CGL insurance: Get commercial general liability insurance

Although CGL insurance covers a broad spectrum of liability claims, most policies will not protect you from lawsuits of intentional criminal acts, patent infringement, and contractual liability. Lawsuits due to professional advice or services are also not covered with general liability insurance, as you would need to purchase professional liability insurance. 

Yes, but it depends on the type of lawsuit filed. In general it can provide protection from lawsuits filed by customers, clients and vendors. Your policy should cover lawsuits associated to product liability, personal/bodily injury, copyright infringement and property damage.

There will be limits to the size of lawsuit the policy will cover - i.e. the coverage amount for compensatory damages. You will want to understand the limits of your coverage to make sure you have enough coverage and are aware of the limitations.

It's also important to note that your policy may not cover all expenses associated with a suit. This speaks again to the limitations and guidelines of a policy. You need to understand how much coverage you have and what is and isn't covered. Best to speak with your insurance broker to get a full run down of how your general liability coverage works.

Both types of business insurance provide compensation for legal fees and damages if a third party decides to sue. However, general liability insurance protects the business against claims of bodily injury and property damage while professional liability insurance protects the business against claims of errors and omissions from your professional services. 

For instance, if you’re shopping for your health and fitness business, having a CGL policy will protect you from an injury claim if a client trips on your equipment. However, if the client injures themselves under the advice of a personal trainer, you would need professional liability insurance for protection.

Commercial general liability insurance is usually not mandatory unless a client requests for you to have it or your landlord requires it for you to lease a commercial space. However, any business, no matter how small, should consider making the purchase as one claim could cause a tremendous financial burden and shut down your operations. 

To purchase general liability insurance as part of your business insurance package, take a few minutes to fill out our free online CGL quote comparison. We’ll calculate the cost of your policy and connect you with a licensed life insurance broker in Canada who will guide you through making the purchase. 

Depending on your business type and the insurance provider, you can purchase general liability coverage that extends to volunteers. It will impact the price you pay for coverage, most likely it will increase the price of the policy due to the increased risk associated with volunteers.

If your organization or business accepts volunteers it is important to ensure your general liability policy includes coverage for volunteers. A volunteer is considered a higher liability risk as they may not have the same level of skill or training as your regularly employed workforce and your organization would be held liable for the actions of a volunteer.

Having a commercial general liability insurance policy that covers volunteers is a must have for any non-profit organizations to manage risks and protect valued volunteers.

It really depends on your policy and the insurance provider, but your policy might extend coverage to independent contractors for certain liabilities associated with the work they do for your business. Though, it isn't commonly provided and could come at an increased cost.

Most independent contractors would have their own liability coverage as part of a contractors insurance policy.