Business Owners Policy​ (BOP)

A Business Owner Policy (BOP) is generally targeted to small- and mid-size businesses and offers protection for all major property and liability risks in one insurance package. This type of policy meets the basic coverages required by a business owner in one bundle. However, it usually costs less than the total cost of the individual coverages.

Business Owners Policies main coverage includes:

Property insurance for buildings and contents owned by the company — there are two different forms, standard and special, which provides more comprehensive coverage.

Covered Building Property

  • Buildings owned or rented
  • Additions under construction if not covered elsewhere
  • Completed additions
  • Indoor and outdoor fixtures
  • Permanently installed machinery and equipment
  • Personal property you own as a landlord in furnished apartments
  • Personal property you own used to service or maintain the building or premises

Covered Business Personal Property (BPP)

Exterior building glass you must cover if you are a tenant
  • Leased personal property you are contractually responsible to insure
  • Personal property you own and use in the business
  • Property of others in your care, custody, or control
  • The use interest in any improvements and betterments you made or acquired if you are a tenant
  • The business property must usually be stored or kept in qualifying proximity of business premises (such as within 100 feet of the premises).

    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.

    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.

    Business Owners Policies do NOT include:

    • Commercial Auto Insurance
    • Worker’s Compensation
    • Professional Liability
    • Umbrella

    You’ll need separate insurance policies to cover professional services, vehicles and your employees.

    How much does a business owners policy cost?

    • The type or class of business you own, business location, the size of the location, number of employees and revenue are all factors in determining business owners policy costs.

    T. Hudson Risk Advisors can provide your business with a competitive quote from a wide range of carriers to find the right fit for your business. Contact us to find out more about Business Owners Policies for your business.