Owing a fleet business isn’t as easy as it looks. You have to maintain the fleet vehicles, deal with damages and ensure optimal productivity out of your fleet. But, apart from this, business-owning fleets also require to deal with the issue of liabilities.
In this aspect, liability means taking responsibility for any damages your company might do to a third-party. For fleets, this can be accidents, injuries and whatnot. This is why if you own a small fleet management company in Canada, you should start searching for commercial general liability insurance Ontario cost.
The reason is commercial general liability insurance can help you deal with any problems resulting out of third party damages or accusations.
Now, you might have no clue what commercial general liability entails, and that is okay! This blog will discuss all the topic at hand, and tell you why you should own one!
Let’s get started!
Commercial General Liability: An Overview
Each commercial general liability policy has specific coverage levels. For example, one policy might cover premises that protect a fleet business from liabilities that can occur in the business’s physical location during work hours. Other times this insurance might also cover for property damage and bodily injuries that can occur to third-parties.
The other kind of policies might include excess liability coverage which will provide insurance on claims that surpass the CGL limits. Other times these commercial general liability policies might have exceptions where only certain actions and conditions are covered. For instance, a particular policy might fail to cover costs related to product recollection.
Therefore, before opting for CGL insurance make sure that you know the difference between an occurrence policy and a claims-made policy.
Occurrence Policy
The occurrence policy covers claims only when the claim occurred during the designated time allotted for that coverage. In short, for example, if an injury occurred during the occurrence policy then only the person can get the insurance.
Claims-Made Policy
Claims made policy will cover insurance over a specific time limit. Now, in case a liability occurs during that period, one will get the insurance.
Apart from these insurances, a fleet business can also opt for other kinds of liability policies. For example, a business can even opt for ‘employment practices liability coverage.’ This will protect the business from accusations against discrimination, wrongful termination and sexual harassment.
Last but not least, the business can purchase insurance to cover up for mistakes made in financial statements, along with cover for harms, resulting due to the actions of its officers or directors.
Basic Takeaway Points –
- (CGL) is more like all-inclusive insurance that offers coverage in case of injuries or damages caused due to products or business operation in the premises.
- Companies are allowed to add third parties or other enterprises in their policies as ‘additionally insured.’
On that note, now that you’re aware of what CGL is, hurry and find the commercial general liability insurance Ontario cost. Now, invest in a good insurance policy and secure your business better.
