Sanity-check a CGL or product liability quote by turning a rate per ₹1 lakh of turnover into a rough annual premium range.
Insurers often rate commercial general liability and product liability on turnover (sometimes on wages, area or number of visitors instead), applying a rate per ₹1 lakh or per mille, then add loadings for limits, extensions and claims history and apply a minimum premium. This estimator lets you turn any rate into a rupee range so you can see whether a quote is in the same order of magnitude as another.
Important. The five bands are practice figures invented for this tool, not market rates and not IRDAI figures. They exist only so the calculator has something to show. Replace the low and high rates with the rates implied by quotes you actually receive (premium before GST ÷ turnover in lakh).
Formula. Low estimate = turnover in lakh × low rate + flat cost. High estimate = turnover in lakh × high rate + flat cost. Add 18% GST afterwards.
Worked example (illustrative). A trading company with ₹5 crore (500 lakh) turnover and a quoted base premium of ₹6,500 has an implied rate of ₹6,500 ÷ 500 = ₹13 per lakh. A second insurer quoting ₹11,000 implies ₹22 per lakh. Entering 500 lakh with ₹13 and ₹22 shows the spread you are choosing between, ₹6,500 to ₹11,000 before GST, or ₹7,670 to ₹12,980 with GST.
Limits. Real pricing depends on the limit of indemnity, deductible, activities, claims history, territory and jurisdiction (cover for the USA and Canada is priced very differently), and on the insurer's minimum premium. Use the result as a sense check only.
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