Business Owners Insurance (BOP): What It Covers

What Does a Business Owners Policy (BOP) Cover?Insurance Advisors| Plymouth, Minnesota

Your business is an extension of who you are and a reflection of all you’ve accomplished so don’t let things damage to the property or injury to others harm it. A BOP combines essential insurance coverage’s, and it also allows for the flexibility to purchase optional, additional coverage to help protect your assets so you can concentrate on what matters most to you, running your business.

The BOP combines coverage for all major property and liability exposures into one package policy suitable for most small businesses. It can be compared to the same way that a homeowner’s insurance policy protects your home and personal belongings. BOP’s combine two of the most important coverage’s for small businesses: Business Liability and Property. This allows you to save money while also protecting your property and belongings.

BOP’s include:  

  1. Property insurance for buildings and contents owned by the company. There are two different forms, standard and there is special which provides more comprehensive coverage.
  2. Business interruption insurance, which covers the loss of income resulting from a fire or other catastrophe that disrupts the operation of the business. It can also include the extra expense of operating out of a temporary location.
  3. Liability protection, which covers your company’s legal responsibility for the harm it may cause to others. This harm is a result of things that you and your employees do or fail to do in your business operations that may cause bodily injury or property damage due to defective products, faulty installations and errors in services provided.