Business
Owner's Policy
Running a small business in California means juggling a lot of responsibilities. Managing your insurance should not be one of the complicated ones. A Business Owner's Policy, commonly called a BOP, is one of the smartest and most cost-effective ways for small business owners to get the coverage they need without paying for two separate policies.
At Ibrahim Insurance Agency in Corona, CA, we help small businesses throughout the Inland Empire find the right BOP coverage at a price that makes sense for their budget and their risk.
What Does a Business Owner's Policy Cover?
General Liability Insurance
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The general liability component of a BOP protects your business from third-party claims of bodily injury, property damage, and advertising injury. If a customer is injured at your business, if your work damages someone's property, or if someone sues you over something your business advertised, this coverage pays for your legal defense costs, settlements, and judgments.
Commercial Property Insurance
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The commercial property component covers your business property against damage or loss from covered events including fire, theft, vandalism, and certain weather-related damage. This includes your building if you own it, your business equipment, your inventory, your furniture, and your fixtures.
Business Interruption Insurance
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Most BOP policies also include business interruption coverage, sometimes called business income insurance. If a covered event forces you to temporarily close your business, business interruption coverage pays for your lost income and ongoing expenses like rent, payroll, and loan payments while you recover.
Additional Coverages
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Depending on the carrier and the specific policy, a BOP may also include coverage for data breaches and cyber liability, equipment breakdown, hired and non-owned auto liability, and accounts receivable protection. Ask your agent what is included in your specific policy.
Frequently Asked Questions
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No. A BOP is not legally required. However, if you lease commercial space your landlord may require general liability coverage, and clients may require proof of insurance before working with you.
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Yes. Most carriers allow you to add endorsements to a BOP to cover specific risks. Common add-ons include cyber liability, professional liability, employment practices liability, and equipment breakdown coverage.
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In many cases, coverage can be bound the same day or within a few business days. Call Ibrahim Insurance and we can often have you covered quickly.
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Your homeowners insurance does not cover your business activities. A BOP or a home-based business endorsement is needed to cover your business equipment, inventory, and liability if you operate from home.
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A BOP is a standardized bundled policy designed for small businesses. A commercial package policy, or CPP, is a more customized option for larger or more complex businesses that need greater flexibility in their coverage. For most small businesses a BOP is the simpler and more affordable choice.