Definition - What does Package Policy mean?
A package policy is an insurance product that includes coverage for more than one type of insurance. For example, liability and property insurance may both be included as a part of a package policy. It is common for businesses that are looking to buy commercial insurance to buy commercial package policies.
Insuranceopedia explains Package Policy
There are several benefits to package policies. First, package policies allow policyholders to purchase more than one type of insurance from the same insurer, in the same policy. So, this saves policyholders from having to endure the time consuming endeavor of shopping around to buy individual policies from different insurers. Second, it is often more economical to buy insurance in package policies as opposed to buying each policy individually. This is because package policies often have lower rates than all of the policies purchased individually have because it presents the purchaser with a "multi-lines discount."