If you are a small business owner, you know better than anyone that this is more demanding than most jobs, and your time is extremely precious. Certainly, commercial general liability insurance services are not your main focus; however, it is definitely something your business needs. Perhaps you are leasing the space in which your business operates, and the lessor requires you to carry commercial general liability insurance; or you may be a contractor who is required to carry a commercial general liability policy for various jobs.

Either way, this type of insurance coverage is vital to small businesses everywhere. Whether this coverage is something you are required to carry, or you are simply looking out for the best interest of your business, a good commercial general liability insurance company knows you may not understand the basic lines of coverage that these policies offer. Following are the main policy limits on a commercial general liability policy.

Each Occurrence and Medical Expense Limits

As the name suggests, experienced commercial general liability insurance companies say this coverage limit applies to any one claim during the policy period for bodily injury, property damage, and/or medical payments. You may wonder why there is a coverage limit for “medical expenses,” when medical payments are also covered under the “each occurrence” limit. The medical expense limit is a separate limit, which covers reasonable medical expenses in the event of an accident that causes bodily injury.

For example, if an accident on your property is a minor injury that requires stitches and no further payment, then the medical expense limit would be used. This coverage applies separately to each person; however, it is important to remember that it is a sub-limit to the each occurrence limit, as previously discussed. Therefore, if you exhaust your medical expense limit, that payment will reduce the each occurrence limit, as well as the “general aggregate” limit.

General Aggregate Limit

Commercial general liability insurance agencies say the “general aggregate” limit is the most a carrier will pay for damages from bodily injuries, personal and advertising injuries, and property damage. It is important to note that the limit for “products-completed operations” has a separate aggregate limit. This coverage applies to claims for damages that occur away from the premises of the insured, and arise from the completed work or products of the insured, which are no longer in their custody.

Personal and Advertising Injury Limit

The type of commercial general liability insurance coverage that may not be as self-explanatory as the rest is “personal and advertising injury,” and its limit. Commercial general liability insurance services say this coverage is separate from the each occurrence limit, and applies separately to the organization or person who suffers damages as the result of a covered incident. The general aggregate limit does apply, so regardless of how many parties are involved, the carrier will never pay more than the limit. Some specific things personal and advertising injury coverage may apply to are damages such as slander, libel, or copyright infringement.

These are the basic commercial general liability limits; however, if your business has a package policy or a business owner’s insurance policy, it may provide coverage for many other things, such as money and securities, or valuable papers. Don’t let your business insurance policy coverage overwhelm you. If you have questions about what your policy covers, call commercial general liability insurance agency insurance professionals at Jones & Associates Insurance today, and discover all the ways your business insurance policy is covering you!

Need Commercial General Liability Insurance In College Station?

Jones & Associates Can Help With Your Commercial General Liability Needs!

Call (979) 599-7532 – Today!

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