International General Liability Insurance
If you are doing business internationally, you need to make sure that your business is protected internationally.
Domestically, when you sign up for your general liability insurance, you are protected. However, the story may be different if you must conduct business in another country. There are many businesses in which employees travel internationally to conduct business. Some businesses have locations in other countries. No matter where your business is located, you have to make sure that you are insured completely because a lawsuit citing negligence on your part can be filed no matter where you are in the world.
The reason why you need international general liability insurance is because you don't want to be caught without insurance in any situation. The financial consequences of having to pay someone else's medical expenses could be quite severe.
You may have a location to your business internationally, whether temporary or permanent. Your home location, however, is in the U.S. Because your general liability insurance is supposed to insure your entire business, you will have to purchase international general liability insurance because you have to abide by the laws of the country that you are located in, if there are any. Plus, you have to be ready to take on the rules and regulations that exist within these countries as to how fees are charged, etc. a domestic policy is designed to behave in a certain way, while an international policy would behave differently based on the legal system of the country in which that branch of your business is located.
As for how your international general liability insurance would work internationally, it is more or less the same as if something happened domestically. If someone walks into your establishment in another country and they are injured and cite the negligence of your employees as the reason, any legal fees and any damages would be paid by your insurance according to what would be determined by that country's legal system.
And you want to be protected even more considering you would be at the mercy of another legal system somewhere else in the world. You never know what the outcome may be, but if there is proof, there is liability.
If you have an employee who is traveling internationally to conduct business, they are on the clock. If your employee rents a car in another country and they are involved in an auto accident, you may want to make sure you have hired auto insurance coverage as a part of your international general liability insurance. Although the rental car has insurance on it, it may not be enough to satisfy a lawsuit, especially since the employee was on the clock and the accident would fall back on the business.
Basically, any act in which your employee would be held liable and your business sued would revert to your insurance. In some countries, the value of their currency is less than the dollar, so settlement amounts may not be a lot. However, when going to Europe you will find that the currency value can be greater than the dollar, causing your insurance to pay out even more. It is good to know where you will be sending your employees so that you can set your limits accordingly.
When you have international general liability insurance, you will find that you are given additional protection that will protect the financial integrity of your business. You have to protect your business financially if you want to stay in business and international general liability will help you do just that. You don't want to be without it if you will be doing business internationally temporarily or permanently.