A quick reference for terms specific to commercial general liability insurance. For terms that apply across every kind of policy, see our General Terms glossary, or the full Insurance Terms index.
Additional Insured
A person or business added to someone else’s policy so they get some of the same protection. This comes up constantly in commercial contracts. See our General Terms glossary for the full definition.
Aggregate Limit
The most your policy will pay in total for all claims during the policy period, usually one year.
Bodily Injury
Physical injury to another person that your business may be held responsible for.
General Liability (GL / CGL)
Covers claims that someone was injured, or their property was damaged, because of your business operations.
Occurrence vs. Claims-Made
Two different ways a liability policy decides which claims are covered. An occurrence policy covers incidents that happened during the policy period, no matter when the claim is filed. A claims-made policy only covers claims filed while the policy is active.
Per Occurrence Limit
The most your policy will pay for a single incident.
Personal and Advertising Injury
Covers claims like libel, slander, or copyright issues that come up in the course of doing business, rather than physical injury.
Products and Completed Operations
Covers claims that arise after a job is finished or a product is sold, like if a completed project causes damage down the road.
Property Damage
Physical damage to someone else’s property that your business may be held responsible for.
Waiver of Subrogation also comes up often in commercial contracts. See our Certificate Terms glossary for that definition.