Commercial Liability Insurance


If a business owner is sued and is not carrying liability insurance, the cost to investigate and defend allegations and to compensate injured third parties would come directly from their own pocket. In the case of commercial businesses, this could ultimately mean closing the business, declaring bankruptcy or both!

Businesses can operate under many names and it’s important to have a clear understanding of who the insured is and to identify all the names associated with the business, as well as the operations. The definition of insured extends to cover the shareholders, officers and directors and employees of a corporation while doing the business of the corporation.

What’s covered? Like residential liability policies, the Commercial General Liability Policy pays compensatory damages as a result of negligence but differs in that it contains four coverage triggers: Bodily Injury and Property Damage; Personal Injury and Advertising Liability, Medical Payments, and Tenants Legal Liability.


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