commercial general liability insurance
covers business liability exposures
business liability
liability that arises out of conduct of a business
premises and operations exposure
liability arising out of the business location or the activities of the business
personal and advertising injury
includes such thing as slander, libel, copyright infringement, invasion of privacy, false arrest. wrongful entry onto another's premises, and malicious prosecution
products or completed operations
spoiled food, defects of products
indirect or contingent liability
actions of a business' employees, agents, contractors, or subcontractors
commercial general liability coverage part
common policy declarations, common policy conditions, CGL declarations, one or more CGL coverage forms, any mandatory endorsements
occurrence form
traditionally, liability policies have been written on an occurrence basis. triggered by damage or injury that occurs during the policy period
claims-made form
triggered when a claim is first made against the insured during the policy period, even if the actual injury or damage occurred at another time.
retroactive date
a date before which a claims-made policy will not pay. provides some measure of protection against previous losses that may have occurred before the claims-made form was written
extended reporting periods
(ERPs) provide coverage for claims made after the policy's expiration date. the policy provides an extended reporting if: the claims-made form is canceled or not renewed, the insurer renews or replaces the form with insurance that has a retroactive date l
basic extended reporting period
either 60 days or 5 years is available automatically and free of charge under specified conditions
supplemental extended reporting period endorsement
provides an unlimited extension of the reporting period, although the event causing the claim must still occur between the retroactive date and the policy expiration date.
auto
a land motor vehicle trailer or semitrailer, including any attached machinery or equipment
mobile equipment
any of the following types of land vehicles: bulldozers, vehicles that travel on crawler leads, etc
insured's product
means any goods or products, other than real property, that are manufactured, sold, handled, distributed, or disposed of by the insured, others trading under the insured's name, or a person or organization whose business or assets the insured has acquired
insured's work
means work or operations performed by or on behalf of the insured, and materials, parts, or equipments furnished in connection with such work or operations.
impaired property
means tangible property other than the insured's prouct or the insured's work that cannot be used or is less useful because it incorporates the insured's product or work that is known or thought to be defective, deficient, inadequate, or dangerous, or the
coverage territory
described territory of the US including its territories and possessions, Puerto rico, and Canada.
loading and unloading
handling of property: after it is accepted for movement into or onto an aircraft, watercraft, or auto
while it is in or on an aircraft, watercraft or auto
while it is being moved from an aircraft, watercraft, or auto to the place where it is finally deliv
pollutants
any solid, liquid, gaseous, or thermal irritant or contaminant including smoke, vapor, soot, fumes, acids, alkalis, chemicals, and waste.
products-completed operations hazard
includes all BI and PD occurring away from the premises owned or rented by the insured, and arising out of the insured's product or work, other than products that are still in the insured's physical possession and work that has not yet been completed or a
leased worker
a person leased to the named insured by a labor leasing firm under an agreement between the insured and labor leasing firm to perform duties related to the conduct of the insured's business
temporary worker
a person who is furnished to the insured to substitute for a permanent employee on leave, or to meet seasonal or short term workload conditions
employee
includes leased workers, but not temporary workers
volunteer worker
a person who is not an employee, who donates his time and who is not paid by the insured or anyone else for work performed.
Coverage A
bodily injury and property damage liability pays those sums the insured becomes legally obligated to pay as damages because of bodily injury or property damage to which the insurance applies
occurrence
defined in the CGL as an accident, including continuous or repeated exposure to the same general harmful conditions
incidental contracts
liability that the insured would have incurred even without assuming it under contract and liability assumed under this contract. it includes leases, sidetrack agreements, easement agreements, contracts with municipalities required by ordinance, elevator
Coverage B
provides personal and advertising injury liability coverage, which covers liability arising out of such offenses as libel or slander. like Coverage A, personal and advertising injury liability coverage may be offered on either an occurrence or claims-made
indemnitee
a party who is not an insured who is under contract to provide goods, or services to an insured
Coverage C
medical payments- it pays for medical expenses incurred for bodily injury caused by an accident on premises the insured owns or rents, on ways next to premises the insured owns or rents, or arising from the insured's operations. to be covered, the expense
general aggregate limit
most that will be paid for the sum of Coverages A, B, and C, except for damages arising out of products- completed operations hazard.
products-completed operations aggregate limit
represents the most that will be paid under coverage A because of injury and damage arising out of the products-completed operations hazard
personal and advertising injury limit
represents the most that will be paid under coverage B for the sum of all damages due to personal injury or advertising injury sustained by any one person or organization.
per occurrence limit
the most that will be paid for the sum of damages under coverages A and C because of all bodily injury property damage and medical payments arising out of any one occurrence
damage to premises rented to the insured limit
represents the most that will be paid under Coverage A for liability for fire damage to premises rented to the insured or occupied by the named insured with the owner's permission arising out of any one fire
medical expense limit
the most that will be paid under coverage C for all medical expenses because of bodily injury sustained by any one person.
when we do not renew condition
states that if the insurer decides to not renew the CGL policy, it must mail or deliver written notice of the nonrenewal to the first named insured at least 30 days before the expiration date of the policy
other insurance condition
states that when the insured's CGL is primary and other primary insurance applies to the same loss, the loss will be divided between the policies by one of two methods:
contribution to equal shares, contribution by limits
contribution by equal shares
all insurers contribute equally up to the limit of the policy with the lowest limit. at that point, the insurer with the lowest limit stops paying since it has already paid it's policy limit, and the other insurers share the remainder of the loss. this co
contribution by liimits
each company pays a proportion of the loss equal to the proportion its policy limits bear to the total amount of insurance available.
your right to claim and occurrence information condition
included in the claims-made form- it provides that the insurer will give the first named insured certain information relating to the current CGL claims-made form and any previous claims-made forms the insurer has issued to the insured during the previous
pollution liability coverage extension endorsement
overrides the coverage A exclusions for BI and PD claims arising out of pollution losses. it does not, however, provide coverage for clean up costs associated with pollution losses
owners and contractors protective liability (OCP) coverage form
specifically designed to provide this coverage. it is purchased by someone other than the named insured to protect the insured against liability arising out of work performed for the insured by an independent contractor. it is most frequently used to prot
liquor liability coverage form
covers insureds who are in the liquor business. it covers liability for contributing to a person's intoxication or for providing liquor in violation of the law for businesses engaged in the liquor business.
pollution liability coverage form
cover certain pollution losses excluded under the standard form. each covers pollution incidents, which are emissions of pollutants into or on land the atmosphere or water that cause environmental damage. the only difference is that pollution liability-li