The Basics of BOP

​When relating to insurance, a BOP is not some 70’s disco music. BOP stands for a Business Owner Policy, and is one kind of “bundled coverage.” It can help with everything from property, auto, and data protection. But a BOP is not for all. Here are the basics of this type of insurance coverage. 

What is BOP? 
A BOP combines all sorts of business insurance into one package. All essential property and liability insurance coverages are bundled into one and are usually sold at a premium less than the cost of the individual policies when totaled. 

A basic BOP typically includes protection against peril and harm, property damage, liability, and business interruption. For additional premiums, you can opt-in for other protections and tailor-make your package to your individual needs, such as data protection, forgery, spoilage of merchandise, crime, and more. If the company meets specific qualifications, then the insurer may offer special considerations. 

Who Needs Them? 
A BOP policy helps cover the business assets and its physical location, whether it is run from your home, a rented space, or owner-constructed. So if your business utilizes a physical location, then you should consider a BOP. 

If there is a possibility of your employees sustaining injuries in the ordinary course of business, then a BOP can help you with that as well. Without the insurance claim, you may be staring down the barrel of entirely out-of-pocket hefty medical expenses. 

If you have assets that are easily stolen, then a BPO can protect it. Some assets are hard to replace, such as digital software and customer lists. The traditional property, like cash, inventory, and equipment, are equally as important. With a BOP coverage, you can sit secure and never worry about where the money will come from in the event of damaged, pilfered, or stolen resources. 

BOPs are generally targeted for small to medium-sized enterprises.

BOP Coverages 
Commercial property insurance under a BOP is usually available as a peril coverage named in the contract and only protects from the events explicitly listed in the policy. Some BOPs offer “all-risk” insurance, where every kind of unfortunate event is under the policy. 

Business interruption insurance under a BOP covers the losses of the business arising from an event that hampers or disrupts the operation of a business. 

With liability protection, the insurance company will cover the responsibility of the insured for harm to others in the ordinary course of business. 

There are also specific policies, such as crime insurance, flood insurance, and business vehicle coverage, depending on the agreement between the insurer and the insured. 

A BOP has the advantage of being tailor-fit to meet broad business needs for a relatively lower price. If you want to experience the coverage it provides, then grab a BOP insurance quote today. 

At Arnold, Bruce & Doerfler Insurance, we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (503) 222-1951. Get your free quote today by CLICKING HERE.