diff --git a/MANIFEST.in b/MANIFEST.in
index 27b81c041..9812b408f 100644
--- a/MANIFEST.in
+++ b/MANIFEST.in
@@ -169,7 +169,7 @@ exclude plugins/external/opa/.env.template
 exclude plugins/external/opa/.ruff.toml
 exclude plugins/external/opa/Containerfile
 exclude plugins/external/opa/MANIFEST.in
-exclude plugins/external/opa/opaserver/rego/example.rego
+exclude plugins/external/opa/opaserver/rego/policy.rego
 exclude plugins/external/opa/pyproject.toml
 exclude plugins/external/opa/run-server.sh
 
@@ -179,6 +179,5 @@ exclude plugins/external/llmguard/.env.template
 exclude plugins/external/llmguard/.ruff.toml
 exclude plugins/external/llmguard/Containerfile
 exclude plugins/external/llmguard/MANIFEST.in
-exclude plugins/external/llmguard/opaserver/rego/example.rego
 exclude plugins/external/llmguard/pyproject.toml
 exclude plugins/external/llmguard/run-server.sh
diff --git a/plugins/external/opa/.env.template b/plugins/external/opa/.env.template
index 6d9faf358..b46620b71 100644
--- a/plugins/external/opa/.env.template
+++ b/plugins/external/opa/.env.template
@@ -21,3 +21,6 @@ PLUGINS_CONFIG=./resources/plugins/config.yaml
 
 # Configuration path for chuck mcp runtime
 CHUK_MCP_CONFIG_PATH=./resources/runtime/config.yaml
+
+# Path to the repo policy file (optional, default: ./opaserver/rego/policy.rego)
+# POLICY_PATH=./opaserver/rego/policy.rego
diff --git a/plugins/external/opa/README.md b/plugins/external/opa/README.md
index 12ba74e62..3c385411d 100644
--- a/plugins/external/opa/README.md
+++ b/plugins/external/opa/README.md
@@ -3,21 +3,40 @@
 > Author: Shriti Priya
 > Version: 0.1.0
 
-An OPA plugin that enforces rego policies on requests and allows/denies requests as per policies.
+An OPA (Open Policy Agent) plugin that enforces Rego policies on requests and allows or denies requests based on policy evaluation.
 
 The OPA plugin is composed of two components:
-1. OPA server
-2. The pre hooks on tools that talks to OPA server running as background service within the same container. Whenever a tool is invoked, if OPA Plugin is in action, a policy will be applied on the tool call to allow/deny it.
+1. **OPA Server**: Runs as a background service evaluating policies
+2. **Plugin Hooks**: Intercepts tool invocations and communicates with the OPA server for policy decisions
+
+Whenever a tool is invoked with the OPA Plugin active, a policy is applied to the tool call to allow or deny execution.
 
 ### OPA Server
-To define a policy file you need to go into opaserver/rego and create a sample policy file for you.
-Example -`example.rego` is present.
-Once you have this file created in this location, when building the server, the opa binaries will be downloaded and a container will be build.
-In the `run_server.sh` file, the opa server will run as a background service in the container with the rego policy file.
+To define a policy file, create a Rego policy file in `opaserver/rego/`. An example `policy.rego` file is provided.
+
+When building the server, the OPA binaries will be downloaded and a container will be built. The `run_server.sh` script starts the OPA server as a background service within the container, loading the specified Rego policy file.
 
 ### OPA Plugin
-The OPA plugin runs as an external plugin with pre/post tool invocations. So everytime, a tool invocation is made, and if OPAPluginFilter has been defined in config.yaml file, the tool invocation will pass through this OPA Plugin.
+The OPA plugin runs as an external plugin with pre/post tool invocations. So everytime a tool invocation is made, and if OPAPluginFilter has been defined in config.yaml file, the tool invocation will pass through this OPA Plugin.
+
+## Configuration
+
+### MCP Server Container
+
+The following enviornment variables can be used to customize the server container deployment.
+
+- `API_SERVER_SCRIPT`: Path to the server script (optional, auto-detected)
+- `PLUGINS_CONFIG_PATH`: Path to the plugin config (optional, default: ./resources/plugins/config.yaml)
+- `CHUK_MCP_CONFIG_PATH`: Path to the chuck-mcp-runtime config (optional, default: ./resources/runtime/config.yaml)
+- `POLICY_PATH`: Path to the repo policy file (optional, default: ./opaserver/rego/policy.rego)
+
+### MCP Runtime
+
+Changes to the MCP runtime configurations can be made in `resources/runtime/config.yaml`.
+
+### OPA Plugin Configuration
 
+The OPA plugin and loader configuration can be customized in `resources/plugins/config.yaml`.
 
 ## Installation
 
@@ -64,7 +83,7 @@ Under `extensions`, you can specify which policy to run and what endpoint to cal
 In the `config` key in `config.yaml` for the OPA plugin, the following attribute must be set to configure the OPA server endpoint:
 `opa_base_url` : It is the base url on which opa server is running.
 
-3. Now suppose you have a sample policy in `example.rego` file that allows a tool invocation only when "IBM" key word is present in the repo_path. Add the sample policy file or policy rego file that you defined, in `plugins/external/opa/opaserver/rego`.
+3. Now suppose you have a sample policy in `policy.rego` file that allows a tool invocation only when "IBM" key word is present in the repo_path. Add the sample policy file or policy rego file that you defined, in `plugins/external/opa/opaserver/rego`.
 
 3. Once you have your plugin defined in `config.yaml` and policy added in the rego file, run the following commands to build your OPA Plugin external MCP server using:
 * `make build`:  This will build a docker image named `opapluginfilter`
diff --git a/plugins/external/opa/opaserver/rego/example.rego b/plugins/external/opa/opaserver/rego/policy.rego
similarity index 100%
rename from plugins/external/opa/opaserver/rego/example.rego
rename to plugins/external/opa/opaserver/rego/policy.rego
diff --git a/plugins/external/opa/run-server.sh b/plugins/external/opa/run-server.sh
index d15cfe53c..9c4d1fb26 100755
--- a/plugins/external/opa/run-server.sh
+++ b/plugins/external/opa/run-server.sh
@@ -11,6 +11,7 @@
 #    API_SERVER_SCRIPT              : Path to the server script (optional, auto-detected)
 #    PLUGINS_CONFIG_PATH            : Path to the plugin config (optional, default: ./resources/plugins/config.yaml)
 #    CHUK_MCP_CONFIG_PATH           : Path to the chuck-mcp-runtime config (optional, default: ./resources/runtime/config.yaml)
+#    POLICY_PATH                    : Path to the repo policy file (optional, default: ./opaserver/rego/policy.rego)
 #
 #  Usage:
 #    ./run-server.sh                # Run server
@@ -36,7 +37,7 @@ fi
 #────────────────────────────────────────────────────────────────────────────────
 
 echo "Running OPA server"
-opa run --server opaserver/rego/example.rego &
+opa run --server "${POLICY_PATH:-opaserver/rego/policy.rego}" &
 
 #────────────────────────────────────────────────────────────────────────────────
 # SECTION 2: Run the API server
@@ -48,4 +49,4 @@ CHUK_MCP_CONFIG_PATH=${CHUK_MCP_CONFIG_PATH:-./resources/runtime/config.yaml}
 
 echo "✓  Using plugin config from: ${PLUGINS_CONFIG_PATH}"
 echo "✓  Running API server with config from: ${CHUK_MCP_CONFIG_PATH}"
-python ${API_SERVER_SCRIPT}
+python "${API_SERVER_SCRIPT}"
diff --git a/tests/integration/test_translate_echo.py b/tests/integration/test_translate_echo.py
index d48552889..ad4720458 100644
--- a/tests/integration/test_translate_echo.py
+++ b/tests/integration/test_translate_echo.py
@@ -436,6 +436,10 @@ async def stop(self):
             """Mock stop method - does nothing."""
             self._proc = None
 
+        def is_running(self) -> bool:
+            """Check if the mock process is running."""
+            return self._proc is not None and self._proc.returncode is None
+
     stdio = MockStdio()
     app = _build_fastapi(pubsub, stdio)