What is a General Each Occurrence Limit?

General Each Occurrence Limit is the maximum amount your general liability policy will pay for any single incident or claim, regardless of the number of people injured or affected.

What You Need to Know

If your per-occurrence limit is $1 million and a single slip-and-fall accident results in $1.5 million in damages, your policy pays the first $1 million and you’re personally responsible for the remaining $500,000.

Why It Matters for Restaurant Owners

Your per-occurrence limit should reflect your realistic worst-case liability exposure. Standard coverage is $1 million per occurrence, but restaurants serving alcohol, high-traffic locations, or those with previous serious claims may need $2 million or more.

Catastrophic Incidents Exceed Standard Limits:

One catastrophic incident (severe injury from a fall, multi-victim food poisoning outbreak, or major fire spreading to neighboring properties) can easily exceed $1 million.

Critical Warning: Don’t be underinsured on this critical limit.