Coverage C - Medical Payments in Commercial General Liability policies cover which expenses?

• A. Medical, Surgical, hospital or funeral expenses for third parties injured because of the insured's business operations
• B. Medical expenses for employees only
• C. Punitive damages
• D. First aid for the insured

Answer: (A)

In a Commercial General Liability policy, Coverage C, Medical Payments, is designed to quickly cover reasonable medical expenses for third parties who are injured by the insured’s operations or on the insured’s premises, regardless of fault. The expenses it covers are the typical medical costs that might be incurred after an accident—medical, surgical, hospital, or funeral expenses—specifically for people other than the insured. This is about paying third-party medical costs, not about compensating the insured or their employees. It also does not cover punitive damages. So the description that matches is medical, surgical, hospital, or funeral expenses for third parties injured because of the insured’s business operations.