General Liability Insurance Basics
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What is General Liability Insurance?
Helps cover claims that your business caused bodily injury or property damage.
What does it cover?
- Third-party bodily injury: a customer slipping or falling on your premises
- Third-party property damage: your employee damages a client’s property while doing work at their home or business
- Reputational harm: being sued for something you or your employees said
- Advertising injury: being sued for using a photograph in an ad that you were not given permission to use
How much does it cost?
Many factors go into determining the cost of your insurance. Depending upon your type of business, your rate will be determined on:
- Gross Sales
- Gross Payroll
- Square footage of the premises
- Sub-contractor exposures (contractors, artisans, etc.)
Other factors include:
- Years in business
- Prior loss experience
- Your location
- Type of business
Typical costs for a small business can range anywhere from $300 – $6,000 (or more for general contractors). For a lot of small businesses, the costs can be higher in their first 3-years in business. This is because they have not yet had loss experience.
An experienced insurance advisor can help you navigate obtaining and reviewing your insurance. Please let us know if we can help.