Small Businesses are not left out when it comes to Insurance coverage. While all types of insurance policies are openly available to these small businesses, it is often too costly for most of them to operate. This is what an insurance policy like the Business owner’s Policy (BOP) was designed to cater for. BOP is more like a bumper package that comes included with several insurance policies. These include property insurance, liability insurance, and business interruption/continuation insurance.
While this insurance policy is quite affordable for many small businesses, it does have its limitations. It does not include health insurance, disability insurance, worker's compensation, and professional liability. While the package is suitable for small businesses, not all businesses are eligible for BOP. Businesses with unique risks like a factory or jewelry store would need a more customized coverage. BOP cannot cover the risks of such businesses. A BOP therefore, is ideal for all home based businesses. These businesses usually begin with few employees and as the business begins to expand, the coverage can be changed to fit into the new structure of the business.