Every business owner should have commercial general liability insurance as it is your first line of defense in protecting your business and the assets of the company. Whether you are a local florist, plumber, a restaurant owner or a medical office, the issue remains the same: having liability insurance will give you the protection you need against lawsuits and a variety of claims. Your local commercial general liability insurance agency will have access to many different markets and the expertise needed to find the right coverage for your business.
As an overview, commercial general liability insurance is a specific type of insurance that is designed to protect the insured business against bodily injury or property damage claims. This could mean any number of things including slander, injury due to an irresponsible act, damage to someone else’s property, etc. In the event that you as a business owner are sued, the financial repercussions can be devastating. Just think about what it would cost you in legal defense whether or not you win the lawsuit. With a general liability policy, legal defense is included against those claims covered in the policy. There are a lot of uncertainties in life, but it is important to realize that as a business owner, if you do not have insurance, you put yourself at risk of losing everything you have worked for – your business, your home and your assets.
Reposted from Quora: http://www.quora.com/Insurance/What-is-commercial-liability-insurance