General Liability Insurance Explained — What Every Business Owner Should Know

Running a business comes with plenty of challenges, and protecting yourself from unexpected risks is one of the most important. That’s where General Liability Insurance (GL) comes in. It’s the foundation of your business insurance protection — and in many cases, the first policy you’ll ever purchase.

At Crosswinds Insurance Agency, we help contractors, service providers, and small businesses secure proper GL coverage so they can operate with confidence.

What Is General Liability Insurance?

General Liability Insurance protects your business from some of the most common and costly risks, including:

• Bodily injury (someone gets hurt because of your business)

• Property damage (you accidentally damage someone else’s property)

• Personal/advertising injury (slander, libel, copyright issues)

• Medical payments

• Legal defense costs

If you interact with customers, work on job sites, or sell products or services, then GL coverage is essential.

Why Businesses Need GL Insurance

Even a small accident can create big financial problems. Here’s why GL is crucial:

1. Slip-and-Fall Protection

If someone slips, trips, or gets hurt on your premises or job site, GL can cover medical bills and legal fees.

2. Damage to Customer Property

Contractors especially run this risk — from scratched floors to broken windows to damaged equipment.

3. Products & Completed Operations

If a job you completed causes damage later on, GL can protect you.

4. Required for Contracts & COIs

Many clients won’t let you start work without proof of GL insurance on a COI (Certificate of Insurance).

What GL Does Not Cover

General Liability is powerful, but it doesn’t cover everything. It does NOT include:

• Workers injuries (requires Workers’ Comp)

• Damage to your own property (requires Commercial Property Insurance)

• Professional mistakes/errors (requires E&O insurance)

• Vehicles used for business (requires Commercial Auto)

This is why most businesses need a combination of policies.

How Much GL Coverage Do You Need?

Many contracts require minimum limits such as $1M / $2M, but depending on your industry, risk level, and client base, higher limits or an umbrella policy may be smart.

Our team can review your contracts and recommend the right limits for your business.

Get Your GL Policy Started Today

Whether you’re a contractor needing COIs, a new business owner, or a growing company looking for stronger protection, Crosswinds Insurance Agency can help.

📞 704-248-2657

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