What is a Business Owners Policy?
Business Owner’s Policies insure buildings, equipment and legal liability may be most or all of the insurance you may need.
This type of policy (called a “BOP” by insurers and others) insures the physical items used in a business and protects against claims for damage to property or personal injury.
Even if your business requires other types of coverage, you should consider this option.
Business Owners Policy Insurance
Typically a BOP policy includes:
• Property insurance (covering buildings, equipment and inventory).
• Business interruption insurance (covering losses that cause you to shut operations or reduce production for a time). Business interruption insurance can provide money to offset lost profits or to pay continuing expenses (typically for up to a year for insured losses).
• Casualty or liability protection (covering harm done by the employees or products to other people or their property).
• Crime insurance (covering loss of money or securities resulting from burglaries, robberies or destruction) as well as losses from employee theft or embezzlement.
• Liability insurance covering lawsuits arising from accidents (as when someone trips and falls on your business’s property) or when you sell a product that damages the customer’s property or you are accused of offenses such as slander, copyright or invasion of privacy.
• Vehicle coverage for rented or borrowed vehicles.
• A number of other coverage’s such as flood insurance or earthquake insurance or owned vehicle coverage and specialized liabilities are generally not included in POBs. Some of these may be available separately for extra premiums.
• One of the distinguishing features of BOPs is that most automatically include business income and extra expense coverage (subject to some limitations).
• Medical Payments – This pays medical bills when your customers, suppliers or visitors are injured on your premises or as a result of your operations outside your premises.
As with all insurance, you should make sure you have all the coverage you need before signing on the dotted line. KeyInsurance.com will assist you with all of your business owners policy needs!