DC Commercial Insurance Flashcards

In the District of Columbia, a Business Owners Policy (BOP) typically combines which two key coverages?

Answer: Commercial property and commercial general liability

A BOP bundles commercial property insurance and commercial general liability (CGL) into a single, cost-effective policy for small to midsize businesses.

Which DC commercial insurance policy protects a business against claims of bodily injury or property damage caused by its operations, products, or completed work?

Answer: Commercial general liability (CGL) insurance

Commercial general liability insurance covers third-party claims for bodily injury and property damage arising from business operations, products, and completed work.

A DC restaurant's liquor liability policy would respond to claims arising from:

Answer: Injuries caused by an intoxicated patron served at the restaurant

Liquor liability (dram shop) coverage pays for claims resulting from bodily injury or property damage caused by an intoxicated person who was served alcohol by the insured.

What does a DC commercial umbrella policy primarily provide?

Answer: Excess liability coverage above the limits of underlying policies

A commercial umbrella policy provides an extra layer of liability coverage that kicks in once the limits of underlying policies are exhausted.

A DC technology firm wants coverage for losses from a data breach exposing customer records. Which policy should it purchase?

Answer: Cyber liability insurance

Cyber liability insurance covers costs associated with data breaches, including notification, credit monitoring, legal defense, and regulatory fines.

Under a DC commercial general liability policy, the 'occurrence' trigger means coverage applies when:

Answer: The bodily injury or property damage occurs during the policy period, regardless of when the claim is filed

An occurrence-based CGL policy covers incidents that happen during the policy period even if the resulting claim is filed years later.