Why General Liability Insurance is Non-Negotiable
By 2028 it’s estimated that the global market for general liability insurance will be worth something in the region of $380 billion. Presently, most claims within this arena come from within the automotive industry or from industrial suppliers – with the next biggest claimants being the food and beverage industries. Businesses have clear concerns about the rising costs of making a claim, but when it comes down to brass tacks – general liability insurance really is non-negotiable. Here’s why.
Businesses starting to operate without liability insurance
Some worrying stories are coming to the fore from all over the world about companies that are continuing to operate without the appropriate general liability insurance policy in place.
One such comes out of Victoria in Australia, in which there are concerns over caravan parks and vacation resorts that are operating without any form of liability insurance, causing huge concern amongst the public, but insurance professionals and the emergency services too.
Owners put this down to worries over the costs of premiums, but the risks of bushfires and floods have increased over the last few years, so the decision seems counter-intuitive given they’re not only risking their livelihoods, but the lives and property of those vacationers who are choosing to visit their sites for leisure time.
Why general liability insurance is essential
General liability insurance is a fundamental part of business safety, no matter what sector a company operates in. It’s going to protect not only from financial loss that might arise from claims of personal injury or property damage to the consequences that occur from unforeseen accidents or incidents – for example, the bushfires or floods mentioned in the case in Australia – or any other form of natural disaster across the globe.
If there’s accidental damage to a property, or injuries occur then a reliable general liability insurance policy will always provide cover for legal costs, medical treatment and expenses, and any damages that are awarded by a court.
What would general liability insurance cover?
A professional policy from a reliable company will always cover liability for injuries that have been sustained by third parties on the premises. It’ll also cover liabilities that are related to any products the business manufactures, sells, or distributes, too – likewise services.
It will provide cover for property damage to third-party property that has been caused by the business or any of its employees in the form of public liability insurance.
Some general liability business insurance policies will also go as far as to protect against any claims that are related to non-physical injuries these days – in part due to the rise of digital communications and the popularity of social media, including:
It’s highly recommended that if you’re a company that provides a professional service and you already have general liability insurance you also seek to purchase professional indemnity insurance – which is sometimes known as professional liability insurance because a general liability insurance policy on its own might not be enough to meet your needs.
Be safe and don’t be sorry – investing in general liability insurance is essential.