It’s a funny word, but it’s serious protection for your business. A BOP, short for Business Owners Policy, combines property and liability coverages in one convenient insurance package for small- and medium-sized businesses. It’s an affordable way for business owners to protect their companies and manage risk, and it’s a less expensive option than purchasing several stand-alone policies.
BOPs aren’t for every business, such as large companies with complex insurance needs. But for many small companies, they offer a cost-effective way to purchase two important types of insurance coverages that offer vital protection.
Generally, BOPs include property insurance, which covers buildings, as well as the business equipment and property inside. These policies also include a broad range of liability insurance, which covers a company’s legal responsibility in many instances, such as if a customer injures themselves in a slip and fall accident. Some BOPs may also include business interruption insurance, an important coverage designed to help a small business survive in the event of a fire, flood or other disaster that makes it temporarily impossible to operate. BOPs often can be tailored to a company’s specific needs and risks.
BOPs are great for small companies that have a physical business location, whether that’s at home, or in space that’s owned or rented. It’s also important coverage for companies that have property that could be stolen or damaged and companies that have legal exposure (most any business does!).
A Business Owners Policy doesn’t provide all of the coverage a business may need. Your business may still need commercial auto, errors and omissions, professional liability, workers compensation insurance and/or other types of coverages. Every company is different. But the BOP is a great place to start. Questions? We are happy to review your company’s risks and recommend the right coverages to protect you and your employees.
