Commercial General Liability Insurance for Ontario Businesses
Commercial general liability insurance, commonly called CGL, protects businesses against certain thirdparty claims involving bodily injury and property damage arising from their operations.
Humberview Insurance Brokers helps Ontario businesses compare commercial liability insurance options from multiple insurance companies.
What Commercial General Liability Insurance Covers
| Bodily Injury | Property Damage | Personal & Advertising Injury |
|---|---|---|
| Claims involving injuries to third parties | Claims involving damage to third-party property | Certain covered claims involving personal or advertising injury |
| Legal Defence | Products & Completed Operations | Tenant’s Legal Liability |
| Defence costs for covered liability claims | Liability arising from eligible products or completed work | Certain damage to premises rented or occupied by the business |
Coverage is subject to policy terms, conditions, limits and exclusions.
What is Commercial Liability Insurance in Ontario?
Commercial liability insurance policy is a vital form of protection designed to safeguard businesses from various legal claims and financial losses. This insurance covers a broad range of incidents, including bodily injuries, property damage, and personal injury that may occur on business premises or as a result of business operations. It provides peace of mind for business owners by ensuring that they are protected against unforeseen circumstances that could potentially jeopardize their financial stability.
Small Business General Liability Insurance and Big Business Particularly important for small business owners and enterprises alike, Humberview Insurance offers tailored protection that fits each business’ unique needs. Customizing small business liability insurance coverage is essential for comprehensive protection, ensuring that every aspect of your business is safeguarded. Additionally, business public liability insurance offers another layer of security, covering incidents that might occur in public spaces or during interactions with the public. With the right coverage in place, business owners can focus on growth and success, confident in the knowledge that they are well-protected.
Other Business Insurance Coverage
Commercial Property · Cyber Liability · Professional Liability · Commercial Auto · Equipment & Tools
What Commercial Liability Insurance May Not Cover
| Professional Errors | Employee Injuries | Your Own Property |
|---|---|---|
| May require professional liability insurance | Generally handled separately from CGL | CGL is primarily designed for third-party claims |
| Cyber Incidents | Pollution | Intentional Acts |
| May require cyber liability insurance | Often excluded or restricted | Intentional injury or damage is generally excluded |
What Are Common Exclusions under a Commercial General Liability Policy
Intentional Acts
Any damages or injuries caused intentionally by the insured or their employees are generally excluded.
Professional Services
Errors and omissions related to professional services are usually not covered. This type of risk often requires separate professional liability insurance.
Employee Injuries
Injuries to employees are typically excluded, as these are covered under workers’ compensation insurance.
Contractual Liability
Liabilities assumed under a contract or agreement that the insured would not have had in the absence of the contract are often excluded unless specifically included.
Pollution
Most policies exclude coverage for pollution-related claims unless the pollution event is sudden and accidental.
Damage to Insured’s Property
Damage to property owned, rented, or controlled by the insured is generally not covered.
Product Recall
Costs associated with recalling a defective product are typically excluded from coverage.
Employment Practices
Claims related to wrongful termination, discrimination, harassment, and other employment practices are not covered and usually require separate employment practices liability insurance (EPLI).
Liquor Liability
Damages arising from the sale or serving of alcohol are often excluded unless the business has specific liquor liability insurance.
Asbestos
Claims related to asbestos exposure are commonly excluded due to the high risk associated with asbestos-related illnesses.
War and Terrorism
Most policies exclude damages resulting from acts of war or terrorism, although
coverage for terrorism can sometimes be added as an endorsement.
Cyber Liability
Data breaches and other cyber-related incidents are generally not covered under standard commercial liability policies and require separate cyber liability insurance.
Why Humberview for Commercial Liability Insurance?
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Multiple Insurance Markets
Compare commercial liability options from multiple insurers.
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One Dedicated Broker
Work with the same licensed broker who understands your business.
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Coverage for Different Industries
Insurance options for businesses across a wide range of industries and operations.
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Independent Since 1982
Helping Ontario businesses with their insurance for over 40 years.
Commercial Liability Insurance FAQ
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What is commercial liability insurance in Canada?
Commercial liability insurance in Canada is a type of coverage designed to protect businesses from financial loss due to claims of bodily injury, property damage, and personal injury (such as slander or libel) that occur during business operations. It provides essential protection against legal liabilities that can arise from accidents or unforeseen events.
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How much is commercial general liability insurance in Canada?
The cost of commercial general liability insurance in Canada varies widely depending on several factors, including the type of business, its size, location, claims history, and the coverage limits chosen. On average, small businesses might pay between $500 to $2,000 annually, but this can be higher for businesses with greater risks or larger coverage needs.
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What is the meaning of commercial liabilities?
Commercial liabilities refer to the legal responsibilities and obligations that a business has in the course of its operations. This includes potential liabilities for bodily injury, property damage, or personal injury caused to third parties. Managing these liabilities is crucial to protect the business from significant financial losses and legal issues.
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What are the benefits of business liability insurance?
Business liability insurance offers several benefits:
Financial Protection: Covers legal costs, medical expenses, and damages if your business is found liable.
Risk Management: Helps mitigate risks associated with business operations.
Credibility:Enhances business credibility and trust with clients and partners by demonstrating a commitment to risk management.
Peace of Mind: Provides business owners with peace of mind, allowing them to focus on their operations without worrying about potential lawsuits or claims.
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Should I get commercial liability insurance?
Yes, obtaining commercial liability insurance is highly recommended for most businesses. It protects against significant financial losses from legal claims and helps ensure the continuity and stability of your business operations. Without it, a single lawsuit or claim could potentially bankrupt or severely damage your business. It’s an essential investment in your business’s security and longevity
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What is a 2 Million Dollar Liability Insurance Policy and why might my business need it?
A 2 Million Dollar Liability Insurance Policy provides coverage up to two million dollars for claims related to bodily injury, property damage, and personal injury that occur as a result of your business operations. These days, we recommend this to be the minimum level of coverage for most businesses, as it offers substantial protection against significant claims that could otherwise jeopardize your financial stability. This level of coverage is especially beneficial for businesses facing higher risks or those that need substantial protection due to the nature of their industry. Additionally, having a 2 Million Dollar Liability Insurance Policy can enhance your credibility with clients and partners, showing that you are well-prepared to manage potential liabilities.
