If Ernie has a BOP with a Selected Per Occurrence limit of $300,000, what would be his Completed Operations and General Aggregate limits?

The correct answer indicates that the Completed Operations and General Aggregate limits are both $600,000 in the context of a Businessowners Policy (BOP) with a Selected Per Occurrence limit of $300,000.

In a BOP, there are specific arrangements regarding the relationship between the per occurrence limits and the aggregate limits. Typically, the Completed Operations limit is constructed to provide coverage for liabilities that may arise after the operation's completion. This is particularly relevant for businesses involved in services or construction.

In many cases, the Completed Operations limit will match the per occurrence limit or be a defined multiple of it, thus justifying the $600,000 value here. As for the General Aggregate limit, it serves as a cap on the total payment for all occurrences over a policy period and can also be formulated based on the per occurrence limit but is generally higher than that limit to accommodate multiple instances of claims throughout the policy term.

Therefore, for a BOP with the specified per occurrence limit, it's common to find that both the Completed Operations limit and the General Aggregate limit are set to equal amounts, as indicated by the answer.