Business Personal Property (BPP)
What Is Business Personal Property (BPP) Insurance?
Business personal property (BBP) insurance covers the movable items you use for business at your main location. This includes tools, equipment, inventory, and furniture — anything that isn’t the building itself. This coverage typically protects your business-related property at the location listed on your commercial property policy.
Here’s a word-for-word breakdown of the term business personal property.
- “Business”: For commercial use
- “Personal”: Not the building itself, but the contents within (the opposite of “real” property)
- “Property”: Items of value you own or use
What Does Business Personal Property Insurance Cover (and Not Cover)?
There are some special nuances to the scope of BBP coverage.
What Business Personal Property Insurance typically covers:
- Your business’ movable things at the listed location
- Tenant improvements you paid for (like built-in shelves or counters)
- In some policies, property of others in your care (often with a smaller coverage cap)
What Business Personal Property Insurance usually doesn’t cover:
- A building, structure, land, vehicles, or watercraft
- Gear off-premises or in transit (that’s what inland marine coverage is for)
- Money, records, electronic data, and valuable papers (unless specifically endorsed)
- Outdoor property like fences, signs, or trees (often limited), foundations, paved surfaces
- Normal wear and tear, breakdown, and excluded catastrophes (e.g., flood/earthquake)
Did you know? People commonly confuse business personal property coverage with inland marine because they both cover business personal property. The main difference is the flexibility of the coverage.
Business Personal Property vs Inland Marine Coverage: What’s the Difference?
Business personal property coverage protects your business items at your location. Inland marine (IM or tools & equipment coverage) covers your business items wherever they go — whether on or away from your premises.
The main distinction is that BPP is location-specific, while IM offers broader protection because it follows your business personal property, for example, from your studio to a client’s home.
BPP vs. Inland Marine
| Aspect | Business Personal Property (BPP) | Inland Marine (IM) |
|---|---|---|
Primary purpose |
Protects movable contents at a described location |
Protects movable property on the go or off-premises |
Where it applies |
At the listed premises (sometimes, limited coverage is extended to off-premises) |
On-premises, off-premises, at job sites, and in transit (broader territory) |
Typical items |
Desks, computers, printers, fixtures, supplies, or inventory stored on site, tenant improvements |
Mobile business equipment, gear, tools, supplies, tech, point of sale, etc. |
Common gaps |
Off-premises property has low sublimits; transit is often excluded |
May need add-ons for rented gear or higher limits |
Who needs it |
Any business with a fixed office, store, or studio that relies on business personal property to operate |
Any business that relies on tools or equipment, especially those that travel for work |
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