Business Owners Policy Insurance Information
When you own a business, you must account for various risks and exposures that may come with normal day-to-day operations. No matter how careful you are, an adverse incident may put your finances at risk. One way to prepare for these instances is through a business owners policy (BOP) insurance.
What Is Business Owners Policy Insurance?
A BOP is a business insurance usually reserved for small to medium-sized businesses. It typically combines property, liability and business interruption insurance in one comprehensive policy. A BOP is also customizable to meet any small business‘s insurance needs. You can add coverages such as workers’ compensation, commercial auto, cyber liability, equipment breakdown and employment practices liability.
What Does a BOP Cover?
The following are the three core insurance coverages typically included in a BOP:
- Commercial general liability insurance may help pay for the company’s legal defense if someone alleges property damage or injury. It may also help cover the cost of repairing or replacing someone else’s property if a company owner or employee causes damage while performing day-to-day business.
- Commercial property insurance may help protect any property associated with the business, including the physical building you own, lease or rent, and any equipment, furniture and inventory. It may help cover repairs or replacement costs of stolen, damaged or destroyed property, including assets that aren’t owned by you but are in your care.
- Business interruption insurance, or business income insurance, helps financially protect your business if it is forced to close following a covered loss. It can help pay recurring business expenses, such as taxes, commercial property rent and payroll.
An insurance professional can recommend additional coverages based on information about your specific business.
Who Needs a Business Owners Policy?
In general, BOPs are designed for companies outside of a private residence with fewer than 100 employees that produce less than $5 million in annual revenue. However, qualifying criteria may vary depending on the insurance provider.
Get a BOP Today
If you’re a small- or mid-sized business, contact Churchill Insurance today to find out if you’re eligible to purchase a BOP. We’re proud to provide business insurance solutions to California businesses like yours.