business insurance from any of a number of different brokers. Make sure you get multiple quotes before you commit to buying a policy. If you request a quote from us, we'll send you multiple General Liability Insurance quote from multiple carries for free.
  • How much General Liability Insurance should I buy? This really depends on the size of your business, but many small businesses start with a standard small business policy that covers $1,000,000 to $2,000,000 worth of lawsuit expenses and other costs.
  • What happens if I cancel my policy? You are free to cancel your policy, but we don't recommend it. Insurance companies charge more to businesses who start and stop coverage. In the long run, canceling your policy will make your pay more.
  • What happens if I need to buy more insurance later? Adding coverage to an existing policy is easy. The process is simple: your insurance company increases the coverage amount and charges you a higher annual premium.
  • I need Commercial General Liability Insurance in order to sign a contract. How quickly can I get it? Super fast. At insureon, we can get you insured in minutes. After you purchase a policy, we can email you a Certificate of Liability Insurance, which is the formal proof-of-insurance document you need to show when you sign certain contracts or apply for professional licenses.

Get Free General Liability Insurance Quotes

If you're ready to learn more about General Liability Insurance and want a quote tailored for your business, fill out our simple online insurance form. Our agents are usually ready to send a selection of different quotes in minutes.

General Liability Insurance: Further Reading

General Liability Insurance in the Insureon Blog