Call or Text Us (256) 355-8500 ☰ ˟
Logo
Español
Call or Text Us (256) 355-8500
  • Home
  • Get a Quote
    • AutomobileImage of right arrow
      • Auto Insurance Quote
      • Auto Quote Form (short)
    • Bonds
    • Business & CommercialImage of right arrow
      • Commercial Auto Insurance Quote
      • General Liability Quote Form
      • Business Owners (BOP) Quote Form
      • Builders Risk
      • Liquor Liability Quote Form
      • Workers Compensation Quote
    • Farm
    • Flood
    • HomeownersImage of right arrow
      • Homeowners Insurance Quote
      • Manufactured Home Quote
    • LifeImage of right arrow
      • Life Insurance Quote
    • Motorcycle
    • Recreational Vehicle
    • Renters
    • Watercraft & Boat
  • Customer Service
    • AutomobileImage of right arrow
      • Add Driver to Existing Auto Policy
      • Add Vehicle to Existing Auto Policy
      • Remove Driver from Existing Auto Policy
      • Remove Vehicle from Existing Auto Policy
      • Request Declaration and Coverages Page for Auto Policy
      • Request ID Card for Auto Policy
      • Send Declaration and Coverages Information to Lien Holder
    • Business & CommercialImage of right arrow
      • Add Driver to Existing Commercial Auto Policy
      • Add Vehicle to Existing Commercial Auto Policy
      • Remove Driver from Existing Commercial Auto Policy
      • Remove Vehicle from Existing Commercial Auto Policy
      • Request Declaration and Coverages Page for Commercial Auto Policy
      • Request General Liability Certificate of Insurance
      • Request ID Card for Commercial Auto Policy
    • Flood
    • HomeownersImage of right arrow
      • Request Declaration and Coverages for Existing Homeowners Insurance Coverage
      • Request Evidence of Insurance
    • Life
    • MotorcycleImage of right arrow
      • Add Driver to Existing Motorcycle Policy
      • Add Motorcycle to Existing Policy
      • Remove Driver from Existing Motorcycle Policy
      • Remove Motorcycle from Existing Policy
      • Request Declaration and Coverages Page for Motorcycle Policy
      • Request ID Card for Motorcycle Policy
    • Other
    • Recreational VehicleImage of right arrow
      • Add Driver to Existing Recreational Vehicle Policy
      • Add Recreational Vehicle to Existing Policy
      • Remove Driver from Existing Recreational Vehicle Policy
      • Remove Recreational Vehicle from Existing Policy
      • Request Declaration and Coverages Page for Recreational Vehicle Policy
      • Request ID Card for Recreational Vehicle Policy
    • Renters
    • Watercraft & BoatImage of right arrow
      • Add Watercraft to Existing Policy
      • Change Primary Operator on Existing Watercraft Policy
      • Remove Watercraft from Existing Policy
      • Request Declaration and Coverages Page for Watercraft Policy
      • Request ID Card for Watercraft Policy
  • Blog
  • Make a Payment
  • Resources
    • Switching Insurance Companies
    • Refer a Friend
    • Important Files
    • Calculators
    • Insurance Glossary
  • Testimonials
    • Testimonials
    • Decatur
    • Cullman
    • Priceville
  • About Us
    • About Akin and Associates, Inc.
    • Our Community Involvement
    • Switching Insurance Companies
    • Our Locations
    • Refer a Friend
    • Employee Directory
    • Privacy Policy
  • Contact Us
Home > Blog > How to Figure Out Your BOP's Property Costs
TUESDAY, APRIL 12, 2022

How to Figure Out Your BOP's Property Costs

A business owner's policy is your one-stop resource for effective insurance coverage. Because your BOP combines general liability and business property coverage, it’s both efficient and valuable. Still, how can you make it worth the price? 

To get the most out of this coverage, focus on price efficiency. You’re in luck, too, because you can focus on your BOP’s bottom cost-line to do so. A BOP’s cost, year after year, can increase or decrease depending on your property value. Before you try to get the best BOP around, understand your property costs. 
staff smiling at camera standing around grand opening sign
Commercial Property Insurance 
Commercial property insurance is vital to your business. If you’re going to purchase a BOP, you’ll benefit from in-depth property coverage. 

The value of a commercial property policy differs from business to business. Its overall cost will reflect the different areas it covers: 

  • Equipment
  • Supplies
  • Inventory 


The business’s location 
Because this policy protects your commercial property from vandalism, natural disasters, theft, construction accidents and more, its price reflects your location’s risk. It’s also determined by the value of your real estate—as well as your assets. 

Your Property’s Assets 
If your property has expensive or irreplaceable assets, it’ll need more coverage. Thus, a more expensive business owner's policy will likely result. Your BOP, in most cases, will cover any property on, or near, your premises. A few examples include: 

  • Machinery
  • Computers
  • Inventory
  • Raw material 


The Insurance Institute suggests taking the assets of others into account, too. If you have another entity’s property in your control, care or custody, you’re responsible for it in most cases. This said, your BOP package can usually cover some of the value under liability coverage. 

Your Property Itself 
Your business’s location has value, too. Your BOP will cover your location’s structures—as well as its permanent fixtures. A few other property-related items it covers include: 

 

  • Outdoor fixtures
  • Building appliances
  • Construction additions 


You can insure your building based upon its actual cash value if you buy a policy reflective of its true worth. Or, you can opt for a policy which handles your property’s value based upon its replacement cost. In this case, your policy insures the property based upon the costs of rebuilding. Keep in mind, replacement coverage is generally more expensive than cash value replacement. That's because with cash value coverage, you'll only get funding based on the depreciated cost of the property. 

To get the most out of your policy, leverage your property’s value against the potential for property loss. Take your business operations into consideration, here. Costs associated with inactivity are hefty. You can avoid them if your business has sufficient policy coverage. Once you’ve determined your location’s value, you can secure the BOP needed to meet your financial needs. 

Posted 1:09 PM

Tags: business owners policy, bop
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022
  • 2021
  • 2020

  • insurance(7)
  • coverage(5)
  • auto insurance(3)
  • business(3)
  • commercial(3)
  • auto(3)
  • professional liability insurance(2)
  • bop(2)
  • farm insurance(2)
  • high value home insurance(2)
  • car(2)
  • home insurance(2)
  • builders risk insurance(2)
  • liability(1)
  • general(1)
  • classic auto insurance(1)
  • life(1)
  • vehicle(1)
  • antique(1)
  • premiums(1)
  • life insurnace(1)
  • compensation(1)
  • rates(1)
  • classic(1)
  • workers compensation insurance(1)
  • damage(1)
  • owners(1)
  • fleet(1)
  • business owners policy(1)
  • credit(1)
  • workers(1)
  • employee(1)
  • requirements(1)
  • policy(1)
  • flood(1)
  • costs(1)
  • classic car insurance(1)
  • general liability insurance(1)
  • vehicles(1)
  • commercial auto insurance(1)
  • home(1)
  • score(1)

View Mobile Version
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Home| Get A Quote| Customer Service| About Us| Contact
Serving the Decatur, Priceville and Cullman Areas
Main Office:468 Highway 67 S. | Decatur, AL 35603
Call or Text Us: (256) 355-8500 | Fax: 256-355-8544
Social Social Social
Logo

Powered by Insurance Website Builder