owners policy

What Does a Business Owners Policy Cover?

Did you know that 75% of businesses in the United States are underinsured? There are 40% of small businesses that don’t have any insurance. A business owners policy keeps your business protected from employee disputes, injuries, burglary, natural disasters, and product failures.

Let’s take a look at why it’s important to have business insurance, the benefits, and what the policy covers.

Business Owners Policy

A business owners insurance policy covers more than one type of insurance. It’s the holy grail of insurance packages. The package takes general liability, fraud and crime, business income, and commercial property insurance and combines them. You’re left with one policy meant to serve businesses.

What Does it Cover?

There are a variety of things business owner insurance policies cover. A standard package would cover:

  • General Liability Insurance: covers medical expenses related to employee injury and property damage
  • Fraud and Crime Insurance: protects your company from all kinds of theft, forgery, and financial fraud
  • Business Income Insurance: covers employee wages and business expenses your business cannot pay
  • Commercial Property Insurance: helps keep your inventory, business equipment, and building safe

Though these are the main policies you’ll want in your insurance package, there are add-ons to select.

Accounts Receivable

If you are a client-based business, where most of your income comes from services paid by clients, it may be wise to have accounts receivable insurance. When your client can’t pay their invoice, this insurance protects your business against the losses you would incur from unpaid invoices.


Cyber liability insurance is necessary because hackers are going after vulnerable businesses and their data. Any attack targeting your computers, hardware, and digital information is protected by this policy. Equipment breakdown insurance is a separate add-on, but this also helps protect your computers from harm or failure.

Vehicle Insurance

Do you have a company vehicle you rent out? Cars that employees drive while working at your company? Having vehicle insurance covers any accident. This will protect both your business and the driver.

Advertising and Personal Injury

If libel, slander, or copyright infringement are things your business frequently encounters, getting this insurance helps to cover any damages associated with these events.

Flood Insurance

If you live in an area likely to flood, you might consider getting flood insurance to protect your business in the case of a natural disaster. Some businesses consider getting flood insurance even if they aren’t located in a flood plain.

Is Business Insurance Right for You?

If you’re one of the 75% of businesses that are underinsured – it’s time to reevaluate your insurance policies. A business owners policy protects you from many events. It helps you incur losses, avoid disasters, and keep your business safe from inside and outside harm.

We help provide you with the best insurance choices for your business, no matter your size, big or small. If you’re interested in finding out what would be best for you, reach out to us today with no obligation for a free quote!