Whether you own a small or medium-sized business in Colorado, there are certain challenges and risks that are unique to doing business here. From property damage to liability claims, disasters can make unparalleled impressions on your business, making your operations and finances go haywire. A Business Owners Policy (BOP) is a bundled insurance package designed specifically to protect your business from these types of unknowns.
What’s a Business Owners Policy?
Business Owners Policy is an insurance package that combines key coverages, specifically General Liability and Property Insurance, into a single, economical policy. A BOP is designed specifically for small to medium-sized businesses in lower-risk industries and offers robust core protection against common risks.
Key Components of a BOP
General Liability Insurance
This part protects your business from bodily injury and property damage claims that happen on your premises or because of your operations. It also includes legal defense fees for lawsuits involving:
- Bodily injury/property damage accidents
- Claims like libel and slander (defamation)
- False advertising
Note: General Liability does not cover professional errors or negligence.
Property Insurance
This coverage safeguards your business’s physical assets, such as buildings, equipment, and inventory, from risks such as fire, theft, or vandalism. Property Insurance allows your business to recover and continue operating after a covered loss, regardless of whether you own or lease your property.
Business Income Insurance
Business interruption insurance, also called business income insurance, replaces income lost and covers expenses incurred when business operations are interrupted due to an essential event such as a fire or natural disaster. It is what makes for financial stability throughout the recovery time.
Optional Coverages to Tailor Your business owners policy
You can adjust your BOP with further coverages tailored to your business’s needs, including:
- Outdoor Sign Insurance
- Insurance for Money and Securities
- Employee Dishonesty Insurance
- Water Backup Insurance
These are in addition to your basic policy and provide more of a safety net against particular threats.
The specific criteria for eligibility of a BOP
While a BOP is a great solution for many businesses, it isn’t available to everyone, and eligibility varies based on:
- Type of business
- Annual sales
- Number of employees
- Risk level of operations
Examples of businesses generally excluded from a BOP are:
- Large premises operations
- Operations that are high risk or highly specialized
- Business conducting most of its operations off premises
- Businesses that need higher liability limits than those available in a BOP
If your business doesn’t meet all the BOP criteria, other commercial insurance options will help you get the coverage you need. Have questions? We are here to help!
What a BOP Doesn’t Cover
A BOP provides extensive coverage, but it doesn’t cover:
- Workers’ Compensation Insurance
- Professional Liability Insurance
- Commercial Auto Insurance
You will need to purchase these separately to cover risks specific to your business operations. Your Insurance Lady is here to help answer any questions along the way as you decide what is best for your business!
Why You Should Partner with Your Insurance Lady for Your Business Insurance
At Your Insurance Lady, we know the challenges Colorado businesses face. We are here to offer flexible solutions which fit to your businesses needs. We offer you unique opportunities through collaboration with us!
By partnering with us, you gain access to:
- Tailored insurance packages designed for your specific industry and risk profile
- Competitive pricing to ensure cost-effective coverage
- Expert guidance to navigate the complexities of business insurance
We’re committed to helping you protect your business assets and ensure long-term success.
Investing in a Business Owners Policy helps protect against unforeseen events. A BOP can give you peace of mind and financial security with extensive coverage, and the option to tailor your policy to your specific needs.
Connect with Veta at Your Insurance Lady, to talk about your insurance needs and discover the ideal coverage option for your business today!