It’s 5 p.m. on a mid-November Wednesday. The first rain in quite some time
has been falling steadily all day. You’re just about to close up shop, when
suddenly a customer rushes in, trips over the doormat and falls face-first
into your store, chipping a tooth. If you don’t have the right
coverage in place, this accident is going to cost you big time.
In commercial general liability insurance terms, this represents a bodily
injury. This type of policy also covers personal injury. This policy type
comes in handy when someone accuses your business of slander or copyright
infringement. Keep reading to learn more about these two important types of
What Is Bodily Injury Coverage?
As related to insurance, if it can be established that the incident was
your fault, your
bodily injury coverage
(BI) will compensate customers injured on your business’s property. Your
policy will pay for their medical expenses. This includes cuts, bruises,
broken bones and the like. They will also be compensated for any related
lost income, including days off from work to heal from the fall or
subsequent surgeries—as well as days off for follow-up doctor visits and
physical therapy appointments.
Sometimes having this coverage will prevent a lawsuit after an injury. But
if an injured third party does take you to court, commercial general
liability insurance will usually cover defense costs and damages.
What Is Personal Injury Coverage?
General liability insurance also protects businesses from the financial
fallout of unintentional
caused to others, including libel, slander, copyright infringement,
wrongful eviction, advertising infringement and more. While there’s not
usually overt physical harm or property damage in these situations, these
forms of negligence can rack up court costs and damage your reputation
without general liability insurance coverage in place.
Upholding Your Responsibilities
Standard commercial general liability insurance policies cover bodily
injury and personal injury
to protect you
against financial ruin in case you face liability claims for something that
happens as a result of your business operations. Keep in
mind though: Having insurance does not absolve you of the responsibility to
conduct your operations in a prudent fashion. Take precautions and keep
your customers safe and to avoid accidental negligence.
You are required to make efforts to prevent imposing injuries. Further, if
you've been sued for something like this before, your insurance company
might refuse to cover injuries too similar to those in previous cases—or
you may be charged higher premiums to compensate. You are also usually
required to notify your insurance company immediately when injuries or
threats of a lawsuit, occur.
Securing commercial insurance, including general liability insurance, is an
important foundation to protecting your business. Find a fitting
policy today using CoverHound!