Commercial General Liability (CGL) Flashcards
(20 cards)
Commercial General Liability
Protection against claims of bodily injury, property damage, and certain non physical injuries that may arise during business operations/premises, or products
Coverage A
Bodily Injury and Property Damage - accidental/unintentional acts of injury caused by business practices or products on or within premises.
Coverage B
Personal and Advertising Injury - defamation, false arrest, copyright infringement
Coverage C
Medical Payments - no fault medical payments for minor injuries sustained by non-employees regardless of fault
Eligible Expenses
EMS fees, hospital stays, surgeries, follow-up medical care
Med Pay Coverage Limits
Lower limits than Coverage A/B, purposed as a “goodwill payment” rather than a claims settlement
Each Occurrence Limit
Maximum amount a policy will pay for damage arising for each individual instance
General Aggregate Limit
Total amount insurer will pay for all claims made within a policy period
Occurrence Form
Coverage triggered when the injury or damages occur within a policy period. Long term incidents that arise years after policy expires.
Claims Made Form
Coverage triggered when the claim is made as long as it is within the policy’s retroactive dates. Unless there isn’t an extended reporting period then any claims outside of the policy period are invalid.
Businessowners Policy (BOP)
Packaged insurance policies for small to medium sized businesses
Limits for BOP
Employees - 100 or less
Revenue - under $5M/yr
Premises - under 35k sqft
Property Coverage
Can be open or named perils depending on policy terms
Business Personal Property Coverage
Protects contents inside the building including furniture, inventory, supplies, and extends tom property usually within 100ft of the premises
Business Interruption Insurance
Covers loss of income and additional expenses if the business operations are interrupted
Liability Coverage
Protects business from claims of bodily injury, property damage, and personal and advertising injury.
Endorsements
Optional coverages that can be modified to insured’s needs
Hurricane and WIndstorm Coverage
1 of 4 South Carolina specific provisions that certain BOP’s in coastal areas include a separate deductible for wind-related loss.
Flood Insurance
1 of 4 South Carolina specific provisions where BOP’s do not cover flood even in flood prone areas and encourage businessowners to purchase flood insurance through the NFIP or Privately.
Coastal Property Endorsements
Businesses near the coastline can add endorsements covering named perils such as saltwater damage, wind driven rain, or storm surges
