Protected at All Angles
Commercial liability insurance protects your business from multiple angles. When your business is held responsible for harming someone else, be it physical, financial, or reputational, your liability policy kicks in to protect you from losses.
For example, if you owned a restaurant and a customer fell and sustained an injury, your liability coverage would take care of their medical expenses. Or more obscurely, if you’re sued for copyright infringement by another brand, your insurance will cover legal expenses and settlements.
Understanding the concept of commercial liability insurance can feel like a significant challenge in and of itself, let alone learning all the associated terms. It is crucial, however, to know how the terms of your policy affect your business, and to have a trusted insurance partner to help you navigate the nuances.
Commercial Liability Insurance Terms to Know
Take a look at the following commercial liability insurance terms you should know:
- Advertising Injury: Refers to issues such as defamation, slander, libel, copyright infringement, and even wrongful eviction.
- Products & Completed Operations: This part of your policy covers damages caused by your products or services after they have left your control or have been completed.
- Per Occurrence Limit: The maximum amount your insurer will pay for a given claim.
- Aggregate Limit: The maximum amount your insurer will pay for all claims within a policy period.
- Waiver of Subrogation: Once a claim has been paid, a waiver of subrogation keeps your insurer from seeking reimbursement elsewhere.
- Self-Insured Retention (SIR): Similar to a deductible, SIR is the amount you have to pay for the claim before your insurance kicks in to pay the balance.
- Duty to Defend: Even if a claim is groundless, your insurer has a duty to defend your business.
- Exclusions: Anything your policy does not cover.
What Does Your Liability Policy Include?
If you are curious about what your commercial liability insurance policy entails and whether you need additional coverage, we would love to meet with you. Please reach out to Steve Longenecker at Mountain Insurance: Longmont (303-808-9351 x2) with any commercial insurance questions.
We give out $25 gift cards for referrals that become our insurance clients.
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