General Liability covers a wide range of incidents
Slip-and-fall injuries
Someone trips at your business, breaks their leg and files a lawsuit. Excluding employees.
Property damage
You accidentally damage a client or customer’s property.
Advertising injury
You’re sued for improper image use in your advertising.
Legal fees & defense costs
You need an attorney to defend your business in a lawsuit after a claim.
What is General Liability insurance coverage?
General liability insurance can help protect North Carolina small businesses from financial losses that result from common accidents, such as:
- Slip-and-fall injuries
- Other injuries related to your business, excluding injuries to employees
- Damage to someone else’s property
- Accusations of libel, slander or copyright infringement
This insurance is sometimes called commercial general liability (CGL).
There are a number of situations where general liability insurance could help businesses in North Carolina. For example:
- A Charlotte plumber doesn’t seal a pipe tightly enough while replacing a client’s kitchen plumbing, and the basement floods when the water gets turned back on. General liability insurance may help cover the cost of repairing or replacing damage.
- A Greensboro clothing store retailer is sued by a customer claiming that a sweater they sold was treated with a chemical that caused an allergic reaction. General liability insurance can help cover legal fees and damages if the business is found liable.
In situations like these, your North Carolina general liability insurance policy could help cover related costs up to your policy limit. It may also provide coverage if you have to defend your business against an accusation of libel, slander or copyright infringement.
Is General Liability insurance required in North Carolina?
This state does not require businesses to carry commercial general liability insurance.
However, North Carolina allows local governments to determine their own insurance requirements for businesses. Check with your city clerk’s office to determine whether you need this insurance to operate legally in your area.
Even though North Carolina liability insurance isn’t required by the state, many business owners opt to get this coverage because it can provide important financial protections, such as:
Financial protection
General liability coverage can help protect a business financially if certain types of accidents occur. Additionally, lenders and banks may require this type of North Carolina business insurance.
Commercial lease agreement
You may need to provide a certificate of insurance to sign a commercial property lease. Some property managers require this coverage before they’ll rent you a space for your business.
Employment contracts
Depending on your industry, your clients may require proof of coverage for small business liability insurance. North Carolina entrepreneurs could miss out on potential jobs if they don’t have this coverage.
Licenses and permits
Depending on your industry, you may have to show proof of coverage to secure a business license or permit.
For example, general contractors in North Carolina may need proof of coverage to secure building permits or sign contracts with potential clients. This type of insurance provides added financial security on major construction projects.
For more details, see our guide to North Carolina general contractor license and insurance requirements.
What types of businesses might need General Liability insurance in North Carolina?
Most North Carolina businesses can benefit from commercial general liability coverage since it applies to common accidents in many different industries.
Even for seemingly low-risk lines of work, general liability insurance can help protect your business. Accidental injuries and property damage can happen in places you might not expect, like an office environment or a client’s home.
If a house cleaner scratches a client’s hardwood floor while moving a couch to clean, for example, general liability insurance could help cover related costs.
How much does General Liability insurance cost in North Carolina?
Several factors influence general liability insurance costs. North Carolina insurance premiums are often determined by things like:
- What kind of work you do
- How many people you employ
- Where your business operates
- Your past insurance claims
- How high you set your policy limits
North Carolina business owners can get a customized general liability insurance policy from NEXT online. Our premiums are affordable, with 50% of our U.S. customers paying $45 or less per month.**
Learn more about general liability insurance costs.
How NEXT Insurance helps North Carolina businesses
NEXT provides North Carolina general liability insurance policies designed for small businesses and self-employed workers.
It only takes about 10 minutes to get a quote, review your coverage options, choose your policies and download a certificate of insurance.
Start an instant quote online today.
Our team of licensed insurance advisors is standing by to assist you if you have any questions along the way.
Other types of North Carolina business insurance
Workers’ compensation insurance can help pay for medical expenses and lost wages if an employee gets hurt on the job.
North Carolina requires all businesses with three or more employees to have workers’ comp coverage.1
Learn more about workers’ compensation.
Commercial auto insurance can help cover costs like medical bills, property damage and towing if you or an employee gets into an accident while driving a work vehicle.
All registered vehicles in North Carolina are required to have minimum auto insurance coverage of $30,000 per person, $60,000 per accident and $25,000 for property damage per accident.2
Learn more about commercial auto.
Commercial property insurance can help protect the physical assets your business needs to operate, such as brick-and-mortar structures, inventory, equipment and furniture. If a covered event occurs, like a burst water pipe or a fire, this insurance could help cover the costs to make repairs or replacements
If you plan to get both general liability and commercial property coverage, consider a business owner’s policy (BOP). A BOP combines both types of insurance and typically offers savings on monthly premiums.
Learn more about commercial property insurance.
Professional liability insurance can help protect your business if a client or customer claims you made a mistake that cost them money.
Learn more about professional liability.
Get customized insurance wherever you do business
Learn more about general liability insurance options in the state where you work.
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Business insurance is divided into different policies. We offer seven types so it's easy to design the coverage that fits your business.
