10 Great Facts about the BOP
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Does a Business Owner's Policy really cost less than other insurance policies? Who is eligible for a BOP? What coverage is included? These are some of the common questions small-business owners have about Business Owner's Policies. So let's go over the facts about coverage, cost, and eligibility.


Small Business Insurance: 10 Facts about Business Owner's Policies


  • Fact #1. This policy is only sold to small businesses. Generally speaking, "small businesses" are those with fewer than 100 employees and less than $1 million in annual revenue.
  • Fact #2. BOPs bundle General Liability Insurance and Property Insurance into one package.
  • Fact #3. BOPs cost less than purchasing GL and Property Insurance separately.
  • Fact #4. Small businesses often need General Liability Insurance in order to sign a lease or contracts with clients. BOPs can help you meet these contractual requirements.
  • Fact #5. A single lawsuit can bankrupt a business, but Business Owner's Policies can offer $1 million in General Liability Insurance to pay for lawsuits related to bodily injury, property damage, and advertising injury. (To find out more about what's covered, see our Business Owner's Policy examples).
  • Fact #6. BOPs offer nearly the same coverage you would get from separate General Liability Insurance and Property Insurance policies. You might not be able to get policies with the highest coverage limits, but for most small businesses, BOPs offer the coverage they need.
  • Fact #7. Business Owner's Policies do have eligibility requirements. For instance, if you work in a risk-prone industry, operate a large facility, or need large amounts of Property Insurance, you might not qualify for this coverage.
  • Fact #8. Some Business Owner's Policies include Business Interruption Insurance, which insures the income you lose when a covered Property Insurance claim forces your business to shut down temporarily. These BOPs offer up to six months of Business Interruption coverage.
  • Fact #9. Business Owner's Policies can be modified. Small businesses can use "endorsements" to add specific, extra coverage to their policies. Endorsements can include coverage for natural disasters, auto liability, and Cyber Liability coverage.
  • Fact #10. Businesses might be able to save more money on BOP Property coverage. When you sign up for coverage, you can insure your commercial property for either its depreciated value ("cash-value" coverage) or the cost to replace it with new items ("replacement-value" coverage). Cash-value policies cost less because they offer a bit less coverage.


Free Business Owner's Policy Insurance Quotes and Additional Resources


We just threw a lot of information at you. But if your head is spinning, don't worry. You can get a better idea of how this coverage works for your business by talking with one of our agents. Each Insureon agent specializes in a certain industry. For example, when an electrician calls us, they work with an agent who specializes in insurance for electricians.

Likewise, when you fill out a BOP application, you work with an agent who is an expert in your industry. They can walk you through your insurance options and help you get effective coverage quickly.

Business Owner's Policy: Further Reading