What is a Business Owners Policy (BOP)?

A Business Owners Policy (BOP) is specifically designed for small to medium-sized businesses, offering a bundled package of essential coverages. This policy typically combines property insurance, liability coverage, and business interruption insurance, making it a cost-effective and practical option for small business owners. The main advantage of a BOP is that it allows business owners to secure multiple types of coverage within a single policy, simplifying their insurance management and often providing a discount compared to purchasing each coverage separately.

The structure of a BOP aims to meet the unique needs of smaller businesses, which may not require the extensive coverage options that large corporations might, nor the complex structures associated with their insurance needs. As such, the BOP is tailored to provide essential protections that cater specifically to small business operations.