For small business owners without specialized risks, a Business Owners Policy (BOP) may be the best policy for you and your business giving you the basic property and liability coverage that you need. But if you have a larger company that might face specialized risks, you maybe want to consider purchasing a Commercial Package Policy (CCP).
Both a BOP and CCP allow you to bundle multiple types of coverage within a single policy. The difference is that a BOP is only available for certain types of smaller businesses and covers only a few types of risks. Where a CCP is available for a wide range of businesses and can be customized to the specific needs of your business.
Most Commercial Package Policies begin with two main types of coverage:
Property Insurance – this covers damage or destruction of buildings, equipment, inventory and more.
General Liability Insurance – this covers the cost if someone is injured at your business or from using your product or service.
Those are your starting point, from there you can choose from different coverage options:
Business Interruption Insurance – this replaces lost revenues and covers extra expenses in the event that your business has shut down or relocate do to a covered loss.
Business Auto Insurance – covers vehicles owned and used by your business.
Business Crime Insurance – covers losses from burglary, computer fraud, employee dishonesty and other business crimes.
Commercial Umbrella Liability – this coverage increases and broadens liability coverage, filling in gaps left by other coverages.
Electronics Data Processing Coverage – covers costs associated with the loss of damage of electronic data processing media or equipment.
Equipment Breakdown Coverage – this covers losses from the malfunction of heating, electrical, air conditioning, telephone systems and other equipment.
Employment Practices Liability – covers costs tied to disputes with employees over termination, discrimination, sexual harassment and other employment issues.
Inland Marine – covers the transport of goods over water and land.
Pollution Liability – covers costs related to pollution, including clean up and personal injury.
It is important to understand, even though your Commercial Package Policy covers a wide range of risks, it does not cover everything. Some risks that are not included:
- Directors and Officers Liability
- Healthy and Disability
- Life Insurance
- Workers Compensation
If you are interested in a California Commercial Policy, call one of our talented agents today at John E. Peakes Insurance Agency – 800-800-5199.