Commercial Package Policy Vs. Business Owners Policy: What's The Difference?

​A BOP is not the best option for every business. If you are looking to grow your business or have a lot of inventory or property, then a CPP might be the better choice. A CPP will give you more coverage, but it will also cost more. 

A CPP is a great option for businesses that have more risk associated with them. They are more expensive than a BOP, but they will cover more things and give you better protection against future events. 

You can always talk with an insurance agent to help you decide which policy is best for your business.

What is a Commercial Package Policy?
A commercial package policy provides the business owner with coverage for accidental and crime-related losses on the property. This policy includes: 

• Water Damage 
• Rampant Insect Infestation 
• E. Coli, Salmonella, Listeria, and Mold Viruses and Entomias 
• Electrical Fire Gas Leaks 
• Fires Loss of Power 
• Material Loss (Material Waste and Damage of Equipment) 

What is a Business Owners Policy?
A BOP covers more than just liability. It also covers damage to your business, the customer's property, and even your property if your client damages it. Suppose you want a policy covering your clients' liability and preventing them from claiming your company through a lawsuit.

In that case, you should consider a CPP. It's a more expensive option than a BOP, but it will provide more protection.

Why would you want to use a BOP instead of a CPP?
It can be hard for some business owners to consider the additional costs of a CPP. They worry that the CPP might be too expensive, and it might be better to keep their smaller BOP but because CPPs are more flexible and customizable, it is possible to find one you like that will fit your budget. Still, it might be better to choose a BOP with the options available to you. Be sure to talk to one of our agents, they will help you clarify which will be the best fit for you.

Other Questions to Consider
It's important to remember that each policy will have different coverage, exclusions, and add-ons. You might not need to have all the coverage included in your BOP policy, and you'll be able to negotiate that with your agent. 

At Desmond Insurance, we do our best in making sure that our clients are well-protected with affordable and comprehensive policies. We make sure to go the extra mile to help you with your needs. To learn more about how we can help you, please contact our agency at (859) 491-5100 or Click Here to request a free quote.