A Business Owner's Policy (BOP) is an insurance policy that combines protection for all significant commercial property and liability risks.
This policy assembles the basic coverages a business owner requires in one bundle, particularly general liability and commercial property insurance.
It's often considered a practical solution for small to medium-sized businesses. A BOP offers discount options that significantly decreases commercial property and general liability insurance costs. Read on to learn more.
No, a business owner’s policy and general liability insurance differ. Here's how each one works:
Bundling coverage makes the BOP more comprehensive. Some businesses are eligible for BOPs, but some may require standalone policies. Business owners should understand their risks and consult an insurance professional for the correct coverage.
The flexibility, coverage, and types of firms they insure differ between a Business Owners Policy (BOP) and a Commercial Package Policy (CPP). The following is a breakdown of how they differ:
Customization and coverage limits are the key differences. Commercial BOP insurance is suitable for many small firms, but a CPP can be tailored to the needs and hazards of individual enterprises, including larger or more complicated ones.
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This package covers all significant property and liability risks. BOPs typically offer:
Property insurance–A business owners property insurance protects your buildings, equipment, furnishings, and inventory from fire, storms, theft, and other threats
General liability insurance–If your business is sued, general liability insurance covers legal fees and judgments. General liability insurance covers legal fees and reimbursements if a consumer slips and falls in your establishment
Business Interruption Insurance–Business income insurance reimburses you for lost income and operating expenses if your business cannot run for a covered reason, such as a fire or natural disaster
Data Breach/cyber liability insurance–Some BOPs provide this coverage to protect your firm from cyberattacks and data breaches. This covers consumer notification, credit monitoring, and legal fees
Each BOP is different, and its coverage depends on its terms. A conventional BOP may not include professional liability, auto insurance, workers' compensation, or health and disability insurance. Businesses usually buy these business BOPs separately. Talk to your insurance agent or broker to make sure you're covered.
Liability coverage in a BOP is provided on an occurrence basis. This means that it covers claims during the policy period, regardless of when the claim is reported. Some frequent restrictions depend on the insurance provider and policy terms:
Professional liability, which usually covers errors and omissions, is rarely covered by BOPs
BOPs usually don't cover business-related auto liabilities. Businesses require commercial auto insurance to protect liabilities for owned or leased automobiles used for business
BOPs don't cover employee benefits. Employee benefits claims are usually part of employee benefit packages, not in a BOP
BOPs don’t cover medical costs and missed pay for workers who are injured or ill on the job
It's crucial to note that these exclusions are general principles, and unique policies may have different terms and conditions. Review the policy terms and talk with an insurance specialist to understand a business owners liability coverage and exclusions.
A BOP’s liability limit varies by policy and insurer. BOPs often include property, general liability, and business interruption insurance for small enterprises. The limit of liability is the most an insurance company will pay for covered losses or claims within a policy period. Business needs and coverage alternatives determine a BOP liability coverage.
Policyholders can select a liability limit from the insurance company's range. BOP plans usually include liability limits of $1 million, $2 million, or $5 million, although they can vary based on the insurer and the business's needs.
To ensure proper coverage, thoroughly analyze your business's risks, determine a limit of liability, and choose a business owners package policy that matches your needs. An insurance company can assist you in choosing a limit depending on your business activities and potential liabilities.
The average cost of business owners policy offering a $1 million general liability and $60,000 commercial property coverage is $145 per month or $1,740 per year. Several factors affect BOP insurance costs. Key considerations include:
Your BOP insurance cost depends on your business type. Industry risk varies. Construction companies may pay more for insurance than retail stores.
Annual income, number of employees, and location might affect BOP insurance costs. Due to risk and liability, larger enterprises pay greater premiums. Small business owners' insurance
BOP coverage limits affect cost. Coverage limits increase premiums. To determine coverage levels, carefully examine your business's demands
The business location might affect insurance rates. Due to risk, natural disaster-prone or high-crime areas may have higher premiums
Your business's claims history can affect insurance costs. Insurers may charge higher premiums for businesses with frequent or large claims
Before insurance coverage begins, you pay the deductible. Higher deductibles cut premiums, but you'll pay more for claims
Professional liability, and employment practices liability insurance are common BOP endorsements. These coverages raise the average cost of a business owners policy.
In connection, Here’s a table showing the rates of companies we recommend:
Cost per Month | Cost per Year | Best for | |
---|---|---|---|
NEXT | $50 | $600 | Best overall; Fastest BOP |
The Hartford | $59 | $708 | Industry expertise, coverage options, and reliable claims handling |
CoverWallet | $67 | $804 | Comparing BOP quotes online |
Tivly | $72 | $864 | Comparing BOP quotes over the phone |
Thimble | $78 | $936 | Small enterprises and independent freelancers who need short-term or project-based insurance |
Hiscox | $83 | $996 | Small to medium-sized professional service firms |
Nationwide | $100 | $1,200 | Businesses looking for comprehensive BOP coverage and customized service |
Chubb | $140 | $1,680 | Businesses wanting complete protection and worldwide coverage |
Allstate | $170 | $2,040 | Small businesses seeking comprehensive BOP coverage and convenient policy management |
State Farm | $220 | $2,640 | Businesses looking for extra coverage options and financial stability |
GEICO | $250 | $3,000 | Customizable BOPs, competitive prices, and easy online tools |
Progressive Business Owners Policy | $289 | $3,468 | Small businesses seeking economic and flexible BOP coverage |
Liberty Mutual | $302 | $3,624 | Businesses looking for customized BOP coverage and local agent support |
Get all the best quotes from leading providers in a click of a button!
The following are some best business owners policy insurance companies. Read some of the reviews below to know their pros, cons, and average cost:
Customized Policies: NEXT works closely with businesses to understand their risks and coverage needs to build customized policies that provide suitable protection
Their web platform makes it easier for businesses to acquire estimates, manage policies, and process claims
Competitive Pricing: NEXT offers cost-effective coverage choices to assist businesses in getting quality insurance at competitive rates
Coverage options vary by area and industry
Small and medium-sized enterprises can get complete Business Owners Policy (BOP) coverage from NEXT. They offer insurance solutions targeted to different industries and businesses kinds. With this company, you can easily get a proof of businessowners liability coverage online. You can even bundle this with commercial property and workers compensation insurance through a BOP.
Best for: Best overall; Fastest BOP
Average cost: $50 per month
Our rating: 10/10
Industry expertise: Hartford has worked with several industries, allowing them to offer industry-specific coverage and understand the risks firms face in diverse areas
The Hartford business owners policy offers cyber liability, data breach, and employment practices liability insurance to organizations in addition to BOP coverage
Claims: Hartford's swift and fair claims handling helps policyholders in times of need
Their coverage and service frequently outweigh the expense
The Hartford, a well-known insurance firm, offers BOP insurance to businesses. Their business owners policy coverage and service are well-regarded. Hartford's BOPs combine general liability and property insurance to safeguard small businesses from typical hazards and give extra coverage options to customize the policy.
Best for: Industry expertise, coverage options, and reliable claims handling
Average cost: $59 per month
Our rating: 10/10
Comprehensive Solutions: Coverwallet's Business Owners' Policies include general liability, property insurance, business interruption, and more, allowing businesses to customize their coverage
Digital Platform: Their easy-to-use web platform lets you get prices, compare options, and manage policies in one place
Coverwallet's insurance experts can help you choose the right coverage for your business
Coverwallet works with numerous insurance companies, so it's crucial to compare quotes to get the best rates
Coverwallet is an insurance technology company that offers business owners policy insurance and a range of other commercial insurance products. They work with various insurance providers to offer businesses various coverage options and customized policies.
Best for: Comparing BOP quotes online
Average cost: $67 per month
Our rating: 10/10
Carrier marketplace: Tivly searches over 200 partners on your behalf when you request a quotation. You will receive the best business policy at the most reasonable cost
Simple quotation procedure: After completing a simple form, a trained representative will contact you and walk you through the quote procedure
Excellent rates: Tivly is able to obtain the most competitive pricing on the most common insurance policies by comparing premium carriers
Not entirely online: Although the procedure is quick and straightforward, it is not wholly online. This can be frustrating for business owners who prefer to avoid social interaction
Tivly, a St. Petersburg, Florida-based digital commercial insurance services provider, connects businesses with insurance carriers. Their two-sided marketplace connects businesses seeking coverage with insurance providers using modern insurance technologies and marketing tactics. Tivly uses live customer support and engagement to help business clients increase productivity and choose the best Business Owner Policy for their needs. Call now to compare quotes over the phone.
Best for: Comparing BOP quotes over the phone
Average cost: $72 per month
Our rating: 10/10
Flexible Policies: Thimble allows organizations with different insurance needs to buy coverage per project or hourly.
Fast and Easy: Their mobile app and internet platform make receiving an estimate simple, buying coverage, and managing a policy
Affordable Options: Businesses can save money by only paying for insurance when they need it with Thimble's on-demand coverage
The flexibility is great for short-term initiatives, but it may be better for firms that need constant coverage
Thimble is an innovative insurance firm that offers flexible Business Owners Policies for small enterprises and independent professions. They specialize in on-demand coverage that may be adapted to project durations or corporate demands.
Best for: Small enterprises and independent freelancers who need short-term or project-based insurance
Average cost: $78 per month
Our rating: 10/10
Their BOP plans for small and medium-sized enterprises cover property, liability, and business interruption
Businesses can tailor their Hiscox insurance to their needs
It's easy to acquire quotes and manage policies on the company's website
Limited industry focus: Hiscox primarily serves professional service providers. Therefore other firms may find better solutions elsewhere
Hiscox is a global specialized insurance provider that provides a range of insurance options, one of which is business owners policy, or BOP, insurance. Their BOP coverage is intended to offer complete protection against a variety of risks to companies of a size range that is suitable for small to medium-sized enterprises.
Best for: Small to medium-sized professional service firms
Average cost: $83 per month
Our rating: 10/10
Competitive pricing: Small businesses on a budget like GEICO's economical insurance solutions
Business owners can rapidly acquire rates and manage their policies online using GEICO's user-friendly website and tools
Variety of coverage options: GEICO's BOs can be tailored to diverse sectors for flexibility and comprehensive protection
Limited availability: Commercial insurance products from GEICO may not be accessible in all areas. Check BOP coverage in your area
GEICO is a popular insurance company that offers the best BOP insurance. This affordable small business owners insurance covers different businesses. GEICO offers customizable BOPs that cover business risks with general liability and property insurance. GEICO business owners policy is industry-specific and fits a variety of businesses. The price of GEICO business owners policy depends on business size, industry, coverage limits, and location. GEICO BOPs typically cost $3,000 annually, so getting a business owners insurance quote is best.
Best for: Customizable BOPs, competitive prices, and easy online tools
Average cost: $250 per month
Our rating: 10/10
Local agent network: Liberty Mutual's wide network of local agents helps business owners get individualized insurance advice
Customizable coverage: Liberty mutual BOP insurance lets businesses choose their coverage options and limits.
Additional resources: Liberty Mutual offers online training, risk management guidance, and more to help company owners manage risks and improve safety
Online BOP rates can be harder than with other carriers
Liberty Mutual, a well-known insurer, offers BOP insurance. They offer customizable BOP coverage with general liability and property insurance to safeguard small businesses from common threats. Liberty Mutual's large network of local agents provides individualized assistance and support.
Best for: Businesses looking for customized BOP coverage and local agent support
Average cost: $302 per month
Our rating: 10/10
Customized coverage: Chubb business owners policy can be tailored to each business's needs for a flexible coverage and greater policy limits
Risk management expertise: Chubb helps organizations reduce risks and improve safety, decreasing claims
Global presence: Chubb provides international coverage for organizations with international risks or operations
More prices for comprehensive coverage
Chubb is a multinational company offering business owners policy insurance. They provide specialized coverage for organizations of all sizes. Chubb's BOPs combine general liability and property insurance to protect businesses against various risks. Chubb's BOPs safeguard businesses with general liability and property insurance and are known for their financial strength and risk management competence.
Best for: Businesses wanting complete protection and worldwide coverage
Average cost: $140 per month
Our rating: 10/10
Wide coverage options: Nationwide Premier lets businesses personalize their insurance to meet their needs and industry standards
Strong financial stability: Nationwide is a financially solid insurance business with a good track record, assuring it can pay claims and provide trustworthy coverage
Local agent support: Nationwide's local agents help company owners understand insurance and make decisions
Scarcity: Nationwide, a respectable insurance carrier, may only offer BOP coverage in some places
Nationwide premier business owners policy is top-notch. They cover basic company hazards with general liability and property insurance. Nationwide's broad agent network offers personalized advice and service
Best for: Businesses looking for comprehensive BOP coverage and customized service
Average cost: $100 per month
Our rating: 10/10
Flexible coverage and greater policy limits: Allstate's BOPs can be customized to match businesses' needs, for example, the restaurant BOP insurance
Allstate's trained representatives help company owners through the insurance process
Allstate business owners policy online features make it easier for company owners to manage policies, make payments, and access crucial documents
Allstate's enhanced coverage and customer service typically surpass the cost
Allstate is a well-known company offering small business owners' policy (BOP) insurance. They provide comprehensive coverage options that combine general liability and property insurance to protect businesses from common risks. Options include Contractor, education, finance, and restaurant BOP insurance. Allstate has great customer service and easy online tools
Best for: Small businesses seeking comprehensive BOP coverage and convenient policy management
Average cost: $170 per month
Our rating: 9/10
Local agent network: State Farm has a large network of local agents, making it easy for business owners to get tailored insurance advice
State Farm business owners policy offers equipment breakdown and company income coverage to supplement BOP plans
State Farm is financially secure and has a good reputation, so they can pay claims and give reliable coverage
No online quotes
State Farm provides BOP insurance for small businesses. They cover basic company hazards with general liability and property insurance. State Farm's broad agent network provides personalized guidance and service.
Best for: Businesses looking for extra coverage options and financial stability
Average cost: $220 per month
Our rating: 9/10
Progressive's BOP coverage is cheap for small businesses
User-friendly online tools: Progressive's web tools let company owners get quotations, manage insurance, and make payments easily
Customizable coverage: Progressive's BOPs offer businesses to personalize coverage options and restrictions
Limited specialized coverage: Progressive offers customizable coverage. However, their options for particular sectors or policy expansions may be limited compared to other insurance carriers
Progressive provides BOP insurance for small businesses. They offer general liability and property insurance packages to protect businesses from typical threats. Progressive BOP insurance offers low prices and easy online quotes and policy management.
Best for: Small businesses seeking economic and flexible BOP coverage
Average cost: $289 per month
Our rating: 9/10
Use anyone except Employers. Period. They are non-transparent and shameful. After I complained long enough to warrant a call from a supervisor, the supervisor called back from a PRIVATE NUMBER (no caller ID), left a message that they are not reversing their decision (without any communication with me), and failed to leave a phone number for me to call back. She was hiding! They also fact find via email and phone calls, which is terrific for speed and communication. However, after setting a precedence of email or phone calls, they send time sensitive information via email, without any heads up... they are hoping you miss it and forfeit via expiration. Evil policies. Go elsewhere.
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!