What Is Personal and Advertising Injury Liability—and Why It Matters?

When most people think of general liability insurance, they picture coverage for physical accidents—like a customer slipping on a wet floor. But there’s another side to liability that’s just as important: non-physical harm caused by your words, marketing, or public interactions.

That’s where Personal and Advertising Injury Liability comes in.

This coverage protects your business from claims like:

• Libel or slander: Written or spoken statements that harm someone’s reputation

• Copyright or slogan infringement: Using protected content in your advertising

• Invasion of privacy: Posting photos or personal info without permission

• False arrest or wrongful eviction: Detaining someone or removing them from a space without legal grounds

• Misappropriation of advertising ideas: Borrowing someone else’s creative concept

Explanation of General Liability Coverages

🧠 Real-World Examples:

• An auctioneer posts crowd photos from a recent event to promote future auctions. One attendee sues, claiming their image was used without consent—triggering an invasion of privacy claim. Even if the auctioneer did nothing wrong, the cost to defend the claim could be significant.

• A security patrol agent is hired to monitor a shopping center overnight. One evening, they observe a person lingering near a closed storefront and suspect attempted theft. Acting on instinct, the agent detains the individual and calls the police. Turns out the person was waiting for a rideshare and had no intent to commit a crime.

• A tire dealer launches a local ad campaign featuring a catchy slogan and a stylized logo they found online. They didn’t realize the slogan was trademarked by a national competitor, and the logo was copyrighted by a design firm.

💼 Why It Matters: This coverage doesn’t just pay for damages—it pays to defend you. Legal fees, settlements, and court costs can add up fast, even if the claim is baseless.

📄 Check Your Policy: Look at your general liability declarations page. Is this coverage included under your per occurrence limit, listed as a standalone limit, or excluded altogether?