General Liability
Definition. General Liability (GL) insurance covers third-party claims of bodily injury, property damage, and personal/advertising injury arising from your business operations.
Also known as: GL, CGL, Commercial General Liability
General Liability — also called Commercial General Liability (CGL) — is the foundation commercial insurance policy. It pays for defense costs, settlements, and judgments when a third party (customer, vendor, passerby) sues your business over physical harm or property damage. Standard limits are $1M per-occurrence / $2M aggregate.
GL excludes employee injuries (Workers Comp), professional mistakes (Pro Liab), and damage to your own property (Commercial Property).
Example
A customer slips on a wet floor in your shop and breaks their wrist. GL pays the medical bills and any lawsuit settlement.
Sources cited
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📘 Educational content only.
Reviewed by California-licensed Property & Casualty insurance agent
Jason Wootton (CA License #0I94454). Not insurance advice, an individual recommendation, or a solicitation in any state. Insurance regulations vary by state. For specific coverage decisions, consult a licensed insurance agent in your state.
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