General Liability Insurance in Vermont

What is general liability insurance?

Operating a business in Vermont exposes you to a variety of common liability risks. Fortunately, many of these can be mitigated with general liability insurance.

General liability insurance is a fundamental form of liability protection. It covers risks that almost every business faces, ranging from customer/client injuries to defamation allegations.

What businesses in Vermont should purchase general liability insurance coverage?

Almost every business in Vermont, regardless of size, location, or industry, can benefit from general liability insurance coverage. Very few businesses aren’t exposed to the risks it protects against.

Should owners of small home businesses get general liability insurance coverage?

Despite typically being smaller operations, home businesses are usually still exposed to various risks that general liability insurance coverage can protect against. Again, almost no business isn’t exposed to these risks even if they’re small.

Acquiring general liability for home businesses can be achieved through a few different options:

• Homeowners Insurance: Some homeowners insurance policies might have basic general liability coverage, perhaps as a rider that’s added onto the policy. This tends to offer only limited protection, but that may be all that a home business owners needs.
• Commercial Insurance: If sufficient general liability isn’t accessible through a homeowners insurance policy, it could be obtained via a commercial general liability policy. The coverage can be purchased by itself, or as part of a business owners policy that provides a few other important protections.

Should a commercial policy be necessary, an experienced insurance agent can assist home business owners in finding an affordable solution that still meets their needs. An agent well-versed in general liability will know how to balance cost with coverage.

What coverages come with general liability policies?

General liability policies often contain a suite of specific coverages, each giving a particular type of liability protection. Some important coverages are:

• Premises Liability Coverage: May guard against commonplace (e.g. slip and fall) accidents that take place on your business premises, and result in injury or damage.
• Bodily Injury Coverage: May guard against injuries suffered by customers, vendors, or other third-party individuals (not employees), whether occurring on your business’s property or elsewhere.
• Property Damage Coverage: May guard against damage to a third party’s property, whether occurring on your business’s property or elsewhere.
• Personal and Advertising Injury Coverage: May guard against claims arising from slander, libel or misleading advertising.

The applicability of these coverages can vary depending on the location and nature of the business. An experienced insurance agent can provide guidance on where and when each of these would apply.

Does general liability insurance coverage cover vehicular accidents?

Vehicular accidents typically fall under commercial auto liability, and not general liability. Businesses requiring protection for companies can often bundle commercial auto liability with general liability in either a business owners policy or commercial package policy.

Does general liability cover injuries and damage caused by products?

Injuries or property damage resulting from sold products generally require product liability coverage. While some general liability policies may offer minimal product liability coverage, businesses with substantial exposure to product risks should consider a dedicated product liability policy. 

Product liability likewise can often be bundled with general liability, usually as part of a commercial package policy. An agent who assists with general liability can also help businesses find product liability coverage if it’s needed.