California Commercial Insurance: What You Need to Know About Liability

When you run a business, however big or small, you have certain responsibilities. That’s why the liability component of your California commercial insurance is so important.

Liability claims on a business can come from a variety of sources. Here are just a few situations that could result in a claim:

  • A visitor to your premises is injured. The injury might be due to trip or fall, or even a physical altercation with someone on your premises.

  • A client may suffer financial loss due to an error made by you or one of your employees – for example, if you’re an IT business and an employee inadvertently causes a client’s web-based ordering system to crash, resulting in days of lost trade.

  • Incorrect advice. If part of your job is to provide professional advice, and some of the advice you provide is incorrect, your client could lose money and you could be sued.

  • Product liability. If you manufacture or produce a defective product that causes injury or illness you may be found liable for damages.

Even with the highest levels of quality control and customer service, businesses sometimes can’t avoid complaints or accidents. For the small business owner, a single lawsuit can be all it takes to bring about financial ruin – so having the commercial liability insurance California businesses need is a good idea.