General liability is a broad commercial policy that covers general liability exposures of a business. Coverage typically includes product liability, completed operations, premises and operations, and personal and advertising injury. Commercial Business Insurance Agency recommends that all businesses operating have general liability coverage in place.

The following are additional general liability coverages that are often available.

Professional Liability (E&O)

E&O covers professionals for negligence and errors or omissions that injure their clients. In addition to covering licensed professionals such as accountants, attorneys, insurance agents, architect and engineers, technology companies frequently have a professional liability exposure. This typically arises from the fact that the general liability policy excludes damage to data. Technology E&O can protect your company in the event that your negligence, error, or omission causes damage to a third party’s data. We recommend that all professional and technology companies have E&O coverage.

Employment Practices Liability Insurance (EPLI)

Employment Practices Liability Insurance covers employment-related liabilities other than on the job injuries. EPLI will cover legal fees and damages for suits such as wrongful termination, discrimination, sexual harassment, and other alleged violations of employees’ legal rights. Although only three percent of Employment Practices lawsuits go in favor of the plaintiff, the average cost to defend yourself in one of these is well over $200,000. If you have employees, we recommend considering this coverage.

Directors and Officers (D&O)

D&O covers directors and officers of a company for negligent acts or omissions and for misleading statements that result in lawsuits against the company. There are a variety of D&O coverages:

• Corporate reimbursement coverage indemnifies directors and officers of the organization.
• Side-A coverage provides D&O coverage for personal liability when directors and officers are not indemnified by the firm.
• Entity coverage, for claims made specifically against the company, is also available.

D&O policies may be broadened to include coverage for employment practices liability.

To find out more about this product and other products and services, contact us today.