Business Owners Policies are best for small to medium-sized businesses.

The video above provides a straightforward description of BOPs and business insurance in general, courtesy of the Insurance Information Institute.  Business Owners Policies typically consist of the following areas of coverage:

  • General Liability
  • Property (Building)
  • Contents
  • Business Income (Business Interruption)

Did you know...

  • That according to the Small Business Administration, small businesses make up 97% of all employer firms and employ over half of the United States workforce?
  • That "Heavy Equipment is a tempting target for thieves"?  According to the National Insurance Crime Bureau, heavy equipment theft is a growing problem throughout North America.  
  • That Fire Insurance, which is typically a part of Property/Contents or a BOP, can be purchased separately or coverage can be increased by endorsement if your business is particularly susceptible to fire, such as a restaurant?


The coverages below are normally not included in standard BOPs, however, your business may need additional policies or endorsements for:



If you own your building or are responsible for the building as a condition of the lease, property coverage will repair or replace damage caused by covered perils.  Premiums are based on several factors including the age of the building, the type of structure, whether or not there have been any additions, proximity to a fire hydrant or fire station, etc.  Some of this information can be obtained from the county tax assessors office.  The application process will define the information you will need to gather to obtain coverage. 



Contents coverage provides for the replacement of your assets in the event of theft, fire, natural disasters, etc. Assets covered can include furniture, fixtures, décor, equipment, inventory, supplies, and office equipment and supplies. Before requesting a quote, you will need to know the total value of your contents. In order to adequately replace any losses you should create and maintain:

  • An itemized asset list detailing each item’s replacement cost, current value, and model and serial numbers for major equipment and fixtures. Having pictures or videos of your valuables is also recommended. Update your list and policy as you add major items and review the entire list annually for your policy renewal.

Business Income

Business Income, or Business Interruption coverage is not a stand alone policy. It is generally added to a property insurance policy or included in a package policy. If your business had to shut down due to a collapsed roof, prolonged power outage or natural disaster, you would lose income and may even want to continue paying your employees until normal business could resume. Business interruption insurance can compensate you for profits you would have earned, operating expenses that continue even though you are not operating (such as utilities and rent), and even payroll expenses. As with all insurance, the price of coverage is related to the risk, but being insured can mean the difference in staying in business or going out of business.


Professional Liability

Professional Liability insurance, also known as errors and omissions, is recommended and even required in some industries for businesses that provide services. General Liability policies exclude claims from customers harmed by your (or your employees) failure to perform the job properly or provide accurate advice.