General Liability (GL)

The foundation business policy — covers third-party bodily injury and property damage, like a customer slipping in your shop.

General liability is the foundation policy for most businesses. It covers third-party bodily injury and property damage — the everyday “someone got hurt or something got broken” claims.

If a customer slips in your shop, your sign falls on a parked car, or your product injures someone, GL responds to the claim and your legal defense. It typically includes personal and advertising injury (things like libel or copyright in your ads) too.

What GL does NOT cover is just as important: it won’t handle your own professional mistakes (that’s E&O), your employees’ injuries (workers’ comp), or damage to your own property. It’s the base layer you build the rest of your program on.

Small business insurance →

This is a friendly general explanation, not legal or policy language. Exact coverage depends on your policy, carrier, and state. 🤝

Written and reviewed by the We Insure Things team — licensed independent insurance agents. Last reviewed July 23, 2026. Questions? Ask a licensed agent.