Business Owners Policy (BOP) – Contract Tip of the Week

Jan 11, 2017Risk Solutions

Q: How broad is the coverage under my RLI Business Owners Policy (BOP)? Does it meet most contractual insurance requirements?

A: RLI’s BOP is designed to meet most contractual requirements for the coverage. In fact, unlike other company’s forms, RLI’s BOP may include coverage for hired and non-owned auto liability. However, keep in mind that the RLI BOP does not include coverage for:

  • owners and contractors protective (OCP) coverage, which must be obtained separately;
  • liability for an injury or damage arising out of your performance of professional services, which is intended to be covered under professional liability insurance; nor
  • broad obligations such as “any loss whatsoever.”

The Risk Specialty Group and RLI Design Professionals are pleased to feature our Contract Tip of the Week series. Each week, we’ll review a question submitted by a design firm relating to the subject of contracts. Keep in mind, though, that these discussions are general in nature and in making specific business decisions, it’s important to review your options with a knowledgeable attorney.