The existing Insurance Services Office (ISO) Commercial General Liability (CGL) Coverage Form is comprehensive in character. It insures the physical harm and property damage ailments of industrial ventures. It might be written as a monoline policy or blended with different lines of to form a Commercial Package Policy (CPP). This thorough nature of the form eliminates needing to select and set person or specific risks, together with the resulting possible gaps in policy. Coverage applies to:
Premises liability caused by the ownership, maintenance or use of their premises; Products liability for goods and goods manufactured, distributed or sold; Completed operations liability for services supplied or work done for others; Personal injury liability and advertising injury liability of the insured; and health care payments coverage.
Every one of those coverage’s is subject to particular policy definitions, limitations and exceptions. The fundamental CGL coverage form may be tailored using a number and wide range of optional forms and clauses that extend, delete, limit, add or alter the form’s fundamental policy ‘s to lead to a policy form made specifically for the individual guaranteed.
ISO developed two CGL coverage forms for general usage;
CG 00 01, is your “occurrence” form. It covers losses in which the harm or damage happens during the insured policy period, irrespective of if the company is informed of the loss or maintain. The trick to this policy strategy is that the date of loss or the length of time once the loss occurs.
CG 00 02 is your “claims-made” policy form. With this form, policy is triggered by the actual filing date or receipt of this claim, along with this date or duration of time where the loss or harm happens. This form manages any insured loss or claim filed during the policy period, irrespective of if the actual loss or harm happened. This can be subject to the retroactive date indicated on the declarations. Even though the retroactive date can be any date, for total coverage it needs to be the initial date that claims-made policy was implemented to the threat. That is because an incident policy form applies to any loss or damage before that date. commercial General Liability Insurance definition coverage applies only to covered losses occurring after the retroactive date.