Business Owners Policy (BOP) Information
Businesses across all industries must account for various risks and exposures. Even those operating in low-risk sectors and with adequate precautions may eventually face the financial consequences of accidents, errors and other incidents. With this in mind, your organization should ensure it has suitable loss control measures, such as a business owners insurance policy (BOP).
What Is a BOP?
BOPs may be the central component of an adequate insurance portfolio for many small- and medium-sized organizations regardless of sector or unique circumstances. This is because BOPs typically include several coverages with usefulness that transcends industry lines. Furthermore, BOPs may provide your company with a convenient and cost-effective arrangement that offers lower overall rates than you might pay for separate policies.
What Is Included in a BOP?
The details of BOPs may vary depending on your specific policy and insurance provider; however, primary components of these arrangements typically include the following:
- General liability insurance—This part of a BOP may provide financial protection from third-party losses for which you are responsible, such as the following:
- Medical expenses resulting from bodily injuries
- Lost or reduced wages due to injuries disrupting someone’s ability to work
- Repair or replacement costs for damaged property
- Legal costs arising from lawsuits (e.g., attorney fees, settlements, judgments)
- Commercial property insurance—This coverage, also known as business property insurance, may help pay for losses involving your company’s physical property, including the following:
- Equipment (e.g., electronic devices and tools)
- Business interruption insurance—If a covered incident delays or disrupts your normal operations, this coverage may help you recoup the following expenses and losses:
- Rent and mortgage payments
- Lost revenue
- Employee payroll
- Temporary relocation costs
While the aforementioned trio of coverages are typically included, your organization may also have the ability to augment its BOP with additional types of insurance, such as the following:
- Workers’ compensation insurance
- Errors and omissions insurance
- Commercial auto insurance
- Cyber liability insurance
Get the Right Coverage
At Illinois Auto Quote, our dedicated team of insurance professionals is well-versed in helping businesses, families and individuals in the McHenry area identify and address their coverage needs. We will work with you to ensure that your finances and future are secured by optimal insurance policies. Contact us
today to learn more or get a quote.