Personal and Advertising Injury
CGL Coverage B protecting against claims like libel, slander, false arrest, wrongful eviction, and copyright infringement in advertising.
What It Is
Personal and Advertising Injury is Coverage B of the standard ISO CGL policy. It covers claims arising from specific enumerated offenses, including false arrest, detention or imprisonment; malicious prosecution; wrongful eviction; slander, libel, or defamation; violation of a person's right of privacy; and the use of another's advertising idea or copyright infringement in the insured's advertisement.
Unlike Coverage A (bodily injury and property damage), Coverage B is triggered by the commission of an offense rather than an occurrence. The coverage applies per person or organization that makes the claim, subject to the policy's general aggregate limit.
Coverage B has significant exclusions, including knowing violation of the rights of another, material published with knowledge of falsity, criminal acts, and contractual liability. The intellectual property exclusions added in recent ISO editions have further narrowed the scope of advertising injury coverage.
Why It Matters for Brokers
Brokers often overlook Coverage B during policy reviews because clients focus on bodily injury and property damage scenarios. However, personal and advertising injury claims are increasingly common, particularly for businesses with active marketing, social media, or content creation operations. A defamation or copyright infringement suit can be just as costly as a slip-and-fall claim. Brokers should verify that Coverage B has not been excluded or sublimited, especially for media, marketing, and real estate clients.
Real-World Example
A commercial property management company wrongfully evicts a tenant from a retail space, claiming lease violations that turn out to be unfounded. The tenant sues for $180,000 in lost business income and $50,000 in relocation costs, alleging wrongful eviction. The property manager's CGL policy responds under Coverage B — Personal and Advertising Injury — covering the defense costs of $65,000 and ultimately settling for $140,000, all within the $1M Coverage B limit.
Common Mistakes
- 1Assuming Coverage B covers all intellectual property claims when recent ISO editions exclude most IP offenses other than copyright infringement in advertisements.
- 2Not checking whether the carrier has added an exclusion for personal and advertising injury — some carriers exclude it entirely for certain classes of business.
- 3Failing to explain to real estate clients that wrongful eviction coverage under Coverage B requires the eviction to be truly wrongful, not merely a lease dispute.
How brokerageaudit.com Handles This
Policy Checker identifies whether Coverage B is included, excluded, or sublimited on the CGL policy. It flags any personal and advertising injury exclusion endorsements and compares the coverage status against the client's industry classification to determine if the exclusion creates a significant gap. COI Manager displays the Coverage B limit separately when generating certificates for accounts where it is a contract requirement.