Package insurance policies are invaluable for small and medium sized businesses.  There are basically two types of commercial package policies – the Business Owner’s Package Policy and the Commercial Package Policy (CPP).  Therefore, the BOP is preferable to a great many small and medium sized businesses.  This includes retail establishments and others.

The BOP package takes a “homeowners” approach to insuring your small or medium sized business.  As a result, once you and your broker select an appropriate insurance amount for your building and/or contents, the BOP automatically includes a menu of other valuable insurance coverages that are included with the package.

The BOP is specifically designed for small to medium sized businesses.  This includes apartment buildings, hotels, retail establishments, wholesalers, contractors, and service industries.  Some of the additional coverages included might include debris removal, automatic increases in building coverage, personal property off-premises, business income and extra expense coverage.  Also, one valuable coverage is the “Business Income” and “Extra Expense” coverage.   Finally, these are issued without limit except for the actual loss sustained in the 12-month period.

Business Owner’s Package (BOP) policies are a bundle of insurance policies that combine protection from all major property and liability risks in one package.  As a result, it is available at a discounted premium that is less than the total cost of the coverages if they were purchased piece-meal.  Keep in mind, Business Owner’s Policies usually target small and medium-sized businesses and typically contain Business Interruption Insurance.  This is valuable coverage.   As a result, this coverage provides reimbursement for up to a year of lost revenue resulting from a covered property loss.