General Liability is one of the most common insurance types. In fact, most contractors require all sub contractors to carry this type of insurance before they can begin work. General Liability is common with construction companies, forestry companies, plumbers, HVAC contractors, store owners, tree trimmers, etc... The list could literally go on and on. If there is any risk you could cause damage to someone's person or property, General Liability may be the coverage for you.
What is the Rate?
General Liability insurance rates are based on what you do (class), how large your business is (exposure), and your prior losses (claim history). What you do is typically easy to answer. Insurance companies determine the size of your business using gross sales, employee payroll, or in some cases, production numbers. And your loss history (loss run) is easily acquired from past insurance providers.
What is Employers Liability?
What's an additional insured?
An additional insured is person or entity that is not automatically included as an insured under an insurance policy but has been added as an insured at the request of the named insured (you). It is very common for this to be requested of sub-contractors by a contractor. Costs to add an additional insured vary per company.
What is Business Liability?
My contract says I need 1,000,000.00 per occurrence with a 2,000,000.00 aggregate. What does this mean?
The per occurrence limit is the maximum amount your policy will pay for any one loss during a policy period. The aggregate limit is the total amount your policy will pay over the course of a policy period in the event of multiple losses. In the above example, a 1,000,000/2,000,000 policy would pay two separate $1,000,000.00 losses, four separate $250,000.00 losses, etc... in a given policy period.
What is Contractual Liability?
Contractual Liability is a very broad term used to describe liability assumed under the terms of a contract that may otherwise not be assumed by one of the contracted parties. In other words, you are taking on more liability/risk than would typically be expected.