Commercial package insurance combines coverage for multiple issues, such as liability and property risk. Commercial package policies allow for a lot of customization and may combine two or more coverages into a single policy. Coverage options include general liability and property coverage. Additional policies can be added at an additional expense, allowing each business to cover precisely its unique set of risks.
Commercial Package Insurance policies are typically for small or midsize businesses. Commercial package policies can't include certain items like workers compensation, directors, officers insurance, etc. Workers compensation insurance is required by law and must be purchased as a separate policy.
A commercial package policy most commonly consists of two lines of coverage: commercial property and general liability.
Commercial property is a first party coverage designed to protect the assets of the commercial insured. Commercial property insurance refers to insurance on buildings and contents. It also covers items of personal property other than those that are the contents of buildings, and includes coverage for business income losses.
ISO (Insurance Services Office) forms set the foundation for property although many carriers use their own property coverage forms. It is very important to review your carrier’s specific property coverage forms to understand what is covered.