A Business Owners Policy combines general liability and commercial property coverage into a single policy at a combined rate that's usually lower than buying the two coverages separately. It's one of the most efficient ways for eligible small businesses to structure their basic insurance.
Who Typically Qualifies
Eligibility varies by carrier but generally favors businesses with: - Annual revenues under $5-10 million - Fewer than 100 employees - Low to moderate risk operations - A fixed business location - Limited special property exposures Retail stores, offices, restaurants, and many service businesses typically qualify.
Who Usually Doesn't
Higher-risk operations often don't qualify and need a commercial package policy instead: - Contractors and manufacturers - Businesses with large equipment or fleet exposures - Professional services with significant E&O exposure
What a BOP Includes
A BOP typically includes business income coverage (also called business interruption coverage), which replaces lost income if a covered event shuts the business down temporarily. This is an important inclusion that's easy to overlook until you're staring at a flooded building and still have payroll due.
