Operating a business comes with a lot of rights and responsibilities. One of the common goals is to maximize sales while navigating risks. Having a strong insurance plan can help you navigate those risks.
As a business owner, you are subject to a lot of risks. You could get sued at any moment. Business Owner’s Policies (BOP) are designed to protect your investment in emergencies so that your assets aren’t at risk. A Business Owners Policy provides multiple layers of protection in one package. BOP policies in North Carolina are especially appealing to small and medium-sized business owners. Here’s a closer look at Business Owner’s Policies.
A Business Owners Policy combines multiple policies to help protect businesses. It alleviates the stress of finding coverage through combining multiple policies that businesses rely on: liability and property coverage. The combined policy helps businesses save money. You can tailor a BOP to meet the unique needs of your business. Many businesses opt to add extra coverage, such as business interruption insurance and data breach coverage.
Business owners’ insurance in NC includes property coverage. Property insurance covers any damage to your physical assets. This could be your equipment, inventory, or the building where you operate your business. Property insurance also covers your landscaping and any damage to your signage.
Bodily injury coverage protects your business if a customer is injured on your property. Perhaps, they slip on a wet spot inside the building or a block of ice in the parking lot. Bodily injury insurance will cover their medical treatment.
Potential Lost Income
Business owners’ insurance in NC includes interruption coverage. Business interruption insurance covers your business for a year if a disaster causes you to cease operations. You will be covered for any potential lost income so that you can continue making payroll and other obligations. You can also use interruption coverage to protect your business as you move to a new location until your building is repaired.
Why Is BOP Beneficial?
BOP policy in North Carolina protects your business and employees against a potential liability dispute if you cause property damage. BOP also helps your business run smoothly because the policy covers you if you need to repair or replace equipment. A BOP protects your suppliers. If you are renting equipment, the policy protects your business if a supplier asks you to repay them if there is equipment damage. If you agree to a contract for work, BOP allows the other party to be listed as an additional insured. Many small businesses rely on BOP because it’s an affordable way to add multiple layers of coverage. You can protect both your physical and digital assets.
BOP Policy Limits
The policy limits in your BOP are based on the liability and property insurance policies in your bundle. Interruption insurance covers up to a year’s worth of income if you are forced to cease operations due to a fire or another type of natural disaster. Look over the terms of your policy carefully. You may only be covered financially against damage that is caused by events specifically listed in your policy. Unique items may be listed as property not covered. You can purchase insurance that covers a potential open peril issue in those situations.
Things to Consider
Remember that certain businesses are not eligible for a BOP. Contact your insurer. They will determine your eligibility through the type of business you have, the size of your business, your revenue, and the place where you conduct business. As the company evolves, you can add unique coverage to your BOP, such as employment practices, fidelity bonds, and lawyer endorsements.
BOP is flexible enough to protect your business in most situations. Sit down with your insurer and figure out the type of coverage that you’d like to add. If you have any questions about your policy, the experts here at Pittman Insurance Group LLC will assist you.