4 Risks General Liability DOES NOT Cover.

As a business owner, you will need General Liability Insurance.  General Liability is defined as: A type of insurance policy that provides coverage to a business for bodily injury, personal injury, and property damage caused by the business’ operations, products, or injury that occurs on the business’ premises. Commercial general liability, or CGL, is considered comprehensive business insurance, though it does not cover all risks that a business may face. So, let's take a look at six incidents of loss that this policy won't help pay for.

1. Damage to Your Property

Image you own a pizza restaurant. While your are working late to finish closing up the place, a big storm begins to brew outside.  As you and your employees hurry to close up the restaurant, high winds blow a piece of debris through the front lobby window creating a glass littered mess inside the restaurant.

Your General Liability Insurance will not cover the property damage. It only covers third-party property damage. In other words, it can cover the costs when you or your employees damage someone else's property.  

To be covered for this type of loss, you would need Commercial Property Insurance. This insurance policy can help repair or replace your property when it's damaged by fire, theft, and certain weather-related events.

2. Employee Injuries

Your food prep cook prefers mixing the tomato sauce by hand with a spoon instead of using an mixer. Suddenly, his wrist seizes up in pain. Your cook develops carpal tunnel syndrome, an injury based on repetitive motion. General Liability Insurance only covers non-employee bodily injuries, not your food prep cook.

You will need Workers Compensation Insurance to pay for some lost wages, physical therapy, and medical expenses. 

3. Employment Disputes

One of your servers starts coming in late or missing shifts with no explanation. You talk to her about the tardiness and no-shows and dock her pay for the unworked shifts. As a result, she quits.

Several weeks later, your former server sues you over discrimination. She says you wrongfully disciplined her and caused her emotional distress. Unfortunately, your General Liability Insurance will not cover you.  You will need Employment Practices Liability Insurance to cover your business for this type of claim.

4. Damage To Your Vehicles

Business is good for your pizzeria. You decide to buy a delivery vehicle. If your new delivery vehicle gets into an accident, you will not be covered by your General Liability Insurance. Your personal auto policy nor the hired drivers personal auto policy will cover you - even if the delivery driver is using his own car. You need Commercial Auto Insurance.

You have taken the risk of being in business. Make sure that you are adequately covered for those unfortunate events with a comprehensive business insurance package.
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Stickler Webb Insurance is an independent insurance agency with offices in Show Low, Safford and Sierra Vista, Arizona. Please visit, www.sticklerwebb.com for more information.