If you have been driving around Bryan or College Station recently for a football game or graduation, you surely noticed that there are many new buildings with more being built every day; this area is changing so much and new companies are opening all the time. Whether it is a new business or an established company in town, it is important to protect such an important investment with Commercial General Liability Insurance. Every business understands the need for insurance; however, many companies will require some additional insurance to protect unique business interests.

What Is Covered?

So what does a Commercial General Liability Insurance policy cover? Just like it sounds, this type of insurance protects a company and its owners from costly liability claims for property damage, bodily injury – even slander and false advertising. Covered costs include a claimant’s medical expenses, investigation fees, court costs, attorney charges, and settlements that may be awarded up to policy limits. Fortunately, Commercial General Liability Insurance covers damage or injuries even if caused by negligence on the part of the business owner, employees, partners, or anyone else legally associated with the company.

Exclusions

Every contract, including an insurance contract, has fine print to review; there are exclusions in a Commercial General Liability Insurance policy. Most of the exclusions apply to damage to your work or product, contractual liability, recalls, and pollution. Any time a company has to recall products or finished work due to fault in manufacturing, workmanship, design, etc., or any resulting damage or injury, a CGL policy will not cover such costs. As for the exclusion of damage to a product, if you install a product that causes damage because it or any part of it is faulty, this policy will not pay to repair or replace the product; however, there are certain exceptions to the exclusions that actually gives back something removed by an exclusion – under certain stated circumstances.

Exceptions to Exclusions

Here’s the fun part, the exceptions to the exclusions – that’s a tongue twister! The exclusion to damage to your work has an exception that applies if the damage to such work was caused by an employed subcontractor. For example, if you own a construction company that is building an office building and a subcontractor is hired to build a parking garage. If the office building is damaged because of faulty construction, such work and its result is not covered. On the other hand, if the parking garage that is damaged was built by an employed subcontractor, the resulting damage is covered under your CGL policy.

The exclusion of contractual liability also has a few exceptions. If a contract or agreement is signed that legally obligates an insured to pay for injury or property damage, its Commercial General Liability Insurance will not cover such costs unless it falls under one of the following two conditions:

  • Liability for the damages would have been assumed if a contract had not been signed.
  • Liability that has been assumed is defined in the policy as being covered and the damage or injury occurs after the contract is executed.

Each business is different and there are other exclusions that may apply only to certain industries. For example, Liquor Liability is something that is not covered in Commercial General Liability in Bryan; in the restaurant industry, it would be important to have such coverage and know that it is not a covered loss. It is possible to either have have an endorsement added to the policy for an additional premium or look for coverage under a different type of more applicable insurance policy for such protection.

These are the questions the experts at Jones & Associates are ready to answer and make sure you have the right business coverage. Call the professionals from Jones & Associates Insurance at (979) 776-4740 to find out more about Commercial General Liability Insurance in College Station – let us work for you!

Call Jones & Associates at (979) 776-4740
They Can Write A Commercial General Liability Insurance Policy For Your Business!

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