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General Liability: Introduction
General Liability Buyer's Guide
Because mistakes happen, we need liability insurance.
Essentially, liability insurance is there to clean up after your business's mistakes, providing coverage for claims related to negligent business activities (injury related to the use of your product, for example) or the failure to use reasonable care. The insurer typically pays damages and legal defense fees as well as case-settlement charges.
How much liability coverage do you need? This can be difficult because benchmarks really do not exist. While some brokers recommend that your coverage match that of the largest court award for a case relevant to your business, others base recommendations on company assets.
How much will liability insurance cost? There's not easy answer, as it will depend greatly on the type of business you're in, how much coverage you choose, and other factors. To get a rough idea, check out what other BuyerZone users paid for liability insurance.
Moreover, unlike property, which has a fixed value, liability claims do not have any limitations. In this lawsuit-crazed society, the sky could indeed be the limit.
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