Georgia Security Guard License Practice Exam

What type of liability insurance is commonly required for security companies in Georgia?

1. Professional liability insurance

2. General liability insurance

3. Workers' compensation insurance

4. Automobile liability insurance

The correct answer is: General liability insurance

General liability insurance is a common requirement for security companies in Georgia as it provides coverage for third-party claims related to bodily injury, property damage, and personal injury that may occur as a result of the company's operations. This type of insurance is essential because security personnel often interact with the public and may be exposed to various risks that can lead to lawsuits. In the security industry, where personnel are responsible for safeguarding property and ensuring safety, the potential for accidents or damages can be significant. General liability insurance helps protect the company financially by covering legal fees, settlements, and medical expenses arising from such claims. Other types of liability insurance mentioned in the choices serve specific purposes. Professional liability insurance typically protects professionals against claims of negligence due to their services, while workers' compensation insurance covers employee injuries on the job. Automobile liability insurance is necessary for vehicles used in the business but does not address general liabilities that may arise from the core operations of a security firm.