Common General Liability Claims Small Businesses Face

Running a small business involves risks, and one major concern is general liability claims. These claims can arise from different situations and significantly affect a business’s finances. By understanding the most common general liability claims, business owners can take proactive steps to reduce risks and protect their businesses.

Slip-and-fall Accidents

Slip-and-fall accidents are one of the most common sources of general liability claims. They can happen on business premises due to hazards such as wet floors, uneven surfaces or poor lighting. If a customer or visitor gets injured, they may file a claim to cover medical expenses, lost wages and other financial losses caused by the accident.

Property Damage

Property damage claims are another common type of general liability claim. They occur when a business’s operations damage other parties’ property, such as that of a customer or neighbor. For example, a contractor might accidentally damage a client’s furniture while working at their home. These claims can be expensive, often requiring costly repairs or replacements.

Product Liability

Product liability claims are a significant risk for businesses that manufacture or sell products. These claims may occur when a product is defective, unsafe or lacks necessary instructions, causing third-party injuries or property damage. Dealing with product liability can be costly, often involving legal fees and significant compensation payouts.

Advertising Injuries

Advertising injury claims may involve various incidents, including defamation, copyright infringement and invasion of privacy. Small businesses should be careful with marketing to avoid making false statements or using copyrighted material without permission, as these mistakes can lead to costly legal disputes.

Protect Your Business

Handling general liability claims can be challenging for small business owners.  Contact Sanchez Insurance today to explore your coverage options.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.