Why Every Small Business Needs General Liability Insurance

If you’re a small business, every dollar counts. With limited budgets, even a single third-party claim against your business could be financially devastating. That’s where general liability insurance comes in.

As the saying goes, an ounce of prevention is worth a pound of cure. If your business is responsible for someone’s physical losses, general liability can step in to help cover costs.

What Does General Liability Cover?

General liability insurance is often the backbone of any commercial insurance policy, especially for small businesses. This coverage can help in the following ways:

• Bodily injury coverage can help cover medical costs for third parties injured during the course of your operations.

• Physical damage coverage can help pay for repair or replacement of third-party property for which your business is responsible.

• Personal injury coverage can help cover lawsuits related to claims of copyright infringement, defamation, libel and other allegations, including their settlements.

• Product liability insurance is often part of the policy and can help cover claims of injury or damage related to your business’s products.

Do I Really Need It?

Yes, every small business that works with customers, vendors or other third parties should consider the value of general liability insurance. It may even be required by commercial lease terms.

Regardless of industry, general liability insurance can be essential. This includes contractors, restaurants, retailers and even home-based businesses.

Keep in mind that a single third-party claim could cost thousands of dollars even before legal fees. Going without general liability insurance is a gamble that could quickly lead to financial hardship if your business experiences a claim.

When Should I Get a Policy?

Now is the best time to secure general liability insurance; the longer you wait, the greater the risk of a claim you must pay out of pocket.

Invest in your business’s longevity by acquiring a suitable policy today. Bargain Insurance Connection can help review your circumstances and make affordable coverage recommendations. This may include bundling general liability insurance into a business owners’ policy (BOP) for additional coverage and savings potential. Contact us today to learn more.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.