Flashcards in Chapter 8 - Business Owners Deck (23)
Texas Business Owners Policy
Used to cover small to medium size business risks
What are the 6 categories that are eligible for Texas Business Owners Policy (TBOP)?
Will not insure credit unions or banks
What are the 3 different forms offered for Texas Business Owners Policy (TBOP)?
What forms cover theft under TBOP?
What are the special limits for theft under TBOP?
Only applies to broad and special
$2,500 for furs and jewelry
$250 for stamps & tickets
What are the coverages for TBOP?
What are the exclusions to TBOP for property coverage?
Money & Securities
Watercraft while afloat
Outdoor properties (fences, radio and tv antennas)
What are the additional coverages under TBOP?
Preservation of property
Seasonal increase in business personal property limit
Extensions on Section 1 (property) for TBOP
These extensions are additional amounts of insurance for:
A building at a newly acquired premises
Property at a newly acquired premises
Personal property off premises
Outdoor property including signs $2,500
Trees, shrubs, plants and lawns $500 each
Valuable papers and records/electronic media
What are the different sections under TBOP?
Section 1 - Property
Section 2 - Liability
What are optional coverages under TBOP?
Money and securities
What is Section 1 under TBOP?
What is section 2 under TBOP?
What is Coverage C under TBOP?
Covers for bodily injury, property damage, personal injury and advertising injury
$300,000 per occurrence
What is Section D under TBOP?
Is available without regard to fault or negligence filed within 1 year of the occurrence
$5,000 per person
What are the exclusions to liability coverage under TBOP?
Aircraft, watercraft, or auto
Mobile equipment while being transported
Property the insured owns
Damage to the insured's product
Impaired property or property that has been recalled
Knowingly saying or printing false information
BI to an insured or tenant of the insured
What are the limits on Section II (liability) on TBOP?
Business Liability and Medical Expenses CSL of $300,000
Medical Expenses $5,000 per person
All paid claims reduce one of two aggregate limits
Product Aggregate - applies to products and completed operations equal to one occurrence limit
General Aggregate - applies to premises or operations, equal to two occurrence limits
What is the deductible under TBOP?
Deductible for all loses under TBOP is $500
There is no deductible for business income or extra expenses
What happens to a TBOP when the property has been vacant for more than 60 days?
No coverage for freezing, glass breakage, water damage, vandalism, or theft
Can employee dishonesty be covered under TBOP?
Yes, with an optional coverage.
What is a major difference between Broad and Special Forms on TBOP?
Special covers all risks
Under TBOP loss of personal property off premises by the insured is covered up to