What does Commercial General Liability (CGL) cover?

Commercial General Liability (CGL) insurance primarily covers bodily injury and property damage that occurs as a result of the insured's business operations or due to products and completed operations. This type of insurance is designed to protect businesses from claims resulting from injuries to third parties or damage to their property that may arise during the regular course of business activities.

Bodily injury coverage helps address medical expenses and other costs associated with injuries sustained by individuals due to the actions of the business, while property damage coverage accounts for damage to third-party property caused by the business's activities. This comprehensive approach makes CGL an essential part of risk management for businesses, especially those that interact with the public or other businesses.

The other options include scenarios that are not specifically covered under the standard terms of a typical CGL policy. For example, damage caused by employees might be covered under workers' compensation rather than CGL. Products in transit would typically fall under a different type of insurance—transportation or cargo insurance. Losses due to theft would generally be covered by property insurance rather than the CGL policy. Thus, option A accurately encapsulates the core purpose of CGL coverage.