If you are the owner of a small business you want to get good protection at competitive pricing. You can do just this as many insurance companies offer business insurance in combined packages, called a Business Owners Policy (BOP). A BOP will provide you with protection from many of the major property and liability risks that business owners face.
The business owner’s policy is ideal for most small and mid-sized businesses and was created for companies that potentially face the same or similar types of exposures with a common degree of risk. Larger companies will often consider a commercial package policy from Preferred Insurance in Texas that allows them to customize their coverage to meet the specific risks that they face.
Types of policies that are bundled in a BOP
A BOP generally includes property insurance for buildings and contents owned by the company. There are two different forms, standard, and special, which provide more comprehensive coverage. A business interruption policy can be included which covers the loss of income that could result from a fire or other catastrophic event that disrupts the business for any length of time. It will include any extra expense associated with having to operate out of a temporary location and pay employees as well.
Liability protection is another important feature and covers the company’s legal costs when claims are made for any harm caused to others. This includes any injury or loss as a result of actions that a business owner, representative, or employee does, or fails to take, in the course of business operations that may end up causing bodily injury or property damage due to, for example, defective products, faulty installations, or errors in services provided.
There are several areas requiring insurance that are not covered by a BOP, including professional liability, auto insurance, worker’s compensation, or health and disability insurance. These require separate insurance policies to cover these particular exposures. Regardless of the type of company being operated, the business owner’s policy is an integral part of any successful business. Running an enterprise without adequate amounts of insurance is simply not a risk worth taking.