What exactly does general liability cover in a cleaning business?

Answer 1

While it depends on the terms of the policy and the coverages/endorsements the policy owner purchased, General Liability insurance is designed to provide financial protection in case your business is ever sued or held legally responsible for some injury or damage. General Liability typically includes liability protection for your company's completed products or services. Often General Liability is meant to provide protection for the location of your business (your office), not out in the field or at client homes where you may be working. With a cleaning business, your product/completed operation is a clean house. A general liability policy is designed to protect you if you mop the floor, the floor is wet, and somebody trips and falls and suffers bodily injury. However, there is a special exclusion for property coverage with general liability in a cleaning business. While your general liability coverage would protect your legal interests were legal action brought against you for property damage that you caused while in the course of your work, you are much better off adding what is a relatively small "endorsement" to your policy, especially designed for cleaning businesses, which is: "Extended Property Damage" endorsement - where you can pick a coverage amount in increments of five thousand dollars, with an optional deductible. This endorsement immediately and unquestionably covers your liability to the property of others in whose homes you are working.