Does General Liability Cover Legal Fees?
CGL may pay defense costs in a covered suit; whether those costs reduce the limit and who controls the defense depend on the policy.
The ISO form lists certain litigation expenses as supplementary payments, but unrelated legal bills and costs outside the policy conditions are not covered.
Ask whether defense costs reduce the limit, who selects counsel, and whether a deductible or retention applies. Check the supplementary-payments section and any endorsement that changes it.
Coverage Guides Related to General Liability Insurance
Sources for General Liability Insurance Answers
- Commercial general liability insurance. Insurance Information Institute; What commercial general liability insurance covers; Coverage A, B and C; Additional liability coverages to consider. Accessed 2026-09-25.
- Commercial Insurance Guide. California Department of Insurance; Commercial General Liability; Commercial Automobile; Workers Compensation; Commercial Property. Accessed 2026-09-25.
- Commercial General Liability Coverage Form, CG 00 01 12 07. ISO; specimen hosted by Hiscox; Coverage A I.A pp.1–5; Coverage B I.B pp.6–7; Who Is An Insured II pp.9–10; Limits III p.10; Conditions IV pp.10–12; Definitions V pp.12–16. Accessed 2026-09-25.