# What is general liability insurance and what does it cover? *Reviewed 2026-05-15* ## Short answer General liability insurance covers claims that your business caused bodily injury or property damage to someone else, along with related legal costs and certain advertising-injury claims. It does not cover your own employees' injuries or professional mistakes, which fall under workers' compensation and professional liability instead. [General liability insurance](/glossary/general-liability) is the foundation policy most small businesses carry. It responds when a third party, such as a customer or vendor, is hurt or has property damaged in connection with your operations, and it pays defense costs even when a claim is disputed. It has clear boundaries. Employee injuries go to [Workers' compensation insurance](/glossary/workers-compensation), errors in professional services go to [Professional liability insurance](/glossary/professional-liability), and damage to your own property goes to a commercial property policy. Many businesses combine general liability with those coverages to close the gaps. ## Related - [Insurance coverage options](/services) - [Contact our team](/contact)