Coverage Line · Bundled Savings
Business Owner's Policy (BOP) for Contractors
If you carry general liability and own tools, equipment, or a shop worth protecting, a Business Owner's Policy bundles both into one policy — often for less than buying them separately. See if your business qualifies online.
A Business Owner's Policy, or BOP, bundles general liability and commercial property coverage — and frequently business interruption coverage — into a single package policy, rather than requiring you to buy and manage each one separately. For a qualifying small contracting business, that bundling is often cheaper than purchasing the equivalent coverage as standalone policies, because carriers can price the combined risk more efficiently than two separate underwriting files.
A BOP isn't a fit for every contractor — it's generally built for lower-to-moderate risk operations with real property to protect (tools, equipment, inventory, a shop or storage facility) alongside standard liability exposure. It also doesn't include workers' compensation, so businesses with employees still need that coverage added separately. Finding out whether your business qualifies takes a short online application, reviewed by a real licensed agent — no office visit required.
What's Bundled
The three components of a Business Owner's Policy
General Liability
Third-party bodily injury and property damage claims — the same core protection as a standalone GL policy, bundled into your BOP.
Commercial Property
Your tools, equipment, inventory, and any owned or leased business property against covered causes of loss like fire, theft, and storm damage.
Business Interruption
Often included — lost income and continuing expenses if a covered event forces you to pause operations while repairs happen.
What a BOP does not include is just as important: workers' compensation, commercial auto, professional liability, and cyber liability are all separate policies that can be added alongside a BOP, but aren't bundled into it by default.
Why Bundle
Why bundling often beats buying separately
Buying general liability and commercial property as two standalone policies means two separate underwriting files, two separate sets of paperwork, and two separate premium calculations — each with its own base rate and fees. A BOP combines that into a single underwriting process and a single premium, which frequently lowers the total cost for businesses that qualify, in addition to simplifying renewals and reducing the number of policies you have to track and manage.
The tradeoff is that a BOP is a packaged product — carriers set qualification guidelines around risk class, revenue size, and claims history, so not every contractor will qualify for the bundled rate. A licensed agent reviewing your application can tell you quickly whether a BOP or two separate policies makes more sense for your specific business, based on the exposures you actually have.
Pricing Context
How BOP pricing typically compares
A useful reference point: a standard general liability policy alone typically runs roughly $750 to $2,500 per year for small-to-mid contractors, with higher-risk trades often running higher. A BOP starts from that same general liability baseline and adds commercial property (and often business interruption) on top — the combined premium for qualifying businesses is frequently lower than what you'd pay buying general liability and a standalone property policy separately, though the exact number depends on your trade, the value of the property you're insuring, and your claims history.
Because pricing depends on so many business-specific factors, the only reliable way to know your actual BOP premium is to get quoted — our online application is built to surface both the bundled and standalone numbers so you can compare directly, reviewed by a licensed agent before you commit either way.
Real Exposure
What a BOP claim actually looks like
A single BOP responds to two very different kinds of events — property damage to what you own, and liability claims from third parties.
A pipe bursts in your rented shop
Water damage ruins stored materials and a section of drywall. The property portion of your BOP responds to the repair and replacement costs.
A client trips over equipment on site
A visitor is injured stepping over a tool bag left at a job site entrance. The liability portion of your BOP handles the resulting claim.
A storm forces a two-week shutdown
Wind damage to your leased shop knocks you out of operation while repairs happen. Business interruption coverage, if included, helps offset the lost income during that gap.
Who Typically Qualifies
Is a BOP the right fit for your business?
Established small contracting businesses
Businesses with a track record, moderate revenue, and lower-risk operations are the strongest fit for BOP qualification.
Owners with physical tools & equipment to protect
If you have real property exposure beyond liability alone — a shop, stored equipment, inventory — bundling makes practical sense.
Lower-hazard trades
Trades with lower liability risk classes typically qualify more easily than very high-risk specialty trades.
Businesses without employees requiring workers' comp
A BOP doesn't include workers' compensation, so it's most relevant to owners who need liability plus property, and add WC separately if they have employees.
Not sure if you qualify? That's exactly what the online quote process is for — fill out a short form and a licensed agent will tell you whether a BOP or separate policies fit your business better, with no obligation and no office visit.
Getting Covered
How to see if you qualify for a BOP
The only way to know for certain whether your business qualifies for a Business Owner's Policy — and whether it's actually cheaper than buying general liability and commercial property separately — is to get quoted both ways. Our online application takes a few minutes, and a licensed agent compares your BOP eligibility against standalone pricing before recommending anything, so you're never talked into a bundle that isn't actually the better deal for your business.
If you already carry general liability with us, adding a BOP conversation is usually quick, since your business details are already on file — it's often just a question of whether your property exposure justifies the bundle. If you're starting from scratch, the same short online application covers both paths at once.
Want to see exactly how the process works from application to bound policy, including who reviews your business and how to reach a real agent along the way? See how our virtual process works.
Related Coverage
Frequently paired with a BOP
Frequently Asked Questions
Business Owner's Policy questions we hear from contractors
What is a Business Owner's Policy (BOP), and is it cheaper than separate policies?
A BOP bundles general liability and commercial property coverage (often with business interruption) into one policy, which is frequently cheaper than buying each coverage separately if your business qualifies.
Which coverage do most general contractors require subcontractors to carry?
General liability insurance is almost universally required, with workers' compensation close behind for any subcontractor with employees. Some GCs also require a minimum bond amount or additional-insured status.
Can I bundle multiple policies to save money?
Yes — bundling general liability and commercial property into a Business Owner's Policy, or writing multiple lines with the same carrier, often results in a lower combined premium.
Do I need to pay in full, or can I set up monthly payments?
Most policies offer monthly payment plans in addition to paying in full — we can walk you through the options available for your specific policy during the quote process.
See if bundling saves you money
Call 844-967-5247 or request a free quote online — a licensed agent will respond within 1 business day.