Business Owners Policy From $50/Month

A Business Owners Policy (BOP) bundles the two coverages almost every small business needs — general liability and commercial property — into one convenient, discounted package. Insurers created the BOP specifically for small to mid-sized businesses with predictable risk, which is why it's usually 10-20% cheaper than buying the same coverages as standalone policies.

Most BOPs also include business interruption insurance as standard — coverage that replaces lost income and pays ongoing bills (rent, payroll, loan payments) if a covered event like a fire forces you to close temporarily. That single feature is often the most valuable part of the policy and is rarely included when you buy general liability on its own.

Most small businesses pay $50-$150/month for a BOP. The biggest drivers, in order:

• Industry. A consultant or IT firm pays far less than a restaurant or contractor because of property value and on-site risk.
• Property value. The more equipment, inventory, and leased space you insure, the higher the property portion of the premium.
• Revenue + payroll. Larger operations carry more liability exposure.
• Location. Crime rates, weather exposure, and local cost-to-rebuild all factor in.
• Coverage limits + deductible. Higher limits raise premium; a higher deductible lowers it.

Because a BOP bundles two policies, the savings vs. buying GL and property separately is typically 10-20% — usually enough to fund the business-interruption coverage at no net cost.

This is the most common question, and the answer is usually "a BOP." General liability alone covers third-party bodily injury and property damage — for example, a customer slips in your store. It does not cover your own building, equipment, inventory, or lost income.

A BOP includes that same general liability plus commercial property and business interruption. If you have any physical location, tools, or inventory to protect, a BOP almost always makes more sense than standalone GL — and costs less than buying both separately. Pure-service businesses with zero physical assets are the main exception, and even they often add professional liability (E&O) instead.

Four moves that protect you and keep the premium fair:

1. Insure property at replacement cost, not market value. Replacement-cost coverage rebuilds without depreciation deductions — worth the small premium bump.
2. Confirm business interruption limits. Make sure the income replacement period (often 12 months) is long enough to actually reopen after a major loss.
3. Add the endorsements you actually need. Cyber liability, professional liability (E&O), equipment breakdown, and hired/non-owned auto are common BOP add-ons that cost far less bundled.
4. Remember workers comp is separate. A BOP never includes workers compensation — if you have employees, you need a standalone workers comp policy alongside it.