Business Owners Policy or Commercial Package?

Protect Your Company With the Right Liability Insurance.

Business Owners PolicyYour business insurance needs liability risk management to reduce the chances that you will be sued for damages related to a mistake or injury to another business, person or property. Depending on the degree of harm and number of people involved, a lawsuit could bankrupt your business. Liability insurance pays for your defense and protects your assets should you become involved in a lawsuit.

If you operate a small business, a Business Owners’ Policy, known as a BOP, that combines property and liability insurance is usually the most cost-efficient option. Larger companies may want to consider purchasing a Commercial General Package.

Business Owners Policy Key Facts

  • A Business Owners Policy covers sole proprietors, partners and principals involved in the running of a business. Spouses of sole proprietors, partners and principals are also covered.
  • Your Business Owners Policy  refers to incidents in terms of “accidents,” defined as events that cause injury to a body, property, person or reputation of a third party that you did not intend to injure.
  • The limits of your coverage are included in your policy “Declarations.”
  • There are a number of situations not covered by a BOP, including injuries to employees, liability for pollution, auto liability and fire liability.

Frequently Asked Questions

What is the first step a business owner should take following the discovery of a claim?
What is an Employment Practices Liability?
What other types of insurance coverage should a business owner consider?

Be sure to speak with one of our commercial lines experts at Phil Richard Insurance to make sure you have the right amount of coverage to protect your business from liability risks. Email: or call us at 978-774-4338.