Commercial Package Policy: Structuring a Contractor Insurance Program

Contractors’ insurance programs are often written under a commercial package policy (CPP). A CPP is a package policy, which is a single policy that includes multiple coverages written as separate policies. It utilizes separate, stand-alone forms for each policy, each with its own declaration page alongside a master CPP declaration page that details all of the coverage parts.

What coverages are under a CPP

A CPP includes two or more of the following coverages:

• Commercial Property
• Boiler and Machinery
• Inland Marine
• Crime
• Commercial General Liability
• Products & Completed Operations Liability
• Liquor Liability
• Pollution Liability
• Commercial Automobile

What are the advantages of a CPP?

There are many advantages to choosing a CPP for your insurance. These include:

• Fewer gaps in coverage
• Lower premiums (since individual policies are not purchased)
• Savings in insurer expenses are passed to the contractor in the form of a package discount
• Convenience of a single policy
  
  

To learn more about how to structure your CPP and other commercial insurance policies, call TSIB today at 201-267-7500! You may also click below to read more blog posts from TSIB. 

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