Business owner's policy for installation professionals

Small installation businesses often choose a business owner’s policy for its extensive coverage and affordability. Consisting of both a general liability policy and commercial property insurance, a BOP insurance package covers customer injuries and your own business property under a single plan.

This policy protects against:

• Lawsuits related to customer injuries or property damage
• Damage to your equipment or inventory
• Lawsuits related to advertising injuries, such as slander

Businesses that are eligible for a BOP typically:

• Have fewer than 100 employees
• Have a small office or workplace
• Make less than $1 million in annual revenue
• Operate in a low-risk industry
• Need less than 12 months of business interruption insurance

Speak with a licensed Insureon agent to learn whether your installation business can save money with a BOP.

You can tailor a BOP to match your business needs by adding other types of coverage.

For instance, installation professionals can often include additional coverage, such as a business interruption insurance endorsement to their policy. This covers operating expenses and lost income if your business is forced to temporarily close due to a fire or other covered event.

You could also add inland marine insurance to protect mobile property, such as towed or high-value equipment like backhoes and forklifts that travel to job sites.

A business owner's policy includes different types of insurance coverage to protect against common risks faced by small businesses.

The general liability portion of a business owner’s policy can pay for legal fees and other expenses related to customer injuries and accidental property damage. It usually includes product liability insurance to protect against damages from recently completed installation projects.

A BOP helps cover third-party lawsuits related to:

• Bodily injuries, such as a customer tripping over your toolbox
• Property damage, such as kitchen tiles broken during a refrigerator installation
• Product liability, such as a newly installed window that leaks and damages the floor
• Advertising and personal injuries, such as a lawsuit stemming from a Facebook post about a competitor

General liability coverage is especially important for installers, as working in your clients' homes and offices increases the risk of a third-party lawsuit.

The property insurance portion of a BOP can help installation companies cover expenses when damage, theft, or loss occurs at their place of business. For example, you may be confronted with the aftermath of smashed windows and graffiti at the office of your siding installation business.

A BOP pays for business property lost or damaged due to:

• Windstorms
• Theft
• Vandalism
• Fire
• Burst pipes

Keep in mind that you'll need to invest in inland marine insurance to protect property in transit, stored off-site, or used at job sites.

If your installation business is forced to close due to damage from a storm, fire, or other covered loss, the results could be financially devastating.

For example, a fence installation business may need to halt business operations temporarily after a fire destroys its supplies and materials. Business interruption insurance, sometimes called business income insurance, shields your business from loss of income and other expenses related to closure caused by a disruptive event.

Talk to a licensed Insureon agent to add business interruption coverage to your BOP.

While a business owner's policy covers the most common risks of running a small installation business, it's not the only insurance policy you need. You should also consider:

Workers' compensation insurance: Workers' comp covers medical bills and disability benefits for work-related injuries and illnesses. It's required in most states for businesses with employees.

Commercial auto insurance: This policy helps installation businesses recover financially from an accident involving their business vehicle. Most states require this coverage for vehicles owned by a business. You may also need a mobile equipment endorsement for employees who drive forklifts and other machinery.

Professional liability insurance: This policy covers legal costs related to work mistakes and oversights, such as using the wrong materials. It's also called errors and omissions insurance or E&O.

Contractor’s tools and equipment insurance: This policy helps pay for repair or replacement of an installation contractor’s tools and equipment if they are lost, stolen, or damaged.

Cyber insurance: Sometimes referred to as cyber liability insurance, any business that handles personal information, from credit card numbers to email addresses, should carry this coverage. It helps pay for costly data breaches and cyberattacks.

Are you ready to safeguard your installation business with a business owner's policy? Complete Insureon’s easy online application today to get quotes from top U.S. insurance companies.

You can also speak with a licensed insurance agent at any time. Once you find the right policy, you can begin coverage and receive a certificate of insurance (COI) in less than 24 hours.