Commercial General Liability Policy: Is it an Asset?

@Angela319 

Just the premiums are an expense.  There is no asset created by carrying an insurance policy.

Thank you!  When is an insurance policy considered an asset? Something like a life insurance policy perhaps?

@Angela319 

I believe when a life insurance policy has a cash value, it is considered an asset.  I'm not very familiar with it though.  When a portion of the payment is applied to the cash value, then it makes sense that it can be considered an asset since you will reduce your cash asset (credit) and increase your life insurance cash value asset (debit) but you can't create an asset out of nothing.  There has to be a corresponding reduction in an asset or an increase in liability or equity.