Liability (also called Casualty) insurance provides coverage primarily for the liability exposure of an individual, business or organization. Liability from the negligent acts and omissions of an individual, business or organization that causes bodily injury or property damage to a third party is the subject of casualty insurance coverage. The most common commercial casualty coverage lines are:
Commercial General Liability
Commercial Umbrella
Commercial General Liability
Coverage
Commercial General Liability (CGL) is the standard commercial liability policy used to insure businesses. There are three primary coverage sections in a CGL policy:
1. Premises Liability
This section covers liability for accidental injury or property damage that results from either a condition on your premises, or your operations in progress.
2. Products Liability
This section covers your potential liability for bodily injury or property damage that arises out of the goods or products that you manufacture, sell, or distribute.
3. Completed Operations
This section covers your potential liability for bodily injury or property damage that arises out of your completed work.
Most CGL policies include numerous and significant exclusions, including:
Intentional Injury
Insured Contracts
Liquor Liability
Damage to Your Work
Workers Compensation
Pollution
Aircraft
Automobile
Impaired property
Employers Liability
Watercraft
Mobile Equipment
Sistership Liability
Failure to Perform
It is always important to read and understand all coverage exclusions; however, it is particularly critical in a liability policy. If you do not understand the coverage exclusions or limitations of the CGL policy, then contact your agent.
Source : Massachusetts Division of Insurance Small Business Guide to Commercial Insurance
www.mass.gov\doi
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