What types of entities can be insured under a general liability policy?

Prepare for the Ohio Property and Casualty Exam with our study materials. Access flashcards and multiple choice questions with detailed explanations and hints. Ace your test with confidence!

A general liability policy is designed to protect various types of entities from claims of bodily injury, property damage, and personal and advertising injury that may arise in the course of business operations. This comprehensive coverage is not limited to a specific type of entity and can include:

  • Sole proprietors: Individuals who own and operate their own businesses are eligible for general liability insurance, which helps protect them from claims that result from their business dealings.
  • Partnerships: Partnerships, which involve two or more individuals sharing ownership and operation responsibilities, can also obtain general liability coverage to safeguard against potential lawsuits that stem from their business activities.

  • Corporations: Corporations, as separate legal entities, can purchase general liability insurance to cover various risks associated with their business operations, thus providing a safety net for the company itself and its owners/shareholders.

This broad eligibility for various business structures enables a wide range of businesses to secure necessary liability coverage, which is crucial for financial protection and legal compliance. The other choices are limited in scope and do not encompass the full range of entities that can be insured under a general liability policy.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy