A small business owner reviewing the details of their newly issued commercial package policy" width="456" height="300" />A commercial package policy (CPP) combines liability and property coverage into one policy with more flexible protection options. It is often purchased by small and medium-sized businesses with higher risks.
Small to medium-sized businesses can benefit from using a commercial package policy as part of their risk management plan.
Similar to a business owner's policy (BOP), a CPP bundles general liability insurance and commercial property insurance into a single policy, and protects against common risks and property damage. However, it allows for more coverage options and higher policy limits for your risk exposures. That makes it a good choice for businesses in higher risk industries that might not be eligible for a BOP.
With broad underwriting and customizable limits, a CPP allows business owners to address the specific risks they face with the right amount of insurance coverage. You can get full coverage for your biggest risks while also avoiding paying extra for any coverage you don't need.
A small business owner reviewing the details of their newly issued commercial package policy" width="456" height="300" />
Businesses that face a higher risk of customer lawsuits may benefit from a commercial package policy, including:
Insurers may offer similar packages with different names, such as a customer protector package. However, they share the goal of bundling policies to save money and provide broad coverage for your business.
With a commercial package policy, you can combine one or more of your business insurance policies together, and choose higher or lower limits for different risks.
Typically, a CPP will help cover:
If a customer has a personal injury on your property it would be a covered loss under the general liability insurance portion of your commercial package policy, which can help pay for medical expenses or legal costs in the event of a lawsuit.
The general liability portion of a CPP can help repair or replace damaged customer property. It can also pay legal fees if a customer sues over the damage.
Property damage or customer injuries don't always happen at your place of business. If a business manufactures, distributes, or sells products, it can be sued over any harm those products cause to people or property. Having product liability coverage in a CPP protects against these types of risks.
If someone sues a business owner or employee over an advertising injury, such as libel, slander, or copyright infringement, the liability portion of a CPP can help pay for legal expenses.
The commercial property insurance portion of a CPP, which is sometimes referred to as business hazard coverage, can help pay for repair or replacement of business property if it's stolen or damaged by fire, a burst pipe, vandalism, or certain weather-related events.
This policy's business personal property (BPP) coverage provides protection for items that are used to run a business, such as computers, machinery, and furniture.
A small business owner calculating their CPP costs" width="456" height="300" />
The average cost of a commercial package policy is $90 per month, or $1,075 per year.
Your cost is based on a few factors, including:
