How CGL Insurance Protects Your Kelowna Business

How CGL Insurance Protects Your Kelowna Business

August 29, 2024 / 5 mins read

Your Kelowna business comes into contact with third parties – customers, suppliers, and other businesses – that could result in a personal injury accident, stolen property, or damaged property at your business.

Commercial general liability (CGL) insurance is essential insurance coverage to protect your Kelowna business from the financial damages associated with third-party claims of injury or property damage.

Your Western Financial Group business insurance expert will give you top-notch commercial insurance advice and ways to save on insurance for your Kelowna business.

What is commercial general liability (CGL) insurance?

Commercial general liability insurance provides financial coverage for claims of third-party bodily injury and property damage caused by your business resulting from negligence or unexpected accidents.

What kind of risks does commercial general liability insurance help cover?

  • Injury to a third party who is not your employee
  • Damage to someone’s property
  • Damage to rented property
  • Medical bills if someone is injured
  • Legal costs and settlement costs of liability lawsuits filed against you
  • Liability lawsuits related to slander and libel

What Kelowna businesses need CGL insurance?

General commercial liability insurance for small businesses is needed if:

  • You have a business or office in direct contact with customers/clients
  • You have employees who conduct business off-site

Why is CGL insurance important for your Kelowna business?

Lawsuit protection: It protects your small business from potential lawsuits resulting from accidents, injuries, or property damage that occur on your premises or as a result of your business operations.

Financial security: In the event of a claim that is covered by your insurance policy, CGL insurance can provide the financial means to cover legal expenses, medical costs, and potential settlements, helping to protect your Kelowna business's financial stability.

Credibility: CGL insurance shows clients, suppliers, and partners that your business is prepared for any unexpected incidents.

Your peace of mind: You can operate your Kelowna business knowing that you have financial protection against potential lawsuits.

2 examples of how commercial general liability insurance protects your Kelowna business

  1. A customer slips and falls on a wet floor at your business, breaking her wrist and spraining her back. The client sues your business for bodily injury and wins. Your CGL coverage can help cover the legal expenses and medical expenses.
  2. You’re a painter and you spill paint on a client’s hardwood floor. Your CGL insurance coverage can help cover the cost of cleaning or replacing the hardwood floor.

How much does general commercial liability insurance cost?

There isn’t a set price because all Kelowna businesses are different.

It wouldn’t be unusual for you to have $2 million in CGL coverage for your business, or more depending on its size and services.

The following factors are taken into consideration when determining the best policy options for you:

  • Your location
  • Years in operation
  • Annual revenue
  • Number of employees
  • Any past claims

What isn’t covered by commercial general liability insurance?

  • Professional services/advice
  • Intentional criminal acts
  • Patent infringement
  • Your vehicles
  • Contractual liability

What other kinds of insurance do Kelowna small businesses need?

Commercial vehicle insurance is also needed: When you or your employees are on the road for work, commercial vehicle insurance may cover your vehicles in the case of an accident. Your personal vehicle insurance will not cover you in the case of an accident if the work is related to your Kelowna small business.

Here’s an insurance checklist for Kelowna businesses:

  • Do you have the best business insurance rate that suits your work?
  • Do you have the right amount for your deductible and regularly review it to make sure it’s the right amount for you?
  • Are you or your employees using personal vehicles for work?

What do I do if there’s a claim against my Kelowna business?

  • Contact your broker immediately after any business-related mishap. Waiting to file a claim can confuse insurers about the severity of the damages to your business.
  • Know your policy so that when you contact your broker you are familiar with what will be covered or not.
  • Document the damage. Take photos right away and write down what happened.
  • Do not throw away damaged goods after taking photos. Keep the physical evidence so that your adjustor can see it.
  • Do not invite lawsuits. Don’t say anything that could be used against you, especially if you aren’t sure what happened.
  • Be honest about what your damaged property is worth. Damaged commercial property is generally valued according to its actual cash value or replacement value.

Western Financial Group has licensed BUSINESS INSURANCE EXPERTS to get you the right commercial property insurance at the right value for your Kelowna business. Our experts are available now to help you navigate the business insurance journey.

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