Key Distinctions Between Public Liability and General Liability Insurance Coverage

Liability Insurance / Monday, May 3rd, 2021

Every business needs certain types of essential insurance coverage, but if you’re unclear on the differences between general liability insurance and public liability insurance, narrowing down your options could seem difficult. While both types offer important protections, they have a few key distinctions that could make a big difference to your company. Here are the foundational elements of each to help you decide which coverage your business requires.

Public Liability Coverage Protects Businesses From Certain Third-Party Losses

As opposed to some other insurance types, public liability provides coverage for losses involving third parties or the public, which can include your business’s clients and customers. Some instances of typical public liability covered events encompass:
·     Property damages
·     Injuries on business premises
·     Losses suffered on premises by third parties, such as delivery workers, clients and visitors

General Liability Insurance Offers Extensive Legal Protections

By contrast, as its name would suggest, general liability insurance offers extensive, broad protections to cover a number of common workplace incidences. Some examples of events that could be protected under a general liability policy include:
·     Negligence
·     Employee or customer injuries
·     Workplace accidents
·     Legal and medical bills arising from workplace incidents
·     Defective products

Grasping the essential distinctions between public liability insurance and general liability insurance can help your business make a tailored and fully informed decision. Review these basics as you choose your company’s total coverage package.