What is Excluded Under the CGL Policy?

Commercial General Liability (CGL) insurance is made to shield companies from financial harm caused by lawsuits or other third-party legal claims. Although CGL policies cover a variety of hazards, some exclusions are not covered by the policy. The CGL policy’s exclusions and other pertinent issues will be covered in length in this article. Exemptions from the CGL Policy:

1. Professional services: Claims resulting from professional services rendered by the firm are not covered by CGL coverage. For instance, the CGL policy would not apply if a doctor gave inaccurate medical advice.

3. Pollution: CGL insurance do not provide coverage for losses brought on by contamination of the air, water, or soil.

5. Property damage: The CGL policy does not provide coverage for damage to the company’s property. This covers harm brought on by fire, flooding, and other calamities. However, third-party negligence-related property damage may be covered.

If you simply carry third-party insurance, you are only protected for harm done to other people’s property and third-party injuries. Your own car or property is not covered by third-party insurance. A type of insurance known as limited third party insurance provides coverage for harm done to third parties, but it does so with a lesser coverage amount than standard third party insurance.

Insurance against theft and fire damage as well as covering for harm done to other people’s property is offered by third-party fire and theft insurance. Although this kind of insurance may be less expensive than comprehensive insurance, it is crucial to weigh the risks and the possibility of financial loss before choosing this kind of insurance.

In conclusion, CGL policies offer thorough protection for companies, however there are some exclusions that are not covered by the policy. To guarantee total protection for your company, it’s critical to be aware of these exclusions and choose additional coverage as needed. Some businesses may be able to get by with just third-party insurance, but it’s crucial to consider the risks and pick the policy that best suits your requirements.