Understanding General Liability Insurance

When starting a business in NJ, it is important to make sure that you have the right insurance coverage including general liability. Based on the type of business you own, your agent may help you purchase policies that meet your needs with regards to liability and other risks.   

Coverage for property damage and bodily injury is designed to offer financial protection in the event that a customer’s claim against you or one of your employees results in a lawsuit. The insurance may cover out-of-court settlements, judgments, court costs and attorney fees. You may need to include coverage for damage caused by your products or your advertising, medical expenses for injuries, and even alcohol-related matters if you host functions.

It’s important to note that general liability does not cover employee injuries. You need to purchase a separate workers’ compensation policy for that particular risk. Professional services, such as accounting or consulting, may require a separate professional liability policy as well. 

Liability insurance coverage is vital for the financial protection of your NJ business. Your insurance agent can help you obtain the right type of policies for your enterprise. 

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