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Business Owners Package: What’s Covered And What’s Not?


It takes lots of courage, hard work, and money to start a business. Even though the business started as a small market, the owner still made efforts to build it. This is an investment that a business person might want to protect and preserve. The maintenance of commerce should include a business owner package (BOP), a policy designed for small to medium-sized businesses.

What Is A Business Owner Package

The business Owner Package (BOP) is a bundle that covers the company's basic insurance. It protects business owners against property damage, liabilities, and business interruptions. This policy is affordable and sold at a premium offer. On top of that, there are specific risks that BOP covers and does not cover.


Besides, a business owner can buy them separately on either a general liability insurance policy or the property insurance policy. It depends on several factors like the location, the business size, and the number of employees. The policy is a great way to improve and secure your business’s future. It specifically scopes many things in one package, such as the following.

Coverage That Can Be Included On BOP

  • Business Property Insurance

  • Business Interruption Insurance

  • General Liability Insurance

  • Cyber Liability Insurance

Business Property Insurance

This includes the physical building and infrastructure. It can cover dysfunctional machinery and computers. Raw materials and hardware structures are also covered. If property-owned, it would be added to the BOP’s inventory.

Business Interruption Insurance

When the business is destroyed by an earthquake, fire, or flood during typhoons, BOP will usually cover the loss. It will also provide up to 12 months of operating income for businesses forced to stop. In addition, BOP can provide coverage when the owner decides to run their business in a temporary location. It will replace the income loss if it devastates physical commerce.

General Liability Insurance

If your business or the employees caused risks to others, the policy would not fail to provide solutions. BOP will cover and provide safety for harmful situations such as bodily injuries. Above that, it may help the business qualify for leases and contracts and cover property damages. Getting BOP will defend business owners against lawsuits.


Cyber Liability Insurance

The use of the internet and technologies are seen in these modern days. Many businesses decide to utilize social media, especially in advertising their products and services. When somebody has breached the data and security of the company, and it impacts not just the business but also the owner, this will handle the cost of expenses.


It may replace the income and provide financial aid when the owner decides to defend himself against legal claims.

BOP Does Not Cover

  • Auto Insurance

  • Professional Liability Insurance (Errors and Omissions Insurance)

  • Health and Disability Insurance


Conclusion

Purchasing a premium will save time and money. BOP will cover the business liabilities you invested so many things into. This policy is best for small to medium-sized business properties. The general liability and losses are ready under this policy.

At Second Western Insurance Services, we do our best to make sure that our clients are well-protected with affordable and comprehensive policies. We will go the extra mile to help you with your needs. To learn more about how we can help you, please contact our agency at (818) 952-5203 or Click Here to request a free quote. Any coverage discussed is not guaranteed. Please contact us today to go over your policy to ensure your needs are met! We are here and happy to help.


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