What every business owner should know about slip-and-fall insurance coverage

The term slip-and-fall insurance is used to describe a type of protection included in a business insurance policy. It is not a standalone coverage that you buy by itself. Instead, it is typically part of another policy. For example, when people ask, “Does General Liability insurance cover slip-and-fall accidents?” the answer is yes for non-employees.

This type of policy is designed to protect your business if a customer, vendor, or visitor is injured on your premises. It can help pay for their medical bills, and it also covers your legal defense if they decide to file a lawsuit. If you have employees, you will need workers' compensation insurance to cover their injuries, as general liability only applies to people who don’t work for you.

Many business owners underestimate the financial impact of a single accident. The cost of slip-and-fall insurance claims can easily be in the tens of thousands of dollars, and it may be much higher.

As a business owner, you also need to consider the potential damage to your reputation if you aren’t able to address someone’s slip-and-fall injury promptly and fully because you don’t carry adequate coverage. Having slip-and-fall insurance for your small business through biBerk can help ensure that the high costs of these incidents don’t come directly out of your business profits.

Determining the right amount of protection depends on several factors, including your industry and the amount of foot traffic your business receives. Businesses like restaurants, retail stores, and grocery stores often face higher risks because they have many visitors and frequent spills. If you own the building where you operate, you should also consider how your commercial property insurance interacts with your liability coverage.

For example, if a customer slips on a wet floor and crashes into an expensive display case, your general liability policy would handle the customer's medical bills. Your commercial property insurance would then cover the costs to repair or replace the damaged display. At biBerk, we often recommend a Business Owners Policy because it combines these two essential types of protection into one convenient package for small business owners.

While having insurance is vital, the best way to handle a lawsuit is to prevent the accident from happening in the first place. Creating a culture of safety within your organization can go a long way in reducing your risk. You should encourage your staff to be proactive about identifying and fixing hazards as soon as they see them.

Proven ways to protect your company from slip-and-fall lawsuits include:

• Regular inspections. Examine your entire workplace at least once a month to look for unsafe conditions such as uneven surfaces, loose handrails, or cluttered aisles.
• Maintenance logs. Keep a detailed record of when you inspected the property and what actions you took to fix hazards, as this documentation can be crucial for your legal defense.
• Floor mat safety. Ensure that all entrance mats are flat and not buckled or curled, and replace them frequently if they become soaked with water or snow.
• Warning signs. Always place yellow caution signs near wet floors or temporary hazards to alert customers and employees until the area is dry or repaired.
• Proper lighting. Make sure that all walkways, stairwells, and parking lots are well-lit so that visitors can easily see any obstacles or changes in the walking surface.
• Snow and ice removal. Promptly clear all exterior walkways and parking areas during the winter, and use sand or salt regularly to prevent slippery patches from forming.
• Surveillance systems. Install video cameras to help document any incidents that occur, which can provide an objective record and help protect against false injury claims.

If an accident does occur on your property, your immediate response is critical. Your first priority should always be the well-being of the injured person. Showing compassion and making sure they receive proper medical attention can sometimes prevent a situation from escalating into a lawsuit. However, you should avoid admitting fault or making promises about payments until you have consulted with your insurance provider.

As soon as the person is cared for, you should document the incident thoroughly. Take photographs of the area where the fall happened, including any hazards that might have contributed to the accident. Get written statements from any employees or witnesses who saw what happened.

After you have gathered this information, you should contact your insurance company immediately to report the claim. Providing your insurer with these details promptly will help them manage your legal defense more effectively.