Risk Tips
A certificate of insurance
One page, usually issued the same day, that a job site will not let you start without. It proves your coverage exists. It does not give anybody any, and that gap is where the arguments happen.
Commercial General Liability Insurance
Essential protection when someone is injured or their property is damaged because of your business.
Get your general liability insurance quote
How do you prefer to work through your insurance?
General liability insurance can cover claims from other people, like customers, visitors, or the public, when your business, your location, or your products injure someone or damage their property. It also pays to defend you against those claims, even ones that turn out to have no merit.
General liability insurance is a foundation of protecting almost any business. It can cover you when your work, your location, or your products injure someone or damage their property, and it pays your legal costs if you are sued. In Alberta it is rarely required by law, but landlords, clients, and contracts routinely ask for proof of it before you can sign a lease or start a job. Without it, a single lawsuit could put everything you have built at risk.
Who Should Consider General Liability Insurance?
Any business that deals with the public, has a location, or sells products should carry general liability. It is one of the most basic forms of business protection.
- Any business that has clients, customers, or vendors visit its location
- Companies that make, distribute, or sell physical products
- Service providers whose work could damage a customer's property
- Contractors and tradespeople working at other people's sites
- Businesses required by a lease or contract to carry liability coverage
What can be covered?
Bodily Injury
Claims when someone is physically injured at your location or because of your work.
Property Damage
When your business damages property that belongs to someone else.
Reputation & Advertising Claims
Claims that you harmed someone's reputation, such as libel or slander, or copied their advertising.
Legal Defence Costs
Your legal costs on a covered claim are paid, no matter who ends up being at fault.
Medical Expenses
Reasonable medical costs if someone is hurt at your location or by your product, paid up to a small set amount no matter who was at fault.
Product & Finished-Work Claims
Injury or property damage claims tied to your products or to work you have already completed.
Coverages shown are general examples, not a description of any specific policy. Policy coverages widely vary and should be confirmed with your broker.
How Much Coverage Do You Need?
The right amount depends on your risk level, where you work, what you make or sell, and the size of your business. In today's climate, $2 million is widely regarded as the standard minimum general liability limit, and many leases and contracts require at least that, with some asking for $5 million. Higher-risk businesses, or those making products that could cause harm, may need more. We can help you land on the right amount for your situation.
How Pricing Works
What drives your premium
- What your business doesThe work itself is the biggest driver. A roofing crew working at height, a restaurant serving the public, and an accounting office all present very different chances of injuring someone, and they price accordingly.
- Annual revenue and payrollGeneral liability is usually rated on your sales and your payroll, because more revenue and more staff mean more customers, more jobs, and more chances for something to go wrong.
- Public contact and your premisesHow many people come through your door, and the condition of your floors, stairs, parking lot, and sidewalk, all affect the slip-and-fall exposure you are asking the insurer to take on.
- Products and completed workIf you make, sell, or install something, claims can arrive long after the job is done. What you produce and who ends up using it feeds directly into the price.
- The limit you carry$2 million is now the standard minimum most Alberta businesses carry for any one claim, and leases and contracts often demand at least that, or $5 million. Higher limits cost more, though the increase is usually smaller than people expect.
- Claims historyA clean loss record lowers your premium. Past injury or property-damage claims, especially recent or repeated ones, raise it.
- Subcontractors and years in businessWork you pass down to subs adds exposure to your policy unless they carry their own coverage, and an established track record in your field improves your terms.
Frequently asked questions.
What does general liability insurance cover?
It covers claims that your business injured someone or damaged their property, such as a customer slipping on your floor or your work damaging a client's property. It also covers claims that you harmed someone's reputation, like libel or slander. Just as importantly, it pays your legal defence costs, even for claims that turn out to have no merit.
What is the difference between general and professional liability?
General liability covers physical harm to other people: bodily injury and damage to their property, plus reputation claims like libel or slander. Professional liability responds to a financial loss a client suffers because of a professional service you provided, such as advice, a design, or a consultation, where nobody was injured and nothing was physically damaged. For example, faulty installation that damages a customer's property is a general liability claim, while flawed professional advice that costs a client money is a professional liability claim. Some businesses need both, and we will tell you which apply to you.
How much coverage do I need?
In today's climate, $2 million is widely regarded as the standard minimum for any one claim, and it is what most Alberta leases and contracts ask for, with some requiring $5 million. The right number still depends on your industry, the size of the contracts you work under, and your overall risk, and we will match your limit to what you actually need.
Does general liability cover my own employees if they are injured?
No. Injuries to your own employees are covered by Workers' Compensation (WCB in Alberta), not general liability. General liability covers injuries to other people, like customers, clients, and the public, not your staff. We can make sure your WCB coverage and general liability work together with no gap between them.
Is general liability insurance required in Alberta?
It is not legally required for most businesses, but in practice it is essential. Landlords, clients, and contracts routinely ask for proof of it before you can sign a lease or start work. And even when no one requires it, a single injury claim can cost more than most businesses could pay out of pocket.
What does general liability not cover?
It is broad, but not everything. It generally does not cover poor-quality work on your own product or project, mistakes in your professional advice (that is professional liability), pollution, accidents involving vehicles you own (that is commercial auto), or losses from a data breach or cyber attack (that is cyber insurance). We will map out these risks and set you up with the separate coverages you actually need.
Get Your Liability Coverage Sorted
Our team is ready to find the right coverage at the right price. Get a quote today.
Further reading
From the blog