Do you own a business? Do you have Business General Liability Insurance? This a very important coverage that is needed in any business. A simple definition of Commercial General Liability is as follows:
Coverage for a business when negligent acts and/or omissions result in bodily injury and/or property damage on the premises of a business, when someone is injured as the result of using the product manufactured or distributed by a business, or when someone is injured in the general operation of a business.
A while back we received a call from a commercial customer who had a claim. Mr. Plumber installed a new kitchen faucet in a home. Shortly after the job was completed, the homeowner called and told Mr. Plumber that the faucet had leaked all over the Brazilian cherry wood floors in the kitchen. The floors subsequently buckled and shrunk. Mr. Plumber was sure he had completed the work correctly. He is a worker who takes pride in his craftsmanship. Mr. Plumber went to the home to assess the damage and see if he could fix the problem. The pipe connection looked correct, but a leak still occurred. That visit prompted Mr. Plumber to call me. We turned a claim into the General Liability company. The total loss payout was about $20,000.
Another time, a pest control customer called me. He had inadvertently bumped a vase in a customer's home while spraying. As you might have guessed the vase became a $12,000 vase when it hit the floor. Mr. Pest Control's comment to me was "Why would anyone put flowers in a $12,000 vase and leave it out in the open?" I understood his feeling, but he broke it and insurance had to pay.
These are two common examples of a small mistake costing a large amount of money to fix. If you run a small business out of your home, you are not immune to a claim. My final example comes from a small home based business performing accounting services. A client was walking into Mrs. CPA's home office which is her sunken living room. Mr. Client said he saw the cat, but misjudged the large cat's deceptive speed. The cat ran in front of Mr. Client, tripped him breaking his leg in two places. Due to the fact that the visit was for business the homeowners insurance would not cover the liability claim. Mrs. CPA's General Liability ended up paying $5000 in medical fees.
General Liability is not as "general" as the name might imply. As you might guess there are exclusions that come along with the policy. Exclusions differ from policy to policy based on the type of business and what they do.
If I already insure your business; thank you! If I do not insure your business give me a call, and let me see if I can possibly save you money. If you do not currently have General Liability insurance, let's try and prevent a financial disaster.
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Frank Sr
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