Commercial General Liability Insurance
Commercial general liability (CGL) insurance is an essential coverage for business owners. It provides protection for third-party lawsuits arising from issues like personal injury and property damage, which can be a financial strain on your business. Most of us hope we never have to use our CGL insurance, but when we do, we rely on our provider to be there for us.
Dealing with insurance adjusters is stressful, especially when someone is already threatening to sue. Rather than handle this burden yourself, let an insurance attorney do it for you. They can negotiate with adjusters on your behalf and represent you in court if necessary.
Insurance Attorney in Texas
Are you having a difficult time negotiating with adjusters? Do you believe your provider has handled your claim in bad faith? Ms. LeMaster and Ms. Ahmed at LeMaster & Ahmed PLLC are tenacious insurance lawyers with decades of experience in insurance litigation. They are fully versed in the tactics used by insurance companies to limit their liability, but they will ensure they are held accountable.
Call (832) 356-7983 to schedule a consultation. LeMaster & Ahmed PLLC assist policyholders in Montgomery County, Collin County, Harris County, Dallas County and Galveston County.
- What Does Commercial General Liability Insurance Cover?
- What is Not Covered?
- What Should I Do if My Claim Was Denied?
- Additional Resources
What Does Commercial General Liability Insurance Cover?
Lawsuits can hurt a business. You will have to pay legal fees and other damages if you are found liable, which will place a financial strain on your business. By having commercial general liability insurance, you expect your finances will be protected in the event of a third-party lawsuit.
CGL comprises of three basic coverage areas: Bodily injury and property damage, personal and advertising injury and medical payment coverage. Listed below is a brief explanation of each coverage area:
- Bodily injury and property damage: This coverage pays for the legal liability for property damage or bodily injury stemming from non-professional negligent acts or liability arising from business operations. Property damage is considered physical damage to tangible property while a bodily injury is any injury, sickness or disease. Death is also included.
Personal and advertising injury: Personal and advertising injury protects you against liability arising from crime such as slander and false arrest. Other crimes protected by CGL include:
- Copyright infringement
- Malicious prosecution
- Wrongful entry, eviction or invasion of privacy
- Stealing advertising ideas
- Medical payment: CGL provides coverage for medical payments for injuries suffered by non-employees on your premises or when exposed to your business operations. This coverage pays for all necessary medical expenses such as surgeries, ambulance rides, hospital stays and funeral costs. Medical payments are only provided for small medical claims without litigation. The other coverage areas cover medical payments stemming from litigation.
What is Not Covered
Commercial general liability insurance is not an all-inclusive insurance plan. The only liabilities CGL will cover are third-party lawsuits from non-employees. This means you will be left to pay out of pocket for other lawsuits and damage. Lawsuits and damage not covered by CGL include the following:
- Professional errors
- Employee injuries
- Employee discrimination lawsuits
- Damage to your business
You can purchase additional insurance to ensure your business is protected from these risks and perils. Professional liability insurance, for instance, will cover litigation costs for lawsuits arising from professional mistakes like missed deadlines and underdelivered services.
What Should I Do if My Claim Was Denied?
Denied insurance claims only add fuel to an already frustrating situation. Your provider may deny your claim because it fell under a policy exclusion or because their reason was in bad faith. Denying an insurance claim in bad faith is illegal in Texas and warrants civil litigation. In addition to unjustly denying a claim, common bad faith practices include:
- Refusing to pay a claim without a reasonable investigation
- Failing to provide a reasonable explanation for denying a claim
- Failing to accept or reject a claim in a reasonable time
- Denying a claim based on race, color, religion or other discriminatory reason
Litigation may be the only way to have an adjuster provide you with a defense and indemnify you against any awards or settlement. If you succeed, the court may award penalties and your attorney’s fees.
Commercial General Liability Insurance | Insurance Information Institute – Visit the Insurance Information Institute website to read more about CGL insurance. By accessing the site, you can find more information about the type of coverage provided by CGL and additional liability coverage to consider. The Insurance Information Institute is an online digest for insurance information.
Unfair Settlement Practices | Texas Insurance Code – Follow the link to read the chapter of the Insurance Code governing bad faith insurance practices. Section 541.060 discusses unfair settlement practices, while the remaining statute covers issues like misrepresenting policy information and deceptive advertising. The information can be read on the Texas Constitution and Statutes website.
Texas Insurance Lawyer
Let the legal team at LeMaster & Ahmed PLLC carry the burden of dealing with your insurance company. Ms. Ahmed and Ms. LeMaster have experience negotiating and litigating commercial general liability claims of all sizes. They will help you file the claim, negotiate on your behalf and represent you in court if necessary.
Call (832) 356-7983 to schedule a consultation today. LeMaster & Ahmed PLLC represents clients in areas across Texas such as The Woodlands, Plano, Houston, Dallas and Galveston.