ACORD Forms
ACORD 126: Commercial General Liability Section
The ACORD 126 is the general liability section of a commercial submission. It attaches to the ACORD 125 base application and carries everything a GL underwriter needs: the coverage trigger, the requested limits, and a schedule of hazards that describes what the business does and how much of it. It never travels alone; the 125 holds the applicant information, prior carriers, and loss history.
What it is
The ACORD 126 is the general liability section of a commercial submission. It attaches to the ACORD 125 base application and carries everything a GL underwriter needs: the coverage trigger, the requested limits, and a schedule of hazards that describes what the business does and how much of it. It never travels alone; the 125 holds the applicant information, prior carriers, and loss history.
The heart of the form is the schedule of hazards. Class codes and exposure bases like payroll, gross sales, or square footage drive the GL premium, so this is the section that decides whether the quote comes back right the first time.
When it's used
- New commercial submissions that include general liability, attached to the ACORD 125.
- Remarketing a package or monoline GL account to new carriers.
- Renewals where the carrier wants updated exposures, class codes, or subcontractor detail.
Section-by-section walkthrough
Agency and applicant identification
Your agency, the carrier the section targets, effective dates, and the named insured carried over from the ACORD 125.
Watch for: A named insured that drifts from the 125. Every form in the submission has to agree on who is being insured.
Coverages and limits
The requested limits: each occurrence, general aggregate, products and completed operations aggregate, personal and advertising injury, medical expense, and damage to rented premises. Deductible options go here too.
Watch for: Requesting limits without checking the insured's contracts. Many jobs require a specific per-occurrence limit, and a mismatch surfaces at certificate time.
Occurrence or claims-made
The coverage trigger. Occurrence covers injury or damage that happens during the policy period. Claims-made covers claims first made during the period and needs a retroactive date.
Watch for: Leaving both boxes blank. The underwriter cannot rate a GL risk without knowing the trigger.
Claims-made details
Only for claims-made requests: the retroactive date, prior acts exposure, and whether tail coverage applies from a previous policy.
Watch for: Skipping the retroactive date on a claims-made request. Without it the underwriter has to ask, and the file waits.
Employee benefits liability
Optional coverage for mistakes in administering benefit programs: enrollment errors, dropped dependents. Employee counts and plan details go here.
Schedule of hazards
Each operation classified with a class code, a premium basis (payroll, gross sales, area, units), and the exposure amount for that basis. Multi-location and multi-operation risks get a line per classification.
Watch for: Exposure that does not match the basis. A payroll-rated class with a gross sales figure in the exposure column is the classic version.
Contractors
For contracting risks: what work is subcontracted, the annual cost of subcontractors, whether certificates of insurance are collected from them, and the kinds of work performed.
Watch for: Leaving subcontractor cost blank. Uninsured subs get picked up at audit as if they were payroll, and the audit bill follows.
Products and completed operations
Products sold or work completed: annual gross sales per product, expected life, and whether anything is discontinued, imported, or sold under another label.
Additional interests
Additional insureds and certificate recipients: landlords, project owners, franchisors. Name, address, and the interest each one holds.
General information questions
The underwriting yes/no questions, more than twenty of them, covering exposures like hazardous materials, athletic team sponsorship, operations sold or discontinued, and prior coverage problems.
Watch for: A yes with no explanation. Every yes needs a note in remarks or the file bounces back.
Remarks and signatures
Explanations for the yes answers, context on unusual operations, and anything that helps the underwriter say yes. Signature requirements follow the 125.
In Relay
ACORD Generation is live in Relay. It drafts the ACORD 126 from the client record and the documents you already have, and a person reviews every field before anything goes out. See how →
Common errors
- Class codes or exposures that contradict the operations described on the ACORD 125.
- Exposure amounts entered against the wrong premium basis in the schedule of hazards.
- Neither occurrence nor claims-made selected, which stalls rating on day one.
- Contractor submissions with no subcontractor cost and no certificate practice described.
- Yes answers in the general information questions with an empty remarks section.
Common questions
Does the ACORD 126 replace the ACORD 125?
No. The 126 is a section form. It carries the general liability detail and rides on top of the 125, which holds the applicant information, prior carriers, and loss history. Carriers expect both.
What is the difference between occurrence and claims-made on the ACORD 126?
Occurrence responds to injury or damage that happens during the policy period, no matter when the claim comes in. Claims-made responds to claims first made during the period, usually behind a retroactive date. The 126 asks you to pick one, and claims-made requests need the claims-made section completed too.
Can Relay draft an ACORD 126?
Yes. ACORD Generation is live in Relay. It drafts the form from the client record and documents you already have, and a person reviews it before it goes anywhere.
Related forms
Part of the Relay ACORD form library. Updated 2026-07-11. See how we source content.
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