General Liability Insurance

Commercial General Liability Insurance

Protect your small business from third-party injury and property damage claims with commercial general liability insurance.

Zen Man protected by CGL Insurance

Partnerships with over 50 leading Canadian insurance providers

Partnerships with over 50 leading Canadian insurance providers

Why Choose Zensurance?

We help Canadian small business owners save time and money by providing
a convenient and affordable way to buy business insurance.

General Liability Claims Examples


Bodily injury

Problem: Your client slips on the stairs on their way into your office, resulting in a broken wrist. 

Outcome: The client successfully sues your business for bodily injury. Your CGL coverage may cover the legal expenses and medical fees, totalling $25,000.


Property damage

Problem: You’re a general contractor hired to renovate a kitchen and accidentally damage your client’s hardwood floors. 

Outcome: Your CGL coverage policy covers the cost to repair the floors, totalling $10,000 in damages.


Product liability

Problem: A customer suffers from severe food poisoning after dining at your restaurant.

Outcome: The customer successfully sues you for bodily injury. Your CGL policy covers the medical expenses and legal fees, totalling $15,000.

Commercial General Liability Insurance, Explained.

What is commercial general liability insurance?

Commercial general liability (CGL) is an insurance policy that provides financial coverage for claims of third-party bodily injury and property damage caused by your business resulting from negligence or unexpected accidents.

Should your business be sued, CGL insurance typically covers compensatory damages awarded against you and any legal defence costs, regardless of the lawsuit’s outcome.

What does general liability insurance cover?

General liability insurance typically includes coverage for legal costs and damages related to the following coverage areas:

  • Bodily Injury Liability: Injuries or damage to a third party person or property resulting from your business operations. 
  • Product Liability: Property damage or bodily injury caused by a product you sell or supply. 
  • Tenant’s Legal Liability: Costs to repair or replace others’ property that you rent or occupy. 
  • Personal and Advertising Injury Liability: Allegations of defamation, libel, slander, or false advertising.

Who needs commercial general liability insurance?

As a small business owner, you come into contact with any third parties, including clients, vendors, and other businesses, who may be involved in an accident or claim your business caused them loss or damage.

General liability insurance for small businesses is recommended if:

  • You have an office space or clients visit you at home. 
  • You visit your client’s office space or home. 
  • You have staff who conduct business off-site. 

How much does commercial general liability insurance cost?

For a small to medium-sized business, you can anticipate spending $450 annually on a basic Commercial General Liability Insurance policy with a $2M limit.

When you fill out our online application, we will ask some questions about your business to understand your needs better. The following factors are taken into consideration when determining the best policy options for you: 

  • Years of Experience 
  • Annual and Projected Gross Revenue
  • Number of Employees 
  • Previous Insurance Claims

We’ve partnered with over fifty insurance providers to offer you different options that suit your business needs at the best price.

Learn more about the cost of general liability insurance.

What is not covered by commercial general liability insurance?

Commercial liability insurance does not typically provide coverage for: 

  • Contractual liability; 
  • Intentional criminal acts; 
  • Patent infringement;
  • Motor vehicles or automobiles (you need a Commercial Auto Insurance policy); or, 
  • Professional services or advice you provide (you need Professional Liability Insurance).

What other insurance coverages should your business add?

When building a comprehensive insurance policy for your business, several types of insurance business owners should consider protecting themselves against other third-party liability lawsuits or claims.

Explore the following business insurance policies for specific coverage information:

Frequently asked questions

What does a general liability insurance policy cover?

A general liability policy covers legal expenses and settlements related to bodily injury or property damage to a third party. The most common scenarios usually involve accidents and injuries: trip-and-falls are Canada’s leading cause of injury hospitalization.

How much liability insurance coverage do I need?

You should purchase as much coverage as you can afford. When determining how much general liability insurance coverage to buy, consider the size of your business, your industry, and how frequently you interact with third parties, including customers, vendors, and other companies.

These factors can help you identify your level of risk exposure, and depending on your profession, you may require additional coverage. For example, a contractor is more likely to be at risk for causing third-party property damage than a web designer who works from home.

Speak with your broker about customizing your policy to meet your specific business needs.

How do I get general liability insurance for my business?

Get in touch with one of our insurance brokers or request an online quote from our application form.

Our digital brokerage model has several benefits over local brokers, including speed, ease of use and lower costs. All insurance brokers, digital and traditional, have a fiduciary responsibility to protect your best interests and should help you find the right policy for your business.

Who is considered third-party?

As a business owner, if you come into contact with any third parties, including clients, vendors, and other businesses, who may be involved in an accident or claim your business caused them loss or damage. This definition of a third party does not include your employees or sub-contractors for coverage purposes. 

What is the difference between public liability insurance and general liability insurance?

The primary difference between Public Liability Insurance and Commercial General Liability (CGL) insurance is the risks they cover. Public Liability Insurance provides financial coverage against the public’s claims against your business for personal injury or property damage. CGL is a more accessible form of insurance that provides a more extensive range, covering personal and advertising injuries and everything public liability covers.

How is general liability insurance calculated?

General Liability Insurance costs are calculated based on a few different factors such as industry, projected revenues, and years in operation. Insurance companies have collected decades’ worth of data to predict the risk associated with various industries, business sizes, and many other factors to help them calculate your yearly premium cost.

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Getting commercial general liability insurance shouldn’t be complicated!

At Zensurance, we simplify the process of getting insurance so that you get the coverage you need, quick and easy!

Our friendly support team is always ready to answer questions, we’re just a click or a phone call away.