Most local small businesses will opt for a business owners policy (BOP) in Carmel to safeguard against unexpected financial losses beyond general liability claims. A BOP protects your small business and this is the type of policy preferred by merchants that own and operate clothing and retail stores, restaurants, and is particularly favored by independent contractors.
While not every policy is available as part of a BOP insurance package, there are several coverages from which to choose from. While typically, business property and general liability are part of most BOP insurance bundles, you may in addition, add data breach (quite popular in light of the wave of cyber criminal activity), business income, EPLI, personal property, and a host of other policies.
The liability portion of your BOP policy offers coverage for third parties who suffer bodily injury, property damage, advertising injury or personal injury on a covered business’s premises. It also covers any damages caused by the business’s owner or their employees.
This coverage takes the form of compensation for legal fees related to third-party lawsuits. In addition, BOP liability coverage may include compensation for medical expenses that result from an injury to a third party on a covered business’s premises for up to one year after the incident occurs.
A BOP differs from a commercial package
A commercial package, while also offering property and general liability protection, further allows business owners a list of broader coverage options along with higher policy limits. This package provides a comprehensive solution for small and midsize businesses with more complex needs, with coverage that is generally not eligible for BOPs.
Consider adding business interruption to your BOP package
One of the coverage options that are offered with a BOP, and a favorite among small business owners is business interruption insurance, as part of your property coverage. A business interruption policy provides up to 12 months’ income for businesses when they are forced to shut down operations because of a covered property event.
Many insurers offer businesses the option to customize a business owners policy in Carmel based on specific coverage needs. Speak to an agent familiar with the BOP program that can answer your questions.