When Should I File a General Liability Claim?

General liability is one of the biggest sources of lawsuits for businesses across industries and sizes. This refers to common accidents involving non-professional negligence, such as a guest slipping on the floor of your restaurant. General liability insurance is designed to protect your business—and other parties involved—in case of such an accident.

There are a few different areas of general liability:

Lawsuits are expensive, so you will want to file an insurance claim so that your company’s assets aren’t drained in case a claim occurs. You can’t wait too long to file a claim, however.

The time you have to file a claim depends on the claim itself and the type of policy you have. With liability insurance, you generally have two choices for your policy: claims-made or occurrence. General liability policies are typically occurrence policies, meaning the claim is only covered if the incident occurred while the policy was in place. With a claims-made insurance policy, the coverage only steps in if the claim is filed against the insured while the policy is active, regardless of when the actual incident occurred. There are benefits to both types of coverage.

If you are sued, states may require you to respond to the claim against you within a certain period of time. This period is often 20 days but can vary per state and situation. It is during this time that you should file a general liability claim by calling your insurance agency. Be sure to have information ready to file the claim.

 1. Your contact information

2. Name of the insured (company name, for example)

3. Policy number

4. Date and location of the incident

5. A detailed description of the incident

6. Any documentation that can be used to approve the claim

If the incident involves bodily harm or injury, be sure that the victim receives medical attention first and foremost. After filing a claim with your insurance agency, the victim may receive compensation for medical expenses.

There are instances where an insurance company may deny your claim. Intentional or criminal acts will not be covered under a general liability policy, nor will incidents that occur outside of the scope of work. General liability is different than professional liability, and claims made due to negligence on behalf of your or the business likely won’t be covered with general liability. It also does not cover employee injuries. If an employee is injured at work, it’s critical to have workers compensation insurance in place to ensure they receive medical treatment and wage compensation, if necessary.