What does general liability insurance cover according to the material?

• A. Covers the physical property of the firm, usually has a limit to total claims
• B. Landlords can require
• C. It covers the risk of property damage unrelated to a specific project
• D. It covers the land and building value

Answer: (A)

General liability insurance is about protecting a business from claims by others for injuries or property damage caused by its operations, products, or completed work. It covers damage to third‑party property (not the firm’s own property), and it carries limits such as a per‑occurrence limit and a general aggregate limit that caps total claims in the policy period. So, the description that best fits is that it covers property damage unrelated to a specific project— protecting against broad, ongoing risks to others’ property from the business’s activities. The other statements describe coverage for the firm’s own property or for buildings/land, which are typically handled by property insurance rather than general liability, or they describe landlord requirements rather than the scope of GL itself.