What does a business owner’s policy cover?
A business owner’s policy (BOP) protects businesses from common lawsuits with general insurance and provides coverage for a business’ property with business property insurance. Business owners insurance will help your business with any loss that may incur from various incidents so we at Insura reccomen every bussiness in Ohio gets a policy that fits their needs.
A business owner’s policy provides coverage for:
- Business property damage
- Product liability
- Third-party property damage
- Third-party bodily injury
- Advertising injuries
THIRD-PARTY BODILY INJURY
Let’s say a customer hurts themselves on your commercial property, the general liability insurance portion of your BOP will help pay for the medical bills and any lawsuits that might arise from the incident.
Example: A client slips on an uneven step in your business and breaks her arm. To recoup the bill from the doctor’s visit and time without work, she decides to sue. Your policy will cover any billings of your customer’s medical expenses, such as the emergency ride and ER visit. If a client refuses your help and opts to sue at a later date, your policy will help cover the cost of hiring an attorney to consult and settle the case or take it to trial.
THIRD-PARTY PROPERTY DAMAGE
The general liability portion of the business owners insurance will help replace any lost goods and property that were lost.
Example: One of your workers backs your company van into a client’s fence, causing $2,000 in damages. depending on your policy limits, business liability insurance will cover some or all expenses related to repairing the broken fence.
PRODUCT LIABILITY
Not all property harm or client injuries happen within a store. If a business manufactures, distributes, or sells merchandise, it may be sued over the harm those products cause to individuals or property.
Example: Your company produces a defective electrical kettle that overheats and causes a fire inside a customer’s home. He decides to sue to recover the value of repairing his lost property. The legal expenses related to product liability lawsuits are generally covered by a business owner’s policy.
ADVERTISING INJURIES
If somebody sues a business owner or worker over an advertising injury like libel, slander, or infringement of copyright, the liability portion of the business owners insurance can help reimburse your company for any legal proceeding expenses.
Example: An worker at your digital marketing agency designs a graphic design that’s the same as one created by a competitor agency. The owner of opposing agency decides to sue for infringement of copyright. Advertising injury coverage during a business owner’s policy will help get legal defense expenses and settlement or judgment costs once you are sued over advertising mistakes.
BUSINESS PROPERTY DAMAGE
The commercial property insurance portion of the business owners insurance will help get expenses to repair or replace your business property once it’s damaged by a house fire, theft, and a few weather-related events.
Example: A crook breaks into your business and steals laptops and other computer equipment. business property insurance will help get a replacement of the stolen property, likewise as any related damage, like broken windows.
A business owner’s policy does not cover:
- Professional errors
- Employee injuries
- Employee discrimination lawsuits
Insura can help you find the perfect BOP policy for your business. Please reach out to us and an agent will be happy to assist you! Contact us here.
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