Hanging up your 9-to-5 hat to start your own business is exciting and terrifying all at once. You no longer have a boss, but you also no longer have anyone else to take care of the "business" side of the business. That's why finding the right business insurance to protect your new endeavor is really important. 

If you've been scouring the internet for business insurance then you know there are a lot of options out there. Fortunately, for small to medium businesses, there's a bundle insurance package called the business owners policy or BOP.  But is a BOP right for you? That's where an independent insurance agent can help you determine the best coverage for your needs. But first, let's chat a little more about a BOP.

A Business Owners Policy is insurance that allows a small business (that meets certain criteria) to combine coverage from multiple policies into one convenient package. These days, there’s a BOP for most mainstream businesses, from hair salons to hardware stores, which makes the process easier.

Why Do I Need a Business Owners Policy?

If there is damage to your property or the property of others, employee theft, mechanical difficulties, or an everyday accident at your business that causes a loss of income, a BOP can keep you from having to close your doors as a result of the expenses related to the events.

Terrible things can happen if you don’t have a BOP:

• Financial ruin: Why risk paying out of pocket and possibly going bankrupt, when you could just pay for a BOP that is fairly inexpensive?
• Lawsuits: Legal issues can not only be costly, but they can also be very time-consuming, so one accident has the potential to bring down your business.
• Losing your stuff (or other people’s stuff): Recovering the costs of theft, damage to buildings or broken equipment could send your company into a downward spiral.

What Does a Business Owners Policy Cover?

Your standard business needs a variety of liability and property insurance. Depending on your risks, you may have to purchase these policies individually or you may qualify for a BOP. BOPs provide most of this insurance coverage but under one package which makes it more affordable for businesses. 

Your coverage under a BOP can include:

• Property: The building and its contents.
• Property of others: In case your business provides a service on property like a repair shop.
• Business income: Lost income and employee salaries while you rebuild after a disaster.
• General liability: For any time that you might be sued.
• Employee dishonesty coverage: In case an employee steals from you.

Other needs:

• Mechanical/machinery difficulties.
• Front store window replacement.
• Hired and non-owned autos (i.e., you don’t own a company car but employees are still driving for the job).
• Loss of valuable papers. 

How Much Does a Business Owners Policy Cost?

The cost of a BOP depends on the coverage limits and a number of other factors like size, location, and materials used. So a hair salon in Milwaukee might only pay $200 a month, whereas a logging company on the north coast of California could pay $2,000 a month. 

Basically, the safer and smaller the company, the cheaper the premium.

Why Are Independent Insurance Agents Awesome?

It’s simple. Independent insurance agents simplify the process by shopping and comparing insurance quotes for you. Not only that, but they’ll also cut the jargon and clarify the fine print, so you know exactly what you’re getting.

Independent agents work for you and not one insurance provider. Actually, they’re the only agents who can check policies from multiple carriers. Plus, you’ll never outgrow an agent; they have the flexibility to find the right coverage as your business continues to expand and evolve.