Anyone who use a workspace, whether it is owned or rented, would benefit from a business owner’s policy. Many businesses have general liability insurance and commercial property insurance for office or any commercial space use. Additionally, client contracts may need general liability coverage. Regardless, a BOP is a smart protection for businesses that interact with the public and own property, as it is a safeguard from financial losses resulting from customer accidents and incidents such as burglaries and fires. This policy is specifically designed for low-risk small businesses. Qualifying businesses will save money and secure coverage for the most common claims.

What Does a Business Owner’s Policy Cover?

A business owner’s policy includes both general liability insurance and commercial property insurance to protect small businesses.

General liability insurance

Pays for lawsuit expenses that are brought on by those outside your business, suing for bodily injury, property damage and advertising injuries such as defamation or copyright infringement. You may already be legally required to carry this coverage if you lease commercial space, have a mortgage, or work with expensive client property.

Commercial property insurance

Covers repair or replacement costs due to damaged, destroyed, or stolen business property, including owned commercial space, inventory and supplies/equipment. If you have any assets that may be easily susceptible to fires, burglaries or physical damage, this protection is highly advantageous.

Keep in mind that not all types of businesses are eligible. To qualify for BOP, your business will most likely need to be in a low-risk industry with less than 100 employees, make fewer than $1 million in annual revenue, and operate out of a small commercial space. Those who operate a high-risk business may add commercial umbrella insurance to your business owner’s policy to extend maximum general liability limits to cover costly lawsuits.

Do You Need a BOP?

Any business that owns valuable property should secure a BOP to be properly protected in a time of need. Businesses that work directly with the public should not solely rely on a general liability policy to cover third-party lawsuits as it does not provide coverage for fire, theft, and other property damage incidences. A BOP provides well rounded coverage at a discounted rate, rather than purchasing separate policies.  Business owner’s policies are also flexible, as additional coverages can be added. Common endorsements include business interruption insurance, data breach insurance, hired and non-owned auto insurance, liquor liability insurance and professional liability insurance. There is such a wide variety of scenarios where home businesses, freelancers, and small businesses benefit from this policy. Speak to your insurer today to learn how it can protect you.

About Sine Insurance

At Sine Insurance Group, we are dedicated to providing you with custom-tailored insurance policies to protect your assets. Our comprehensive packages have been expertly crafted to serve St. Louis and the surrounding areas for the past 25 years. For more information about our products, contact us today at (855) 700-0889.