Business Owners Policy
These policies basically combine protection from all major property and liability risks into one package. Package is designed for small and mid-sized businesses. Larger companies might require more specialized or custom coverage to meet the special risks they face.
- Property insurance for buildings and contents owned by the company – there are two different forms, standard and special, which provides more comprehensive coverage.
- Business Interruption insurance, which covers the loss of income resulting from any event that disrupts the operation of the business. It can also include the extra expense of operating out of a temporary location within policy limits.
- Liability protection, which covers your company’s legal responsibility for the harm it may cause to others. This harm is a result of anything that you and your employees do or fail to do in your business operations that may cause bodily injury or property damage which include defective products, faulty installations and errors in services provided. This is not to be confused however with product warranties which are generally uninsurable.
BOPs exclude professional liability, auto insurance, worker’s compensation or health and disability insurance. For which a company will need separate insurance policies to cover.