General liability insurance covers third-party claims for bodily injury and property damage. If a customer slips on a wet floor in your shop, if your work crew accidentally breaks a client's window, or if your product causes someone an injury - general liability is the coverage that responds.
What General Liability Covers
- Third-party bodily injury and property damage
- Legal defense costs (even for frivolous claims)
- Products and completed operations liability
- Personal and advertising injury
What It Doesn't Cover
General liability does not cover: - Your own employees' injuries (that's workers' comp) - Your own property (that's commercial property) - Professional mistakes (that's E&O) - Employment-related claims like wrongful termination (that's EPLI)
What Landlords and Clients Require
Landlords and clients increasingly require proof of general liability before you can sign a lease or start a contract. Limits of $1 million per occurrence / $2 million aggregate are the most common minimums written into lease and contract language.
For most small businesses with moderate risk, a Business Owners Policy (BOP) bundles general liability and commercial property at a discount compared to buying them separately. The NC Department of Insurance provides licensing and coverage information for small businesses operating in North Carolina. Explore business insurance options or contact IronHaven for a quote in Wake Forest or across North Carolina.
