MAJOR CHANGES TO ISO BOP Written by Edgar Martinez, IRMI
The Insurance Services Office, Inc.( ISO), has introduced significant changes to its businessowners program as of July 1, 2025. These updates are extensive and include a revised coverage form, numerous new and updated endorsements, and significant changes to eligible business classifications. The new and revised forms have an August 2024 edition date.
MAJOR COVERAGE FORM CHANGES
The new businessowners coverage form incorporates changes that were previously made in monoline programs such as commercial property, commercial general liability, and commercial crime portfolio. While some changes are minor, others have a significant impact on coverage. Here are some of the most notable changes.
• Motor vehicle registration no longer a determinant of motor vehicle or mobile equipment definition. The exception for mobile equipment has been broadened to include vehicles that are not subject to motor vehicle insurance law but are subject to motor vehicle registration, such as an ATV, snowmobile, or other off-road use vehicle.
• Coverage radius increased. For a variety of property coverage provisions, the coverage radius has been increased from 100 feet to 1,000 feet from the described premises.
• Contractual liability. The definition of " insured contract " now excludes agreements where the insured assumes tort liability of another party in jurisdictions where it is prohibited by law, such as an anti-indemnity statute.
• Ransomware loss excluded. The additional coverages for electronic data and interruption of computer operations now exclude loss arising from ransomware.
KEY NEW & REVISED ENDORSEMENTS
Noteworthy New Endorsements
• Limited coverage for unmanned aircraft. This endorsement adds property coverage for direct physical loss of or damage to unmanned aircraft( drones).
• Cannabis property coverage. This endorsement provides specific coverage for cannabis stock and business income related to cannabis operations.
• Additional insured— automatic status. Several
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