What does "CGL" stand for in commercial insurance?

In the context of commercial insurance, "CGL" stands for Commercial General Liability. This type of insurance provides coverage for businesses against claims of bodily injury, property damage, and personal injury that may arise from the business's operations, products, or premises. It is essential for protecting business assets and ensuring financial stability in the face of potential lawsuits.

Commercial General Liability insurance covers a wide range of scenarios that can jeopardize a business's finances. For instance, if a customer slips and falls on business property or if a product sold by the business causes harm, CGL would help cover the associated legal costs and any settlements or judgments that may arise from these incidents. It is a foundational policy for many businesses as it addresses common risks they face.

While the other terms may resemble the correct answer, they do not accurately define the established and widely recognized terminology used in the insurance industry. Comprehensive General Liability, for instance, is an outdated term that is not commonly utilized today, and Common General Liability and Contractual General Liability are not officially recognized classifications within commercial insurance. Thus, the definition of CGL as Commercial General Liability is both accurate and essential for understanding the type of coverage provided.