Businessowners Policy

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  1. Businessowners Policy (BOP)
    A businessowners policy (BOP) is a freestanding package policy designed to provide both property and general liability coverage for eligible small to medium-sized businesses.
  2. ISO's BOP Size Eligibility
    • (2006) Less than 25,000 square feet and $3 million in annual gross sales
    • (2010) 35,000 square feet and $6 million
  3. ISO's BOP Type of Business Eligibility
    • apartment buildings of any size, including residential condominium associations
    • contractors subject to several restrictions, such as an annual payroll of $300,000 or less and doing no work at heights of more than three stories
    • mercantile risks
    • processing and service risks
    • wholesale risks
    • office buildings not over six stories tall or exceeding 100,000 total square feet
    • motels not more than three stories tall, subject to no square foot restriction
    • restaurants
    • self-storage facilities
    • convenience food/gasoline store/restaurants with limited cooking and fast food
    • grocery stores and supermarkets that sell gasoline (ISO added this category in 2010)
    • business personal property in eligible apartment buildings; offices; and mercantile, wholesale, service, or processing operations are also eligible for BOP coverage.
    • An owner-occupant’s building and personal property must be insured in the same policy.
  4. ISO Ineligible Types of Business for BOP
    • manufacturers
    • auto repair or service stations;
    • auto, motor home, mobile home, and motorcycle dealers;
    • parking lots or garages
    • bars and pubs
    • places of amusement
    • banks and other financial institutions
    • self-storage facilities that provide outdoor storage of motorized vehicles of any type
  5. ISO's Businessowners Coverage Form Sections
    • Section I-Property
    • Section II-Liability
    • Section III-Common Policy Conditions (applies to both property and liability)
Card Set
Businessowners Policy
Lesson 19
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