A commercial package policy combines two or more coverage parts under one policy number. Under the ISO commercial lines program, each part has its own declarations, coverage form and rating, and they share common policy conditions. Typical parts:
- Commercial property (buildings, contents, business income)
- Commercial general liability
- Inland marine
- Crime
- Equipment breakdown
Commercial auto and workers comp are almost always separate policies.
Packaging earns a discount in many cases, and one renewal date and one carrier relationship make the account easier to service.
BOP or CPP?
A businessowners policy is also a package, but it’s prebuilt: fixed coverage forms, limited options, simplified rating and strict eligibility by class and size. A CPP is assembled part by part, so it can handle larger property values, higher or tailored limits, unusual classes and more endorsements.
| BOP | CPP | |
|---|---|---|
| Who it’s for | Small, simple risks in eligible classes | Larger or more complex risks |
| Rating | Simplified, often instant | Each part rated separately |
| Flexibility | Limited | High |
| Underwriting | Often automated | Usually an underwriter reviews it |
How it shows up in an agency
A manufacturer with $6 million in building and equipment values and $12 million in sales is too big for most carriers’ BOP programs. The producer submits a CPP with property, GL, inland marine and crime parts, using an ACORD 125 plus the line sections (such as the ACORD 140 for property and the ACORD 126 for GL).
Common confusion
- “Package” isn’t a coverage. A CPP covers only the parts listed on the declarations.
- Different limits per part. Each part has its own limits and deductibles. Check them one by one.
- Quoting tools. Many commercial quoting platforms handle BOP, GL and WC instantly but send package submissions to carriers for underwriter review.