General liability insurance
Can help with covered claims that your business caused bodily injury, property damage, or personal and advertising injury to others.
How the coverage can help
One incident. Two kinds of cost.
The incident
A marketing claim
A competitor says your comparison post damaged its reputation.
Potential policy response
Legal defense
The cost of defending your business against a covered claim.
Covered damages
Amounts you legally owe for a claim covered by the policy.
Personal and advertising injury covers specific offenses. Media and technology-related exclusions may apply; not every marketing or intellectual property dispute is covered.
The fit
Who it’s for
Businesses that meet customers, visit job sites, rent space or work under client contracts should review general liability. A lease or customer agreement may require proof of coverage. Professional services, employee injuries and data incidents raise separate coverage questions.
- Meet contract requirements.
- Customers and coworking providers may require general liability. Match their limits and additional insured requirements. A certificate proves insurance; it does not expand coverage.
- Get help with claim costs.
- A claim can require legal defense even when you dispute it. General liability can help pay defense costs and damages for covered claims, subject to the policy’s terms and limits.
- Know where coverage fits.
- General liability covers different risks from tech E&O and cyber. Software errors and exposed data need separate protection. Start with the type of claim your company could face.
The protection
What it can cover
- Someone gets hurt.
- Someone outside your team claims your business caused their physical injury—for example, at an event you host. Policies call this “bodily injury.” Employee injuries generally need a workers’ compensation review instead.
- Your business damages someone else’s property.
- Your business is accused of causing physical damage to someone else’s property. This is different from a customer losing revenue because your software failed. Restrictions apply to property you rent, look after or work on.
- Certain claims about what your business says.
- An allegation that your company published a false statement harming another business’s reputation may fall under “personal and advertising injury.” Check the covered offenses and any exclusions for media or technology activities.
- Legal costs for a covered claim.
- The policy can provide a lawyer to defend your business and pay covered settlements or court awards. Check how defense costs affect the amount available to pay a claim.
Follow a claim
From the incident to the insurance.
Scenario 01
A comparison post draws a legal claim.
What happened
Your company publishes a comparison post. A competitor says a false statement damaged its reputation.
What the business faces
The competitor demands compensation. Your team needs legal advice to respond and defend the business.
Where this policy may help
General liability may cover defamation claims. Media and technology exclusions can limit that protection.
Scenario 02
A user meetup leads to an injury claim.
What happened
A display falls at a user meetup your company hosts. An attendee is injured and seeks compensation.
What the business faces
The attendee says your company caused the injury. Your team needs legal advice to respond to the claim.
Where this policy may help
General liability may cover defense and damages. The policy must include the event and activities involved.
Illustrative scenarios. Whether a policy responds depends on the claim, policy terms, limits and exclusions.
Know the difference
Different policies. Different jobs.
Different policies address different losses. These comparisons explain where to look; they do not mean every coverage mentioned is available through Komodo.
General liability insurance
Addresses covered injury and property damage claims from other people.
A business owner’s policy (BOP)
Usually bundles general liability with property and business interruption coverage.
What to check If you already have a BOP, start with its coverage schedule. You may already have general liability and need different limits rather than another policy.
General liability insurance
Commonly addresses physical injuries and damage to someone else’s property.
Professional liability
Addresses covered claims that mistakes in your professional work caused a client financial loss.
What to check For a SaaS company, compare tech E&O for software-related financial losses and general liability for physical injury or property damage. Buying one does not replace the other.
General liability insurance
Commonly addresses injury claims from customers and visitors.
Workers’ compensation
Addresses qualifying employee injuries or illnesses connected to work.
What to check Who was hurt matters. Coverage for visitors does not replace coverage for employees.
General liability insurance
Provides its own coverage and limits for covered claims.
Umbrella or excess insurance
Can add limits above specified underlying policies.
What to check Use excess limits when you need more insurance above an underlying policy. An umbrella may be broader in some respects, but neither is a dependable fix for an excluded activity.
Good questions
Before you decide
Do I need general liability insurance?
Consider your operations and contracts. Clients or landlords may require general liability, and businesses can face injury or property-damage claims even without a contractual requirement.
Who needs it?
Businesses with customer contact, premises, work at client sites or contractual coverage requirements commonly review it. Match the policy to the activities your business actually performs.
What does it cover?
It may cover specified third-party bodily injury, property damage, and personal and advertising injury claims, including defense costs under the policy’s terms.
What isn’t covered?
Employee injuries, professional errors, auto liability and damage to your own property generally require separate coverage. Review the exclusions and any endorsements for your activities.
What drives the price?
Pricing can depend on your operations, revenue or payroll, location, claims history and selected limits. The insurer’s rating approach varies by business and policy.
What is a certificate of insurance?
A certificate summarizes insurance information for a client or landlord. It does not amend the policy or establish that a particular claim will be covered.
What does a claim look like?
Illustrative example: a customer slips in your shop and makes an injury claim. General liability may help with covered damages and defense costs, depending on the facts and policy terms.
Is general liability enough on its own?
General liability does not address every exposure. Property, professional liability, cyber or other coverage may also be relevant to your business.