General liability insurance primarily covers what type of risk?

General liability insurance is designed to protect businesses from a wide range of risks associated with liabilities they might face due to their operations, products, or services. This type of insurance primarily covers major liability exposures, which include, but are not limited to, bodily injury to customers, property damage to third parties, and personal injury claims such as defamation or false advertising. The comprehensive nature of this coverage is vital for businesses, as it guards against the financial repercussions of various claims that could arise during normal business activities.

While the other options focus on specific aspects of risk (property damage, personal injury claims, or employee-related incidents), they do not encompass the full scope of what general liability insurance offers. It is important to understand that general liability insurance is broader and aims to address the overall liability exposures of a business, making it critical for financial protection in a range of scenarios.