What does a Business Owners Policy (BOP) typically bundle together?

A Business Owners Policy (BOP) is designed to provide a comprehensive insurance solution for small to medium-sized businesses by bundling together essential coverages. This policy commonly combines property and liability coverage, which are critical for most businesses to manage their risks effectively.

Property coverage protects the physical assets of the business, such as buildings, equipment, and inventory, against perils like fire, theft, and vandalism. Liability coverage, on the other hand, protects the business from claims arising from third-party incidents related to bodily injury or property damage, which can occur due to the business operations.

By offering these two types of coverage in one policy, a BOP allows businesses to streamline their insurance management and typically enjoy cost savings compared to purchasing these coverages separately. This combination is particularly advantageous for business owners as it simplifies the insurance process and provides robust protection against a variety of risks they may face in their operations.