Business owner’s policy for building design companies

A business owner’s policy is the best defense against some of the most common incidents that occur in the building design industry. A BOP bundles commercial property insurance and general liability insurance, usually at a lower rate than purchasing both policies separately.

Commercial property insurance protects your building, equipment, and inventory from damage or loss. General liability insurance provides coverage for third-party injuries or property damage for which you might be found liable. A BOP protects against:

• Damage to equipment, inventory, and other business property
• Lawsuits related to customer injury or property damage
• Lawsuits related to advertising injuries

Business owners can tailor a BOP to meet their specific needs. In the building design industry, useful add-ons might include business interruption insurance, cyber insurance, or other endorsements. You can also add inland marine insurance to protect mobile property, such as surveying equipment.

Small, low-risk businesses usually qualify for a BOP, including:

• A small architecture firm
• An engineer or drafter who works alone, or only has a handful of employees
• An interior design firm working primarily on smaller projects

Talk to a licensed Insureon agent who specializes in the building design industry to learn more about how a BOP could benefit your business.

The commercial property insurance included in a BOP protects:

• Business equipment, such as computers
• Office furniture and fixtures 
• Your building if you own it

A business owner’s policy can reimburse you for damages caused by theft, vandalism, or a covered weather event. It also covers the costs of repair and renovation after a fire.

The general liability portion of a business owner’s policy can pay for legal bills and other expenses related to customer injuries or property damage. For example, it can provide coverage if:

• A customer trips and breaks an arm at your office
• Your interior design assistant damages a client’s expensive rug

The general liability portion of a BOP also provides coverage against advertising injuries, including:

• Defamation, such as libel (written) and slander (spoken)
• Copyright infringement

For example, if an employee writes a negative review about a rival interior designer and your business is sued for libel, general liability insurance could help pay the resulting legal fees.

If your business is forced to temporarily close, it could result in devastating financial losses. Typically included in a BOP, business interruption insurance shields your business from expenses related to closure caused by a covered event.

For example, your architecture firm may need to close for renovation after a fire. Business interruption insurance would cover lost profits and normal operating expenses until you can reopen. That way you can still pay your employees and creditors during the interruption.

Speak to your licensed Insureon agent to add business interruption coverage to your BOP.

A business owner’s policy protects building design professionals from the most common losses and lawsuits, but it doesn’t provide coverage for all risks. Business owners should also consider:

Professional liability insurance: This policy is critical for professionals whose work depends on their expertise. It covers lawsuits related to work performance.

Workers’ compensation insurance: Most states require workers' comp for businesses with employees. It can cover medical expenses and partial lost wages if an employee is injured on the job.

Commercial auto insurance: This policy helps cover costs if your business vehicle is involved in an accident. Each state has its own requirements for auto liability insurance.

Cyber insurance: This policy helps architects, engineers, and other building designers recover financially from data breaches and cyberattacks.

License and permit bonds: Architects and engineers may need a license or permit bond to work in their state, or to take on certain projects.

Are you ready to protect your building design company with a business owner’s policy? Complete Insureon’s easy online application today to compare quotes from top U.S. carriers. Once you find the right policy, you can begin coverage in less than 24 hours.