Business Owners Policies vs. General Liability Insurance

​Business owners often browse for the right insurance products to protect their businesses from potential liabilities. Business Owner's Policies (BOP) and General Liability Insurance are the most popular options they consider.

Understanding the differences between BOPs and General Liability Insurance is necessary and essential for the best policy for your business needs. Continue reading to learn more about the differences between BOPs and General Liability Insurance.

Business Owner's Insurance (BOP) vs. General Liability Insurance
Business Owner's Insurance (BOP) is vastly different from General Liability Insurance, differing in major areas such as:

1. Differences in Coverage
   BOPs serve as a protection both for any possible property damage and any liability that the business may incur. On the other hand, general liability insurance only covers liability protection for your business.
   
   Property insurance under BOPs protects your business property, such as buildings and equipment, from various risks, such as fire, lightning, and theft. Liability coverage protects from legal liability for bodily injury or property damage resulting from the operations of your business.
   
   General Liability Insurance only protects against claims of third-party bodily injury or property damage from your business operations. It does not cover your business property, such as buildings and equipment.
   
   
2. Differences in Cost
   In most cases, BOPs may appear more costly when compared with general liability insurance. The differences in the cost may be due to additional features or coverage offered in BOPs that are not present in general liability insurance.  As its name suggests, general liability insurance offers protection in general cases of liability, which explains its lower price when compared with BOPs.
   
   
3. Differences in Risk
   Another quote of difference between BOPs and general liability insurance is their varying risk protection policies. The risks covered by BOPs may vary significantly from those offered by general liability insurance. BOPs may cover some of the physical damage done to your property or legal defense costs due to any liability claims or losses incurred by the business.
   
   On the other hand, General Liability Insurance may only cover claims of third-party bodily injury or property damage. Getting a BOP may be a better choice for businesses prone to greater risks of physical damage or business interruptions.

Know What To Choose
When choosing whether you should pick a Business Owner's Insurance (BOP) or General Liability Insurance, it is imperative to assess the risks that come with your business, as these things may affect your business operations positively or negatively. Knowing what your needs are will help you choose the correct policy. Contact your agent if you need help determining which would serve you best.

At CSIS Insurance Services, Inc., we aim to provide comprehensive insurance policies that make your life easier. We want to help you get insurance that fits your needs. You can get more information about our products and services by calling our agency at (888) 501-2747. Get your free quote today by CLICKING HERE. Topics and coverage discussed in this article are not guaranteed, consult with your agents to determine what your policy does and does not cover. We are more than happy to help!