Introduction

Canadian retailers and ecommerce sellers often ask one question first: how much does Commercial General Liability (CGL) cost? This page summarizes typical pricing for low-risk retail operations, explains the main drivers (premises and theft-related exposures), and shows illustrative Ontario and British Columbia examples. Cross-references to complementary coverages—Product Liability and Cyber—are included.

Quick answer: typical $2M CGL pricing

• Typical $2M CGL: $450–$800 per year for low-risk, small retail and ecommerce operations with no recent claims, as of 2025.

• Pricing varies by province, foot traffic, location risk, operations, and claims history. See cost drivers below and request a firm quote for your exact number. For background on CGL scope and pricing factors, see Summit’s overview of Commercial General Liability and retail-specific risks on Retail & Wholesale Insurance.

Ontario and British Columbia examples (illustrative)

These are representative scenarios within the typical range above; actual premiums depend on your specific profile.

Note: If your operations introduce higher hazards (e.g., onsite demos, pop‑up events, product assemblies/installs, large crowds), the premium can exceed the ranges above. Use these as orientation, not quotes. See retail risk context on Retail & Wholesale Insurance and CGL fundamentals on Commercial General Liability.

What drives your CGL price for retail and ecommerce

• Premises exposure (foot traffic and slip‑and‑fall potential): More visitors generally mean greater bodily injury frequency severity potential, increasing rates. See CGL basics on Commercial General Liability.

• Theft/crime environment around your location: Retail is susceptible to theft and related incidents that correlate with overall risk profile and underwriting view of the premises; see retail risk factors on Retail & Wholesale Insurance and property peril context on Commercial Property Insurance.

• Operations and distribution: Onsite demos, offsite events, deliveries, installations, or pop‑ups typically widen exposure compared to simple point‑of‑sale or 3rd‑party fulfillment only. CGL exposure overview: Commercial General Liability.

• Revenue/size and experience: Higher sales, multiple locations, or new ventures can alter rating; tenure with clean loss history helps. See cost factors on Business Insurance.

• Claims history: Recent or severe losses generally increase premium and deductibles. Claims handling context: Summit Claim Services.

Right-sizing limits and filling the gaps

• Limit selection: $2M per occurrence is a common starting point for local retailers. Landlords, marketplaces, or enterprise partners may require higher (e.g., $5M). See limit guidance in Commercial General Liability.

• Add Product Liability if you make, import, or sell products: Even pure resellers can face product claims. Learn coverage scope and exclusions on Product Liability Insurance.

• Add Cyber for ecommerce and POS systems: Data breaches, ransomware, and payment card incidents are not covered by CGL. See Cyber Insurance for first‑party and third‑party protections.

• Pair with Property if you have a premises or stock: CGL does not insure your merchandise against theft or fire—property does. See Commercial Property Insurance and income protection on Business Interruption.

What to prepare for a firm quote

Providing complete information speeds up binding and keeps pricing sharp. Brokers typically ask for:

• Business description and NAICS/operations summary (retail categories; ecommerce share of sales)

• Addresses, square footage, and security measures (alarms, cameras)

• Annual and projected revenue; years in business; ownership/management experience

• Number of locations and employees; hours of operation; special events/pop‑ups

• Past 5 years of claims (loss runs if available)

• Required contract terms (e.g., additional insureds, waiver of subrogation) Guidance on quote data and cost determinants: Commercial General Liability and Commercial Property Insurance.

FAQs for Canadian retail CGL

• Does CGL cover theft of my inventory? No. Theft of your stock is a property claim; CGL addresses third‑party injury or property damage. See Commercial Property Insurance.

• I sell online—do I still need CGL? Yes, if there’s any exposure to third‑party injury/property damage (e.g., pop‑ups, pickups, product liability). Combine CGL with Product Liability and Cyber for fuller protection.

• Why do ON and BC prices differ? Rating reflects local risk, claims experience, and premises exposure. See broad factors on Business Insurance and retail specifics on Retail & Wholesale Insurance.

How Summit helps retail and ecommerce clients

Summit is an independent Canadian brokerage that compares leading carriers to curate retail‑ready programs, with responsive service and dedicated account management. Explore retail context on Retail & Wholesale Insurance and CGL fundamentals on Commercial General Liability.