While a BOP can protect your business for years, you’ll likely outgrow it at some point. It’s okay. Businesses expand. Partnerships boost insurance needs. Whether you’re buying a new plan or are thinking about the future, consider your BOP’s life expectancy.
Your business might be booming, but it still needs protection.
Protecting the Basics: Equipment and Operations
Equipment breaks down. Businesses lose revenue. At some point, your operations may exceed your ability to provide protection. Many BOPs don’t cover equipment breakdowns. Equipment breakdown coverage is a separate policy—and it’s one that is important.
As your business grows, your work scope and revenue will also grow. You might use the same policy for years, and neglect the many equipment-related responsibilities you’ve taken on. Don't let this become a problem if something happens to your equipment.
Increasing Your Liability Coverage Alongside Your Fleet Coverage
Even if you have a commercial auto policy, you might outgrow your overall protection. Your BOP might not have the coverage needed to cover business-owned vehicles. As a result, your growing business—and fleet—might not have enough coverage. If this is the case, increase your liability protection alongside your fleet insurance.
Errors and Omissions Insurance
Errors and Omissions Insurance—or professional liability insurance—is part of many BOPs. Your BOP might not have enough coverage, though. As your business grows, you’ll hire new accountants, attorneys, engineers or doctors. Your standard BOP policy will protect these workers, but it might run thin as you reach new horizons.
Finding the Right Insurance Policy
If you want to renew your BOP, you have a few options available. You can ask for a multi-policy discount to get enough coverage in many areas at an affordable price. Remember: You can always reevaluate your insurance coverage, too. A little prevention goes a long way.
If you’re expecting to get new property, machinery or employees, make sure you’re not underinsured. A business’s growth can be unpredictable. Even if you’re a small or medium-sized business, you should prepare for an increase in scale. Ask your insurance agent to compare the policy offerings in their insurance portfolio. They can help you find the appropriate coverage.
Once you’ve found the right policy, evaluate your business’s growth potential every year. If you can understand the risks, you can understand your insurance needs. When in doubt, call your insurance provider at 708.423.2350. Together, you can create a custom-tailored policy which fits your business’s needs.