What Does A Business Owners Policy (BOP) Cover?
Business owners insurance, also known as BOP insurance, is a policy that combines both property and liability coverage into one package. It’s popular among a variety of small and medium-sized businesses such as restaurants, wholesalers, retail stores and contractors.
A business owners policy contains two primary coverages:
The liability coverages available on a BOP are the same as those on a general liability policy.
This includes protection against liabilities like customer injury and property damage, advertising injury, and product related claims.
A BOP doesn’t cover your employees. You’ll need a separate workers’ compensation policy.
Provides coverage for commercial buildings and the movable property owned by and used for the business - referred to as business personal property. It can also pay for other things like debris removal, loss of income and pollution cleanup as part of a covered loss.
A BOP policy, like most other policies, has certain coverage exclusions that you should be aware of. If you need protection for something that isn’t covered, policy endorsements might be available to extend coverage.
For example, damage from earthquakes is typically excluded from a BOP. If you live in an area that’s prone to earthquakes, you might want to consider adding an endorsement to your policy to extend coverage. Ask about endorsement options when getting your quote.
Who Needs a Business Owner’s Policy?
You should consider a business owner’s insurance policy if:
Your business has a physical location. It doesn’t matter where you conduct your business, it matters if your business and assets have coverage. Your BOP policy can help cover businesses run out of your home, a rented or owned office, store or garage.
There’s a possibility of you getting sued. For example, let’s say a customer who was injured at your work place slips and falls. Without the proper business owner’s insurance, you may be looking at hefty out-of-pocket fees to cover the customer’s medical expenses.
You have assets that could get stolen or damaged. From digital assets and customer data, to equipment, furniture, cash or inventory, some assets can be very hard to replace. With BOP Insurance, you don’t have to worry about where the money is coming from in the event you have assets that got stolen or damaged.
What’s the Advantage of a Business Owner’s Policy?
Purchasing a BOP Policy is smart and convenient. It simplifies coverage needs by including business property insurance and business liability insurance. These are two important coverages combined into one.
A Business Owner’s Policy (BOP) offers businesses a way to save money while getting broad coverage for things like:
Loss of income
A BOP policy is a more affordable option than buying separate business property and liability policies. This policy is an even smarter and more convenient choice for business owners because you can add other coverages to it.
Businesses with specific needs can tailor their BOP by adding coverages like:
Business income for off-premises utility services
Get A Business Owner's Policy Quote
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