Business Owners Insurance, or BOP Insurance, combines some of the basic coverage needed by a typical small business into one standard package at a discounted premium. A Business Owners Policy (BOP) combines several types of commercial insurance, including General Liability and Property Insurance allowing small to medium sized businesses operating in a low-risk category to get the needed coverage in one policy. Consolidating all the necessary business coverage into a BOP insurance policy can be a good idea for small businesses looking to save money while getting their insurance needs covered.
How Business Owners Insurance Works
Typically a BOP insurance policy will provide the following coverage:
Other coverage can also be added to meet specific needs of the business. Make sure you know your need for business insurance, and get all the coverage required to protect your business.
Qualifying for a Business Owner's Policy
Since a BOP insurance policy is specifically designed for small to medium sized businesses, the type of business can influence eligibility. Normally, companies with 100 employees or under and revenues of up to about $5 million or less are candidates for a BOP insurance policy. Some types of businesses, such as restaurants, may be ineligible for business owners insurance because of the specific risks inherent in the business. Ineligible businesses should look at the individual coverages which can be purchased separately. Underwriting standards will vary from company to company, so shop multiple companies to see which ones will sell your company a business owners insurance policy.
Why Buy a Business Owner's Policy?
There are several reasons why BOP Insurance might be right for your company, such as:
There are some cons to think about. Before buying BOP insurance consider some drawbacks including:
Discuss your business insurance need with a reputable agent who can give you risk analysis review in order to determine if BOP insurance is right for you. If your business is eligible, then obtaining insurance coverage under a BOP insurance policy will streamline your insurance needs to one comprehensive policy.