Understanding Your General Liability Insurance

As a business owner, General Liability is extremely important. General Liability provides a lot of coverages and is often very affordable. However, if you are not active in the Insurance industry, it can be easy to get lost in the list of coverages and what it all means. We will break down the most common coverages to help you determine what policy is best for you.

Understanding Your General Liability Insurance- Limits of Liability

Most General Liability policies include a section that lists the limits of liability. The highest limit is usually the General Aggregate. The General Aggregate is the maximum dollar amount that the General Liability policy will pay out in a policy period. Keep in mind this usually differs from the amount paid out per incident. Typically the maximum dollar amount limit per incident is referred to as the “Per Occurrence” limit. It is important to note that the Per Occurrence limit is often lower than the General Aggregate.

Understanding Your General Liability Insurance – Damage to Rented Premises

If you rent your primary location, it is important to include damage to rented premises on your General Liability policy. This coverage is often already included onto most General Liability policies. Damage to Rented Premises is exactly as it sounds, it provides coverage for damage to a premises you rent. If you own the building that your business operates out of, you will need to carry a separate Building Insurance Limit.

Understanding Your General Liability Insurance – BOPs

Many businesses often carry Business Owners Policies, also known as BOPs. These BOPs, quite simply, are General Liability policies with Business Personal Property and/or Building Insurance packaged onto a single policy. There are several benefits to purchasing a BOP over a standalone General Liability policy. You can cover a wide range of operations and property that may not be available on a standalone General Liability policy. Most BOPs also tend to have better pricing than purchasing these coverages separately.

Would you like to learn more about General Liability and Business Owners Policies? We are here to help!

Give our General Liability specialists a call at 925-297-4829.

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All information is general in nature and is intended to provide guidance only. It is up to you to request specific coverage options, the agency and agent do not bear this responsibility. Always read the policy if there is a questions about coverage or a claim. If any information herein should conflict with your actual policy’s specific language, the policy language will be controlling.