What does Commercial General Liability Insurance (CGL) typically cover?

Commercial General Liability Insurance (CGL) is designed to protect businesses from a wide range of claims that can arise from normal operations. Typically, CGL covers bodily injury and personal injury for third parties, which includes claims resulting from accidents that occur on the business’s premises or as a result of the business's operations.

Bodily injury refers to physical harm to a person, which can range from minor injuries to serious conditions. Personal injury encompasses non-physical injuries that can affect an individual's reputation or emotional well-being, such as slander or invasion of privacy. Therefore, the coverage provided under CGL is crucial for businesses because it mitigates the financial risks associated with such claims, protecting the business's assets.

The other options provided do not encompass the full range of coverage offered by a CGL policy. For instance, limiting coverage to only property damage would neglect critical areas like bodily or personal injuries that a business can be liable for. Similarly, coverage that focuses solely on employee injuries in the workplace is typically handled through Workers’ Compensation Insurance, rather than CGL, as this type of insurance does not cover those injuries. Moreover, restricting the policy to only advertising injuries ignores the broader protections that CGL provides for various types of liabilities. Thus,