BOP Basics—Essential Insurance for Small and Medium Businesses

While you can plan for many aspects of your business—hiring, scheduling, inventory, and so on—there are some events that are simply unexpected. Perhaps a customer is injured by a slip and fall, or a fire breaks out and destroys your equipment or inventory.

Unexpected events such as accidents, natural disasters, or lawsuits can put you out of business and sometimes even endanger your personal assets. The right business insurance coverage can help you prepare for and manage certain risks your business faces.

A Business Owners Policy, or BOP, is a great choice for small and medium businesses. It combines several types of coverage into one policy, and is often simpler and more cost-effective than buying coverages separately.

What does a BOP cover?

A BOP usually includes the following coverages:

General liability (also known as commercial general liability). General liability protects your business from financial loss resulting from injury, property damage, libel, slander, false or misleading advertising, and defends against lawsuits and helps to settle bonds and judgments.

Commercial property insurance. Commercial property insurance guards against loss or damage to your business property, including your building, tools, equipment, furniture, and inventory.

Business interruption. This coverage can help replace lost earnings that result from a disruption of your business from causes such as natural disasters or equipment breakdown.

Depending on the type of business you own, you may also want to add additional coverage for things such as equipment breakdown, data breach, professional liability, or commercial auto insurance.

Contact Lakewood Financial Services for all your business insurance needs

Consult with a Lakewood Financial Services agent if you need help deciding which coverages your business needs. Since we’re an independent agency, we can also compare rates between multiple insurance companies. Speak to one of our licensed agents by calling 941-747-4600. Or get started by using this online form.

Lakewood Financial Services is a full-service, independent insurance agency. Our insurance professionals are experts in both personal and commercial insurance needs, and we’ve been serving Lakewood Ranch, Bradenton, Sarasota, and surrounding communities since 2003.