A loss exposure's liability coverage for losses arising from a business organization's premises and operations, its products, or completed work is typically provided by

A loss exposure's liability coverage for losses arising from a business organization's premises and operations, its products, or completed work is typically provided by

• A. Property insurance
• B. Workers' compensation
• C. Commercial general liability insurance
• D. Professional liability insurance

Answer: (C)

Commercial general liability insurance covers third-party claims arising from a business’s premises and operations, its products, or completed work. This type of coverage is designed to protect the business from lawsuits or claims brought by others for bodily injury or property damage caused by the insured’s activities, products, or work that has been completed. Property insurance, by contrast, protects the business’s own physical property, not third-party claims. Workers’ compensation covers injuries to employees. Professional liability insurance covers negligence in professional services (errors and omissions). The premises and operations, products, and completed operations elements described are distinctive features of a general liability policy, making it the appropriate coverage for those exposures.

Commercial general liability insurance covers third-party claims arising from a business’s premises and operations, its products, or completed work. This type of coverage is designed to protect the business from lawsuits or claims brought by others for bodily injury or property damage caused by the insured’s activities, products, or work that has been completed.

Property insurance, by contrast, protects the business’s own physical property, not third-party claims. Workers’ compensation covers injuries to employees. Professional liability insurance covers negligence in professional services (errors and omissions). The premises and operations, products, and completed operations elements described are distinctive features of a general liability policy, making it the appropriate coverage for those exposures.