Commercial General Liability Insurance
Insurance is a secured way of keeping what you already have and ensuring your company's perpetuity. As a business owner, it is crucial that you purchase a reliable insurance policy to protect your assets. Gainesville construction attorneys at Warner, Sechrest & Butts recommend that all business owners invest in commercial general liability insurance.
The Necessity of Commercial General Liability Insurance
What is commercial general liability insurance?
Commercial general liability (CGL) insurance is designed to cover expenses and liability arising out of incidents that occur on the premises of a business. It protects against the non-professional aspects of a company. In other words, when private citizens, customers, clients and other visitors are harmed on an insured’s property, they will often pursue a claim. The CGL insurance then protects the company’s assets by paying for the liabilities associated with a claim. These may include paying toward medical expenses, lost wages, punitive damages, property damage and other compensatory damages. Further, CGL insurance affords legal defense fees and takes care of the settlement award on the company's behalf (if a suit against a company wins). Business owners, tenants and even contractors should invest in CGL insurance because they face greater liabilities than most. A construction attorney in Gainesville, FL can help you gain a comprehensive understanding of CGL insurance, what it covers and how such insurance policies may protect your reputation, business, property and future.
Consequences of NOT Having CGL Insurance
Frankly speaking, it is not wise not to have CGL insurance. No matter how large or small your property or business may be, you face major liabilities each day by simply having private citizens on or around your property. The truth is, even if you follow necessary safety procedures, anything can happen. When those events occur, you will need protection.
Without CGL insurance, you will be solely responsible for affording all fees relating to an incident. From attorney fees to settlement fees, this can be extremely expensive. In some cases, it may seriously impair or bankrupt a company, even resulting in the foreclosure of a piece of property. Further, a lack of CGL insurance may make it more difficult to protect a company’s brand once a file has been claimed, especially since many times, these sort of suits become public. Studies demonstrate that businesses and property owners may face several liability suits throughout a given period. This means that it takes a sufficient amount of funds to afford protection and maintenance. Overall, failing to invest in CGL insurance is just not worth the risk. If you desire to gather more knowledge about how CGL insurance may save your company, Gainesville construction lawyers at Warner, Sechrest & Butts are always willing to help.
The Big Four: Major Components of CGL Policies
A Commercial General Liability (CGL) policy includes four major components that are protected. Those areas include damages resulting from:
- Property damage
- Physical or bodily injury
- Advertising injury and copyright infringement
- Slander and libelous actions
Requirements for Insurance Companies
Insurance companies who represent business and property owners require such clients to be ethical and legitimate. This may seem simple at the surface level, but in order to represent and serve you, insurance companies must trust (and have proof) that you are registered with all necessary federal agencies, and that you have taken the necessary measures to keep your property safe for the public. They want to know that you meet basic standards of care and other federal regulations. After entering into a contract with an insurance company, businesses and/or property owners are required to pay a certain percentage toward their policy. In addition, they are expected to relay all details and information regarding an incident that occurred on the premises (even if a claim is not pursued). Insurance companies can be tricky, however, so it is best to contact an expert construction lawyer for insight into how insurance policies really work and what to expect.
Reasons for Insurance Company Denial
Simply having a CGL policy does not guarantee protection from all liability claims. In fact, insurance companies have the power to accept or deny the claims that they encounter. There are numerous reasons why an insurance company may refuse to take on a liability case, but many of those reasons are broad, inexplicable or unclear. Our construction law firm in Gainesville, FL has discovered that there are many conditions that result in consistent rejections.
We cannot stress how important it is to carefully review your CGL policy and to be aware of the type of coverage that you have. Most insurance companies do not protect against all types of liability claims. For example, CGL policies do not cover employee injuries. Companies are instead required to purchase workers’ compensation insurance. Other areas that CGL policies may not cover include professional errors, fraud and employee discrimination lawsuits.
Construction Law Attorneys in Gainesville, FL
At Warner, Sechrest & Butts, our expert construction lawyers are skilled in business, insurance claims and construction law. When a private citizen, client, customer or visitor decides to file a suit against you, it is possible that you may lose everything. However, with our guidance, you do not have to. We will help you enter into a commercial general liability insurance policy that protects you against liability and ensures that your brand remains strong.
Contact us today to learn more about CGL policies in Florida.