Business Owners Policy (BOP): What It Covers and How to Get It?
As a business owner, you have a lot on your plate. Running a successful business takes a lot of hard work, dedication, and perseverance. One important consideration that should never be overlooked is protecting your business against risks and liabilities that could harm your bottom line. One of the best ways to do this is to invest in a Business Owners Policy, or BOP. In this post, we’ll explore what a BOP is, who should buy one, what it covers and doesn’t cover, how much it costs, and where you can purchase one.
What Is a Business Owners Policy?
A Business Owners Policy (BOP) is a business insurance policy designed to provide comprehensive coverage for small to medium-sized businesses. It is a package policy that typically includes property insurance, liability insurance, and business interruption insurance. BOPs are specifically designed to provide protection against the most common risks faced by businesses, including property damage, bodily injury, and loss of income.
Who Should Buy a Business Owners Policy?
A BOP is ideal for small to medium-sized businesses that need comprehensive insurance coverage but don’t have the time or resources to research and purchase separate policies for each type of coverage. If your business has physical assets and employees and interacts with customers, clients, or vendors, then a BOP is likely a good fit for your business.
What Does a Business Owners Policy Cover?
A BOP typically covers the following types of insurance:
- Property Insurance: This covers physical damage to your business property, such as buildings, equipment, inventory, and furniture.
- Liability Insurance: This covers your business’s legal responsibility for any bodily injury or property damage caused to third parties by your business operations.
- Business Interruption Insurance: This covers loss of income and additional expenses incurred when your business operations are disrupted due to a covered event, such as a fire or natural disaster.
What Does a Business Owners Policy Not Cover?
A BOP typically does not cover the following types of insurance:
- Workers’ Compensation Insurance: This is required by law in most states and provides benefits to employees who are injured on the job.
- Professional Liability Insurance: This covers your business’s legal responsibility for any errors or omissions made in professional services provided to clients.
- Auto Insurance: This covers physical damage and liability for vehicles owned or used by your business.
How Much Does a Business Owners Policy Cost?
The cost of a BOP can vary depending on factors such as the size of your business, the industry you’re in, and the level of coverage you need. However, BOPs are typically more affordable than purchasing separate policies for each type of coverage. On average, a BOP can cost between $500 and $3,000 per year.
Where Can You Purchase a BOP?
You can purchase a BOP from most insurance companies that offer commercial insurance policies. It’s important to work with an experienced insurance agent who can help you understand your coverage options and select the policy that’s right for your business.
Cover Your Business Against Several Risks with a BOP Insurance at Massive Insurance & Financial Services
Business Owners Policy is a smart investment for small to medium-sized businesses looking to protect themselves against common risks and liabilities. If you’re interested in purchasing a BOP, contact experienced agents at Massive Insurance & Financial Services today, and we will help you find the best insurance policy for your business’s specific needs.