Coverage Territory under a BOP
Our insured has a businessowners policy (BOP) under which he insures his office. He often shares other office locations with his friends and colleagues for the purpose of meeting with clients. Our insured has no contents at these other locations so we are not concerned with property coverage, but the liability coverage is another matter. We have been adding these locations to the BOP in order to pick up the general liability coverage, but this now seems to be an unnecessary effort. Doesn't the BOP pick up general liability exposures of the insured anywhere in the world?
Indiana Subscriber
The general liability coverage of the BOP applies to bodily injury and property damage caused by an occurrence that takes place in the coverage territory. "Coverage territory" is a defined term and means the United States, Puerto Rico, and Canada . So, there is no territorial exclusion or condition on the BOP that would require the listing of each place where the insured may have an office to carry on his business. The general liability exposure of the insured is covered anywhere in the coverage territory, subject to the exclusions that appear on the policy. Now, the property coverage is mainly limited to the premises described in the declarations, so if the insured ever does put contents into locations other than at his own office, you may want to continue to list these other locations
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