 An incident occurs. You know your company made a mistake. The person who suffered a loss wants to take your business to court. What do you do? The good news is your general liability insurance is likely to provide financial support for you. It can help you in several key ways including those out-of-court settlements that may become necessary. Here is what you can expect.
When Your Company Is At-Fault
There are many instances in which a business may be at fault for others' losses. Most often, companies do not set out to injure customers or to create defective products. However, accidents can happen in any location.
Your general liability insurance can help cover many of these risks. Most often, this policy covers the cost of injury or property damage losses the individual suffers. This generally includes things like lost time at work due to the injury and medical bills. Sometimes, the injured party might claim more than the policy will offer. Your insurance company may dispute those claims. And, that can mean the case goes to court.
Your Insurance Goes to Work for You
You are not alone in this fight. The general liability insurance may help cover the legal costs you have to defend your business. This includes providing an attorney or paying for one. It also includes court-related fees.
In many situations, the goal is to settle the matter as soon as possible. This is best for the business because it reduces any type of publicity. It is also good for the injured party. They get the funding they need.
Settlements can occur at any time. This includes before the court or after. In some situations, your attorneys may not be willing to settle a case due to a lack of insight into the losses, or claims that do not align with what most people would expect. Yet, they will negotiate and will follow any requirements set by the court.
Keep in mind there are limits. General liability insurance coverage has an upper limit. Once that case meets that limit, it becomes your responsibility to pay for the remaining losses you have. This is why it is always beneficial to have a large liability policy and, in some cases, an umbrella liability insurance plan to extend your protections.
Call Bromell Agency at (318) 251-1212 to determine your risks. If you have general liability insurance, there is protection available to help you throughout the process.
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Posted Wednesday, June 05 2019 6:00 AM
Tags : business insurance, general liability insurance,
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