b'FOR YOUR PRACTICEIs your practice growing? How adding new locations may affect your insurance needsJohn A. Adcock, CLU, ChFC, CFPIf you are the owner of a dental practice, chances are you either have a Business Regional Vice PresidentOwners Policy (BOP) or you need one. We tell our clients to imagine a BOP being like a Visit us online at treloaronline.com homeowners insurance policy for their practice. Just like a homeowners policy, it covers a lot of ground, so its good to have a basic understanding of whats included and whats not. Say your business is growing, and you have multiple locations. Congratulations! Bigger business comes with more considerations. BOP gets a bit more complex as you must address the needs of your various dental office locations. This is when it helps to have professional guidance. Most practice owners get the coverages they have because of a bank requirement or a landlord requirement. But that doesnt mean that its the right kind of insurance or the right amount. Today we are going to take you through a few of the common questions that come up around insurance needs for multiple locations. If your practice is adding locations, make sure to read this article or share it with a colleague!Lets say you have1: Do you understand the basic setup of your BOP? Even if youre not an insurance expert (which you dont need to be), you should be aware of your coverage amounts and an actual sustainedfeatures. We think every solid policy needs to include general liability andloss, and one of yourproperty coverage. 2: Can one BOP policy cover multiple locations? Great question! If you have the same locations would bebusiness entity owning say, two locations, then they can be on the same policy. closed for a longer3: How does General Liability (GL) work in a multiple BOP situation? Lets begin with a refresh on what general liability insurance covers in the first place. For example, period. The insuranceif someone were to slip and get hurt in your office and then pursue legal action, thats when your general liability insurance may kick in. A starting point for coverage amounts company may requiremay be $2 million of coverage per occurrence and $4 million in aggregate. If we were to add an additional office (or offices) you should consider an umbrella policy to cover you to provide priorthe additional location(s). Dont go by these numbers, though, because every situation is different. In any event, when you add locations, you need to expand your liability year profit and losscoverage by adding umbrella coverage. If you can obtain an umbrella policy for higher limits, you should consider it. statements and other4: OK, now how about property coveragehow does that change in a multiple office situation? That depends on your situationdo you own your new building or is it financial documentationa rented space? If you own your space, you will obviously need to add building coverage. If youre a tenant in a rented space, you may not.If your lease requires you to cover the to assess yourimprovements and betterments, then you would need coverage to include the permanent fixtures in the space like cabinetry, countertops, walls, and items you generally cant take reimbursement needs.with you if you were to leave as a tenant.How much equipment do you have? Equipment is anything that you could pack up and take with you to a new space.This may include dental chairs, dental equipment, supplies, computers, and waiting room furniture to name a few. Your BOP needs to cover these items for all your locations. Sometimes you may have loans on different pieces of equipment, and you may need to prove to the lender or equipment company that you have replacement coverage in place to protect these exposures.AAP Periospectives| 24'