Business Owner’s Policy Insurance Cost

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Business Owner’s Policy (BOP) Cost

A Business Owner’s Policy (BOP) bundles three key coverages — general liability, commercial property, and business interruption insurance — into one convenient package. It’s designed to help protect your business from a range of common risks without the hassle of managing multiple policies. This guide will break down what a BOP typically costs, what affects the price, and how Simply Business makes getting coverage simple and more affordable.

What Is BOP Insurance?

Business Owner’s Policy (BOP) Insurance is a package policy that typically bundles general liability, commercial property, and business interruption insurance coverage together. BOP insurance is also customizable, and additional coverages may be available within the bundle. The primary function of BOP insurance is to help small businesses get a wide array of essential coverage without the confusion of carrying multiple policies.

Business Owner’s Policy

A one-minute explanation

Find out what BOP covers, why you might need it, and how we can help – All in just 60 seconds.

Video transcript

So what’s on your to-do list today? That’s a lot, which is why you may need a BOP. A BOP is a Business Owner’s Policy. It typically combines different coverages like property and general liability insurance into a single policy and that can be a great option for certain businesses. With a BOP you make one purchase instead of multiple purchases to get most of the coverage you need, plus as your needs change you can typically add or drop coverages and it can often be cheaper than buying all those policies separately. So whether you put together a signature look for your clients or a signature dish for your customers, we can put together a Business Owner’s Policy that’s right for you.

How Much Does BOP Insurance Cost?

Most of our small business customers pay under $150 per month. However, the price is tailored to your specific business.

Here’s a snapshot of what our customers typically pay for BOP insurance:¹

Monthly BOP Insurance Costs

Under $50

44% of customers

$50 to $150

45% of customers

Over $150

11% of customers

¹Data from Simply Business customers who purchased a BOP from July 1st, 2024 to December 31st, 2024

How Much Will I Pay for BOP Insurance?

Get a quick estimate in just 3 steps. No obligation. No email required.

Which trade has the highest premiums?

The type of work you do plays a big role in your insurance rate. For example, if you run a restaurant or convenience store, you might pay more since there’s more risk involved. If you’re a beautician or hair stylist, your risk is generally lower — so your premium may be too.

Top Trades Median Monthly BOP Premium

Trade	Median Monthly Cost²
Restaurants	$145
Convenience stores	$94
Clothing / apparel stores	$71
General merchandise store	$59
Nail technician services	$40
Beautician / cosmetology services	$34
Barber / hair stylist services	$34
Medical or dental office	$34

²Data from Simply Business customers in these sample trades who purchased a BOP policy from July 1st, 2024 to December 31st, 2024.

These numbers are based on real policies purchased through our site. But getting a great policy isn’t just about the numbers — it’s about working with a partner that understands your business. And because we work with a range of trusted insurers, you’ll see options to match your business, so you can choose a policy that works for you and your budget.

Which location has the highest premiums?

The cost of BOP insurance varies by state. Where your business operates matters. Factors that can impact your final premium include:

Amount of foot traffic (more chances for accidents)
Local regulations

States Median Monthly Premium for BOP Insurance

State	Median Monthly Cost³
Georgia	$79
Alabama	$75
Texas	$66
California	$65
Maryland	$62
New Jersey	$61
Pennsylvania	$56
Illinois	$50
Colorado	$46
Massachusetts	$42

³Data from Simply Business customers in the identified States who purchased a BOP from July 1st, 2024 to December 31st, 2024

What Affects the Cost of BOP Insurance?

Number of employees

Accidents happen. And the more employees you have, the more chances there are for something to go wrong. That’s why insurers may ask how many people work for you when calculating your premium.

Policy limits

Higher coverage usually means a higher premium. But it also means more protection if something goes wrong.

What else can affect the price?

Your claims history: If you’ve had past claims, that might increase your rate.
Your experience: Have you been in business for years with no claims? That could work in your favor.
Property value: The value of your business property, including buildings, equipment, and inventory, influences the cost of the policy.

Coverage needs: Added coverage such as cyber liability or employee practices liability can also impact the premium.

How to Save on BOP Insurance

Reduce your risks

Fewer claims can mean lower rates. That’s why risk management should be a top priority:

Train your team on safety procedures and best practices.
Invest in security, like surveillance cameras or alarm systems.
Create clear policies for workplace conduct, social media use, and customer interactions.
Keep your space safe by minimizing risks like trip hazards.
Weatherproof your business to protect it from rain, snow, or wind-related damages.
Learn from past claims and put steps in place to prevent future mishaps.

Pay monthly

Some carriers offer monthly payments, which you can take advantage of to spread the cost out over the year.

Shop around

Simply Business provides customized coverage options from top-rated small business insurers — all in just 10 minutes. We do all the legwork so you can sit back, compare quotes, and save.

Trusted by Over 1 Million Small Businesses Worldwide.

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The Simply Business Difference

Simply Business is a digital insurance brokerage. That means we’re not tied to one insurer. Instead, we partner with a range of top-rated carriers and use smart technology to match you with policies that fit your specific business, your risks, and your budget.

Maybe you’re just starting out and want solid protection without overspending. Or maybe you’re growing fast and need coverage that can grow with you. Either way, we’re here to help –– with a choice of affordable policies and small business expertise to help you get the coverage you need.

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More BOP Insurance FAQs

What is BOP insurance?

A Business Owner’s Policy (BOP) is typically a bundle of three different types of business insurance — general liability, commercial property, and business interruption insurance.

Why do I need BOP insurance?

Because even a single accident or lawsuit could cost your business thousands out of pocket. A BOP helps protect you from a financial hit like that — so that one mistake or unexpected event doesn’t turn into a major setback. And since BOP insurance bundles together different policies, it often can be less expensive than buying all those policies separately.

What does it cover?

Typically covered

A lot! BOP insurance generally covers a range of claims including third-party injuries and accidents; damage to your building and equipment caused by fire, theft, or weather; and lost income due to business interruption. You also can add optional coverages to your BOP insurance to make it an even better fit, including:

Cyber insurance
Employee theft coverage
Spoiled merchandise (perishable goods) coverage
Forgery coverage
Equipment breakdown coverage

Typically not covered

A wide range of coverages can be added to your BOP, but some policies must be purchased separately, including: workers’ comp, professional liability, commercial auto, and health and disability insurance.

Is it required in my state?

It depends on your state and industry. But whether it’s required or not, we strongly recommend having coverage. In fact, many clients and landlords may require it before doing business with you.