What does Coverage A of CGL represent in terms of liability risks?

Coverage A of a Commercial General Liability (CGL) policy specifically addresses premises and operations liability. This coverage is designed to protect businesses from liability claims arising from injuries or damage that occur on the premises owned or operated by the insured. It covers incidents such as slips and falls or accidents that happen while conducting business operations, thus offering financial protection against legal claims and associated costs.

By focusing on the risks related to the physical space and activities of the business, Coverage A ensures that businesses can operate with some level of security against unforeseen liabilities that may arise from the day-to-day functioning of their operations. This aspect of coverage is crucial for businesses that have a physical presence or engage in activities that could potentially expose them to injury claims from customers, visitors, or other third parties.