What Are The Eligibility Requirements For A Business Owners Policy?

​A business owners policy can protect you in case of a lawsuit. Sometimes, it is inevitable that a business may face problems such as a customer slipping on your premises or damage to customer property. Certain factors that determine the amount of your coverage include your endorsements and policy limits. 

In general, the businesses that qualify for a BOP are those with a small footprint and have low risks. They usually combine property insurance and general liability insurance at a reduced price. You may qualify for a BOP if your business:

• Gains more than $1 million in revenue annually
• Requires business interruption insurance in less than a year
• Conducts business in a small workplace, office, and other premises
• Runs in a low-risk industry
• Employs less than a hundred people

A business owners policy is ideal for smaller businesses because it sets a cap on the policy limits. The maximum amount that the insurance company will pay during the policy period or on a claim is considered the limit. 

When Do You Need A Business Owners Policy?
There are times when you need to get general liability insurance that is part of a BOP in a lease or contract. While the law does not require property insurance, it can protect your business significantly. 

Also, when it comes to a contract, a landlord may require it in a commercial lease and a client may ask for general liability insurance.

A BOP with regard to general liability insurance typically covers:

• Damage to third-party property 
• Product liability
• Advertising injuries
• Slip-and-fall accidents

Add Endorsements To Your Insurance Policy
You can customize your business owners policy so it can meet your needs and budget by adding endorsements. Here are a few examples:

• A tax professional should consider adding cyber liability insurance as a way to protect against cyber-attack or data breach, because the sensitive information on his computer may be vulnerable to these dangers.
  
  
• A restaurant owner is at risk with various factors, particularly with intoxicated customers. He should consider getting liquor liability endorsement.
  
  
• If you are a contractor and is transporting goods, tools, or equipment from one location to another, you may add inland marine insurance to help protect your property while on the road.

Conclusion
A BOP is designed for small businesses. Make sure you have this kind of protection. 

At CSIS Insurance Services, Inc., we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the 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.