PROTECTING YOUR BUSINESS: THE BOP SOLUTION

2A rogue employee embezzles $50,000 from your company's bank account. A visitor to your office slips and falls on a wet floor, suffering a broken elbow. A competitor sues you for allegedly libeling their product.

Believe it or not, a single insurance policy could pick up the tab for any of these instances.

The Business Owners Policy (BOP) can provide "package" protection against these risks -- and a wide variety of others -- for a premium that's significantly lower than the cost of the individual Property and Liability policies that you would need to cover all of these perils.

As a rule, BOP packages are available to Main Street businesses (those with revenues of $5 million or less and 100 or fewer employees).

Property coverage under a typical BOP includes:

  • Property Damage to your premises, contents, inventory, office equipment, and computers, as well as the property of others that's temporarily in your care -- such as clothing being cleaned. Most BOPs will pay for the cost of replacing lost or damaged property, rather than its actual cash value.
  • Business Interruption covers loss of income to your business caused by lost or damaged property.

BOP Liability coverage includes, but is not limited to:

  • Bodily Injury covers losses due to physical or mental injury, disease, and death that occurs on your premises or is caused by your products.
  • Medical Payments picks up the cost of health care treatment for customers, vendors, or suppliers injured on your property.
  • Personal and Advertising Liability protects your business against lawsuits alleging slander, libel, or invasion of privacy.
  • Crime covers loss of money or securities from burglary, theft, and embezzlement.

Bear in mind that because the amounts of insurance (limits) under your BOP are fixed, you might need to increase your limits. You might also need to add coverages, such as Fleet Auto. We'd be happy to help provide you with a BOP that's tailored to the needs -- and pocketbook -- of your business. Please feel free to get in touch with us.

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Further Reading
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