General Liability for Contractors

Overview

Comprehensive General Liability coverage insures a business against accidents and injury that could happen on its premises, as well as exposures related to its products. It will protect you from payments for bodily injury or property damage to a third party, for medical expenses accruing to the underlying incident, for the cost of defending lawsuits including investigations and settlements, and for any bonds or judgments required during an appeal procedure.

No matter how thoroughly you remove all possible hazards from your business, you could be successfully sued for accidents resulting from simply the carelessness of a customer. General liability insurance is your last line of defense against devastating claims for things over which you may have little or no control over.

Amount of Coverage

How much liability coverage do you need? Generally, industry experts say, $2 million to $3 million of liability insurance should be plenty in most situations.. The good news is that liability insurance isn't priced on a dollar-for-dollar basis, so twice the coverage shouldn't be twice the price.
The price you pay for coverage depends on the size of your business (measured either by square footage or by payroll) and the specific risks involved. Consult your insurance advisor on the appropriate solutions for you and your company.