Flashcards in The Businessowners Policy (BOP) Deck (4)
The purpose of the BOP can best be explained by reviewing the types of business a BOP may cover. To do that, we’ll briefly summarize ISO’s eligibility rules. Keep in mind that individual insurers’ rules often vary. BOP eligibility is generally based on __ and __ of the business.
Size and nature
For a business to be eligible for coverage under a BOP, ISO’s 2010 revision rules require that none of its locations can exceed ___ square feet in size (excluding basements not open to the public) and $___ in annual gross sales.
A) 35,000 square feet
B) $6 million
According to ISO rules, the following types of businesses are ineligible for coverage under a BOP, regardless of their size:
•auto repair or service stations; auto, motor home, mobile home, and motorcycle dealers; parking lots or garages
•bars and pubs
•places of amusement
•banks and other financial institutions
•self-storage facilities that provide outdoor storage of motorized vehicles of any type