Business owners policy (BOP)
Packaged small-business policy combining property and general liability.
Plain definition
A business owners policy (BOP) bundles commercial property and general liability for eligible small businesses at a combined premium, often adding business income and extra expense coverage. Carriers target low-hazard classes; restaurants or manufacturers may need monoline policies instead.
Why it matters
BOPs simplify buying baseline coverage but may cap property limits or exclude risks you need endorsements to fix.
Example
A retail shop buys a BOP covering inventory, GL for customer injuries, and 12 months of business income after a covered fire.
Common misunderstanding
BOP is not workers’ comp, auto, or professional liability—it is a starter package with gaps you must fill separately.
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