How much does a BOP cost per month?

Most small businesses pay between $50 and $333/month for a BOP, with a median near $57/month per Insureon's benchmark data. A small office-based service business sits at the low end; a restaurant or workshop with significant property and inventory sits higher.

Is a BOP cheaper than buying GL and property separately?

Yes. Typically 10–20% cheaper for the same coverage limits. The package discount is the primary reason BOPs exist. If you have a fixed location and need both GL and commercial property, buying them as a BOP is the default-correct choice.

Who should not get a BOP?

BOPs are designed for small to mid-sized businesses (typically <$15M revenue, <100 employees) with a fixed location. Home-based businesses without dedicated commercial space, businesses without property exposure, and large enterprises with complex risk profiles are usually better served by monoline policies.

Does a BOP include workers compensation?

No. Workers comp is a separate policy and is required by law for employees in 49 states. See our workers comp cost guide. Most BOP carriers will quote WC separately.

Does a BOP include commercial auto?

No, but most BOPs offer hired-and-non-owned auto as an endorsement (covers employees driving personal vehicles for work). Owned commercial vehicles need a separate commercial auto policy.

How is BOP business interruption coverage calculated?

BOP business interruption typically covers lost revenue and continuing operating expenses for 60–90 days following a covered property loss. Higher limits (12-month) and extended payroll endorsements are available for 5–15% premium. See our business interruption cost guide.

Can I increase a BOP's GL limits beyond $2M/$4M?

Most BOPs cap underlying GL at $2M/$4M. To go higher, the cleanest path is a commercial umbrella policy sitting over the BOP. Usually cheaper than buying the higher limit on the underlying.

Are BOP premiums tax-deductible?

Yes. The entire BOP premium is deductible as an ordinary and necessary business expense per IRS Publication 535. Sole proprietors deduct on Schedule C; entities as a regular business expense.

Business Owners Policy (BOP) cost guide

Q: Does a BOP include workers compensation?

No. Workers comp is a separate policy and is required by law for employees in 49 states. See our workers comp cost guide. Most BOP carriers will quote WC separately.

Q: Does a BOP include commercial auto?

No, but most BOPs offer hired-and-non-owned auto as an endorsement (covers employees driving personal vehicles for work). Owned commercial vehicles need a separate commercial auto policy.

Q: How is BOP business interruption coverage calculated?

BOP business interruption typically covers lost revenue and continuing operating expenses for 60–90 days following a covered property loss. Higher limits (12-month) and extended payroll endorsements are available for 5–15% premium. See our business interruption cost guide.

Q: Can I increase a BOP's GL limits beyond $2M/$4M?

Most BOPs cap underlying GL at $2M/$4M. To go higher, the cleanest path is a commercial umbrella policy sitting over the BOP. Usually cheaper than buying the higher limit on the underlying.

Q: Are BOP premiums tax-deductible?

Yes. The entire BOP premium is deductible as an ordinary and necessary business expense per IRS Publication 535. Sole proprietors deduct on Schedule C; entities as a regular business expense.

How much does Business Owners Policy (BOP) cost for small businesses in 2026? Benchmarks, factors, carrier pricing, and how to save.

Updated April 27, 2026

Looking for editorial recommendations on which business owners policy (bop) carrier to choose? See our business owners policy (bop) best-of ranking with per-carrier rationale and explicit disclosure of which carriers we excluded.

$57

Median monthly premium for business owners policy (bop)

Source: Insureon

$50–$333

Typical monthly range across small businesses

Source: Insureon

$600–$4,000

Typical annual cost

Source: Insureon

Carriers we review for business owners policy (bop)

Coverage overview

A standard BOP combines three core coverages: (1) commercial property insurance for the building (if owned) and business personal property such as furniture, inventory, equipment, and tools, typically against named perils including fire, windstorm, hail, lightning, explosion, smoke, vandalism, and vehicle/aircraft collision; (2) general liability for third-party bodily injury, property damage, and personal/advertising injury claims; and (3) business income (business interruption) coverage to replace lost income and pay continuing operating expenses if a covered property loss forces the business to shut down temporarily. Standard BOPs exclude flood and earthquake damage, professional errors (E&O), employee injuries (workers' comp), auto liability, cyber incidents (often available by endorsement), employment practices claims, and intentional or illegal acts. Coverage is sold with specific limits on each component.

BOPs are designed for small to mid-sized, low-to-moderate-risk businesses — typically retailers, offices, restaurants, contractors with no auto exposure, and service businesses with under roughly 100 employees and modest annual revenue. Eligibility is determined by carrier appetite guidelines; higher-risk industries (manufacturing with heavy machinery, large warehouses) often need a Commercial Package Policy instead. Landlords and lenders frequently require at least the GL and property components.

Average cost

The median small business pays $57/month for business owners policy (bop) at standard $1M per occurrence / $2M aggregate GL plus $50K–$500K property limits. Most quotes fall between $50 and $333 per month. The spread reflects the seven factors below, with industry classification and revenue typically driving the largest swings.

Benchmark from Insureon BOP cost benchmark. Quoted figures reflect bound small-business policies, not survey self-reports.

What affects your business owners policy (bop) cost

Carriers don't price business owners policy (bop) from a single number. These are the seven inputs they actually weigh, in roughly the order they move premium most.

Property value

Building, equipment, inventory, and tenant-improvement values drive 40–60% of total BOP premium. A retail boutique with $50K of inventory pays materially less than a workshop with $250K of equipment, even at identical revenue.

Location and construction

Building age, construction class (frame vs masonry), fire-protection class, and proximity to a fire hydrant move premium 15–35%. Coastal addresses, wildfire zones (CA, OR, CO), and high-crime ZIPs add surcharges or trigger separate wind/hail deductibles.

Industry class

Restaurants, bars, manufacturing, and construction operations face higher BOP rates than office-based services. Some industries (auto repair, gun shops, tobacco) are excluded entirely from standard BOP markets and need monoline GL plus property.

Annual revenue

BOP premium is partly revenue-rated on the GL component. Doubling revenue typically increases the GL piece 30–60% but leaves the property portion mostly unchanged unless inventory grows.

Deductible

Property deductibles range $500–$5,000 for small business. Moving from a $500 to $2,500 deductible saves 10–20% on the property portion. Wind/hail deductibles are often a separate percentage (1–5% of building value) in coastal states.

Claims history

A property loss in the past five years can add 15–35% to renewal. Carriers weight property claims more heavily than GL claims because severity is typically higher.

Coverage extensions

Standard BOP includes business interruption (60–90 days), but extending to 12 months adds 5–10% to premium. Adding cyber, hired-and-non-owned auto, or EPLI as endorsements moves total cost 10–25%. Sometimes cheaper than separate policies.

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Business Owners Policy (BOP) cost by industry

Industry classification is the single biggest premium driver. Same coverage, same limits, but a different class code can mean a 4×–10× difference in what carriers charge.

Industry	Range visualization	Annual range
Personal Trainers		$300–$1,500
Photographers		$400–$1,800
Accountants / Bookkeepers		$600–$2,500
Real Estate Agents / Brokers		$1,000–$3,000
Cleaners / Janitorial		$800–$3,500
Fitness / Gym Centers		$1,500–$4,500
E-commerce / Online Retail		$1,500–$5,000
IT Consultants		$1,500–$5,000
Landscapers		$1,500–$5,000
Marketing / Advertising Agencies		$1,500–$5,000
Retail stores		$1,500–$5,000
Electricians		$2,500–$8,000
Lawyers / Law Firms		$2,500–$8,000
HVAC Contractors		$3,000–$8,500
Plumbers		$3,500–$9,000
Restaurants		$3,500–$9,000
General Contractors		$3,000–$10,000
Physicians		$8,000–$30,000

Showing 18 of 33 industries with carrier-validated business owners policy (bop) cost data. View all industries →

How to lower your business owners policy (bop) cost

Quote 3+ carriers at renewal. Premium spreads of 30–50% on the same coverage are routine. The cheapest carrier rotates yearly as each one's loss ratio shifts.
Bundle into a BOP if you qualify. A business owner's policy combines GL + commercial property at typically 10–25% less than the same coverages bought separately.
Check your industry classification code. Misclassification (usually a holdover from when the business looked different) is the single most common avoidable cost. A 10-minute conversation with the underwriter can be worth thousands.
Set a reasonable deductible. Where it's offered, a $500–$2,500 deductible cuts premium 5–15% with negligible exposure for most small businesses.
Pay annually, not monthly. Most carriers charge a 5–10% installment fee on monthly billing. If cash flow allows, annual saves the spread.

Top business owners policy (bop) carriers by pricing transparency

Carriers ranked against our 6-dimension methodology, filtered to those we cover that write business owners policy (bop).

Sub-threshold = fewer than 20 NAIC complaints in 3 years (data is too sparse to score reliably). N/A (broker) = not a carrier. See full methodology →

Our score	Positioning	Starting price	Coverage	Claims	AM Best	NAIC index	States	Quote channel
8.1	Broker comparing 8+ carriers	GL $21/mo	8.5/10	7.5/10	—	N/A (broker)	50 states	Broker portal
8.1	Broad-ladder primary carrier	GL $42/mo	9.0/10	8.0/10	A++	Sub-threshold	50 states	Direct online
7.9	Single-carrier program for SMBs	GL $68/mo	9.0/10	8.0/10	A+	Sub-threshold	50 states	Direct online
7.8	Digital-native micro-business	Cyber $4/mo	7.0/10	7.5/10	A+	Sub-threshold	50 states	Direct online
7.6	Workers comp specialist	—	8.0/10	7.5/10	A-	Sub-threshold	39 states	Direct online
7.4	Gig and event-based	GL $17/mo	6.5/10	7.0/10	A+	Sub-threshold	50 states	Direct online

About complaint index data: Values are 3-year averages from NAIC Consumer Information Source for commercial liability. Carriers with fewer than 20 complaints in the 3-year window are labeled "sub-threshold". A reliability call about data volume, not a finding about the carrier. Brokers (Category D) are structurally N/A. See our complete methodology.

Business Owners Policy (BOP) cost FAQs

How much does a BOP cost per month?
Most small businesses pay between $50 and $333/month for a BOP, with a median near $57/month per Insureon's benchmark data. A small office-based service business sits at the low end; a restaurant or workshop with significant property and inventory sits higher.
Is a BOP cheaper than buying GL and property separately?
Yes. Typically 10–20% cheaper for the same coverage limits. The package discount is the primary reason BOPs exist. If you have a fixed location and need both GL and commercial property, buying them as a BOP is the default-correct choice.
Who should not get a BOP?
BOPs are designed for small to mid-sized businesses (typically <$15M revenue, <100 employees) with a fixed location. Home-based businesses without dedicated commercial space, businesses without property exposure, and large enterprises with complex risk profiles are usually better served by monoline policies.
Does a BOP include workers compensation?
No. Workers comp is a separate policy and is required by law for employees in 49 states. See our workers comp cost guide. Most BOP carriers will quote WC separately.
Does a BOP include commercial auto?
No, but most BOPs offer hired-and-non-owned auto as an endorsement (covers employees driving personal vehicles for work). Owned commercial vehicles need a separate commercial auto policy.
How is BOP business interruption coverage calculated?
BOP business interruption typically covers lost revenue and continuing operating expenses for 60–90 days following a covered property loss. Higher limits (12-month) and extended payroll endorsements are available for 5–15% premium. See our business interruption cost guide.
Can I increase a BOP's GL limits beyond $2M/$4M?
Most BOPs cap underlying GL at $2M/$4M. To go higher, the cleanest path is a commercial umbrella policy sitting over the BOP. Usually cheaper than buying the higher limit on the underlying.
Are BOP premiums tax-deductible?
Yes. The entire BOP premium is deductible as an ordinary and necessary business expense per IRS Publication 535. Sole proprietors deduct on Schedule C; entities as a regular business expense.

Methodology & sources

Insureon: carrier benchmarks

Median monthly figures and typical-range bounds come from Insureon's published carrier-quote benchmarks. These are real bound-policy quotes, not survey self-reports. It's the most representative public dataset of small-business premium ranges.

Internal: BIC carrier pricing

Per-policy starting-price floors are sourced from the carriers we cover (10+ small-business insurers) at their published advertised rates. We don't average competitive intel; we report what each carrier publishes.

Industry: NAIC, III, SBA, IRS

Industry-wide context (NAIC complaint indices, III definitions, SBA guidance, IRS Publication 535 deductibility) sources every claim that isn't a price benchmark. State-specific WC rates, when shown, originate from each state's rating bureau (NCCI or independent).

Sources cited

Compare real prices

Stop guessing. Get an actual business owners policy (bop) price.

Tell us your industry, state, and size. We'll match you to the carriers most likely to quote business owners policy (bop) for your profile, with starting prices side-by-side.

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