A Quick Guide to Commercial Liability Insurance

Virginia business insurance

When you run a business, you want to provide a safe and comfortable space for your customers. Part of ensuring this happens is purchasing the right Virginia business insurance, and commercial liability insurance is a necessity. Liability insurance protects you, your property and your customers in certain situations.

Minimum Coverage Requirements

The state of Virginia does not require a businesses to carry liability insurance. Instead, it uses a contributory negligence standard, which means the plaintiff’s reward is based on how much of the incident was his or her fault. For example, if someone is injured in your restaurant, the courts may award them $100,000, but if they also find the plaintiff was 50 percent at fault for the injury, they will only receive $50,000. Even so, liability insurance is still important to ensure you have the best protection possible.

Types of Liability Insurance

Ideally, your business will carry personal injury, property damage, bodily injury and legal defense and judgments coverage. Personal injury insurance protects you from situations that could tarnish your company’s reputation. Property damage pays for repair or replacement of guests’ property should it be damaged on your watch while bodily injury coverage protects your guests should they be injured on your property. Finally, legal defense and judgments coverage help pay for your court costs, but usually will not handle any punitive damages that you have to pay.

You may need other types of commercial liability coverage depending on the type of business you run. When seeking Virginia business insurance, always be sure to work with a reputable agent.