The Complete Guide to General Liability Insurance for New Businesses

Starting a new business is exciting, but it also comes with risks. General liability insurance helps protect your startup from unexpected financial losses that could arise from everyday business activities.

What Is General Liability Insurance?

General liability insurance (GLI) covers common business risks such as third-party injuries, property damage, and advertising mistakes. It can help pay for legal fees, medical expenses, and settlements if your company is held responsible for an incident.

Why Startups Need It

Even with a small team or limited operations, accidents can happen. For example:

• A client slips and falls in your office.
• Your employee damages a client’s property during a project.
• A competitor claims your marketing content caused reputational harm.

Without coverage, these claims could cost thousands in legal fees and settlements—expenses that could quickly drain a startup’s budget.

Typical Coverage Includes:

• Bodily Injury & Property Damage
• Personal & Advertising Injury
• Legal Defense Costs
• Medical Payments

How Much Does It Cost?

Most startups pay between $30–$80 per month, depending on industry, location, and coverage limits. Bundling your GLI with other policies (like professional liability or property insurance) can help reduce costs.

Final Takeaway

General liability insurance isn’t just a box to check—it’s a smart investment that protects your startup’s reputation and finances from the unexpected.

If you’re launching or growing a business, get a tailored general liability insurance plan from a Tillman Insurance agent.