Business Owner's Policy for Complete Protection

Business Insurance for Business Owner's Policy

A Business Owner's Policy, commonly called a BOP, combines essential coverages into a single, streamlined package. Instead of buying General Liability and Commercial Property insurance separately, you get both in one policy—often at a lower price than purchasing them individually. This package is specifically designed for small and medium-sized businesses, offering comprehensive protection without the complexity of managing multiple policies.

Why Your Business Needs This

• You get broad protection covering both liability and property risks in one policy
• The bundled approach typically costs less than buying separate policies
• Business Interruption coverage is often included, protecting your income after a covered loss
• Simplified management with one policy, one renewal date, and one insurance company
• Many landlords and clients accept a BOP to fulfill insurance requirements

What It Covers

A BOP includes General Liability coverage protecting you from third-party injury and property damage claims. Commercial Property insurance covers your building, equipment, inventory, and furnishings against fire, theft, and other covered perils. Business Interruption coverage replaces lost income if a covered event forces you to temporarily close. You'll get coverage for medical payments to others injured at your business. Many BOPs include coverage for business income loss, extra expenses incurred during recovery, and even electronic data loss. Some policies add crime coverage and equipment breakdown protection.

Who Qualifies for a BOP?

Business Owner's Policies are designed for small to medium-sized businesses with relatively straightforward operations. Retail stores, restaurants, small office operations, and service businesses often qualify. Your business typically needs to meet size requirements—usually under a certain square footage and revenue threshold. Insurance companies have different eligibility rules based on your industry and risk profile. High-risk businesses or those with significant liability exposures may need to purchase separate policies instead.

What's Not Included in a BOP?

A BOP doesn't replace specialized coverage your business might need. Professional Liability for errors and omissions isn't included. Workers' Compensation requires a separate policy. Commercial Auto insurance must be purchased separately. Cyber Liability coverage isn't standard. If you have employees' personal vehicles used for business, you'll need Hired and Non-Owned Auto coverage. Flood and earthquake damage require additional policies or endorsements. Understanding these gaps ensures you don't have unexpected coverage holes.

Can You Customize a BOP?

Yes, most Business Owner's Policies offer flexibility through endorsements and optional coverages. You can add Hired and Non-Owned Auto Liability if employees drive for business. Equipment Breakdown coverage protects against mechanical failures. Spoilage coverage helps restaurants and food businesses. Employment Practices Liability can be added for protection against wrongful termination claims. You can increase limits beyond the standard package. Work with your insurance provider to tailor the BOP to your specific business needs and risk exposures.