A General Liability covers the following: General Liability, Personal & Advertising Injury, Medical Payment and Damage to Premises Rented to you. General liability insurance (GL) is coverage that can protect you from a variety of claims including bodily injury, property against any liability as a tenant if you cause damage to a property that you rent, such as by fire or other covered loss. Finally, it can also cover claims of false or misleading advertising, including libel, slander, and copyright infringement.


General Liability coverage annual premiums usually range from $500 and up depending on your line of business and coverage needs. That’s certainly a lot less than the thousands, if not millions, of dollars you may need to spend fighting your case in court.

For example, you own a beauty salon and a customer comes in and slips on hair that was not swept up. She breaks her leg and sues for damages. Without insurance, you would have to pay out of pocket her medical bills plus any additional money she may ask the court for.

Another example is a carpenter. If you are working in a home and you leave a tool out that someone get a cut on or trips over, you are liable for any injuries that may occur.

This policy will also cover damage for a covered loss of a place that you are renting under damage to premises rented to you. If you leave something plugged in and it causes a fire, if it is a covered loss, this coverage would pay out for it.


The cost of general liability insurance is impacted by many factors. Mainly:

  • Your business type
  • Your location
  • The level of risk your company is exposed to
  • The number of employees you have
For example, a small business that manufactures, delivers, and installs equipment typically has a higher exposure to risk (i.e. being sued) than a business that only delivers the equipment.