General liability insurance, sometimes called commercial insurance, protects your business in the event of a third-party lawsuit. From liquor liability policies to errors and omissions coverage, hospitality businesses have plenty of insurance options, but a general liability plan tops the list of must-haves. It is the most basic—and the most essential—insurance policy for restaurants, bars, nightclubs, and cafes.
Why You Can’t Ignore the Most Important Business Owner’s Policy
In this litigious day and age, businesses bear a heavy legal responsibility. Over the past few decades, lawsuits have proliferated and rewards have skyrocketed. Some claims are valid. Others are not. In either case, an effective legal defense can cost a fortune. One protracted lawsuit can easily bankrupt a small- to medium-sized establishment. The only way to minimize the risk and save your business from ruin is to purchase general business liability insurance.
What Types of Businesses Can Benefit from General Liability Policies?
Every small business needs a general liability policy. Whether you work in an office or a boutique, whether you own a coffee shop or a tax consulting service, you should be covered in the event of a lawsuit. Insurance is particularly important for hospitality businesses that frequently: