Business Owner's Policy (BOP) for Attorneys
Combine your property and general liability insurance into one law firm insurance policy.
What is a Business Owner's Policy?
Simple, Customizable Insurance for Law Firms
A business owner's policy (BOP) comprises several coverages, including general liability (different from your professional liability) and commercial property insurance. When combined into one policy, it can provide a blanket of liability and property protection for your law firm.
BOP insurance is a smart choice for law firms because you work directly with clients and your property has value. A smartly structured BOP can protect you from a loss arising from client accidents and other incidents like burglary, fire, or other uncontrollable scenarios.
Business Owner's Policy Information for Attorneys
Create a Tailor-Made Solution For Your Firm
What does a BOP generally cover?
Some of the coverages included in your BOP are:
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3rd-party bodily injury
If a client is hurt on your property, you have coverage to help pay for any medical or legal expenses arising from the accident.
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3rd-party property damage
Exactly as it sounds, this part of your policy can pay for repairs on or replacement of damaged property. It can also provide relief from any legal fees arising from a client's lawsuit.
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Product liability
Generally included for businesses that make, distribute, or sell physical products. This coverage can provide protection should that product cause harm to people or property.
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Advertising injury
This provides your firm coverage should your firm be sued for libel, slander, or copyright infringement.
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Business property damage
This is the part of your BOP that responds to help pay for expenses due to damage from fire, theft, and certain weather events.
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Business personal property damage
This provides coverage for items used to run your business, like furniture.
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Business interruption loss
Sometimes you have to close your practice due to factors outside your control. This coverage can provide relief from lost income.
Are there things a BOP does not cover?
Yes - while your BOP will bundle a variety of coverages into one policy, the following common risks are not covered - although they can be added to further customize your policy
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Employee Injuries
Required in many states, workers' compensation insurance is the right policy to cover damages and expenses from employees injured at work.
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Employee lawsuits
Employment Practices Liability (EPLI) is insurance that provides coverage for lawsuit expenses related to harassment claims, discrimination claims, and claims of wrongful termination.
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Vehicles used for your law firm
Your personal auto policy, or your employee's policy, will not provide coverage for vehicles used for your firm. A Commercial Auto Insurance policy provides this coverage and may be required in your state. A non-owned auto endorsement can be added to your BOP, however.
Frequently Asked Questions about Business Owners Policies
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What's the difference between a BOP and General Liability coverage?
A Business Owner’s Policy (BOP) and General Liability Insurance are related but not the same. A BOP is a bundled package that includes general liability coverage, commercial property insurance, and often business interruption coverage. It’s designed to offer broader protection in one policy—ideal for small businesses, such as law firms.
In contrast, general liability insurance is just one part of a BOP. It covers third-party claims for bodily injury, property damage, and advertising injury—but not your own business property or income loss. A BOP provides general liability and added protections in a single, cost-effective plan.
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How much does a business owner's policy for law firms cost?
Business Owner's Policies are a smart, customizable choice because a well-structured policy can protect you from a loss arising from client accidents and other incidents like burglary, fire, or other uncontrollable scenarios.
Firms can expect to pay as little as $500 and as much as $3,500 or more, depending on the size of the firm and its unique profile.
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Does a BOP include Workers' Compensation?
No, a standard Business Owner’s Policy (BOP) does not include workers’ compensation.
A BOP combines general liability and commercial property coverage, but it excludes employee injury protection. Here’s how the other coverages fit in:
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Workers’ Compensation must be purchased separately and is required in most states if your firm has employees. It covers medical costs, lost wages, and rehabilitation for workplace injuries.
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Stop Gap Liability Insurance is an endorsement sometimes added to a Business Owner's Policy (BOP) to cover employer liability—that is, lawsuits from employees alleging negligence related to a workplace injury. It’s especially relevant in monopolistic states (such as Ohio, North Dakota, Washington, and Wyoming), where workers' compensation is state-provided but doesn’t include employer liability.
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What happens if my business grows?
As your law firm expands—hiring staff, opening new offices, or taking on higher-value cases—your business insurance needs will grow, too. Here are the key steps to take:
1. Reevaluate Your Coverage Limits
Higher revenue and more exposure mean your existing general liability or professional liability (legal malpractice) limits may no longer be sufficient. Consider increasing your coverage to protect against larger claims.
2. Add or Update Workers’ Compensation
If you hire employees or bring on contractors, you’ll likely be required to carry workers’ compensation insurance. Make sure it reflects your updated payroll and employee count.
3. Consider an Umbrella or Excess Liability Policy
As your risk increases, an umbrella (or excess) policy can provide extra protection above your existing liability limits—including general, auto, or employers’ liability.
4. Review Professional Liability (Malpractice) Coverage
Ensure your policy covers any new practice areas or jurisdictional expansions. Some insurers require specific endorsements or notice of material changes to your operations.
5. Evaluate Cyber Liability Insurance
Growth often means more sensitive data and digital communication. If your firm handles client data electronically, cyber insurance can protect against breaches, ransomware, and liability.
6. Update Your BOP or Move to Custom Coverage
A Business Owner’s Policy may no longer fit your firm’s complexity. You may need customized policies for each coverage type—property, liability, auto, EPLI (employment practices liability), etc
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Why is a Business Owner’s Policy an essential coverage for any law firm?
A Business Owner’s Policy (BOP) is essential for law firms because it bundles two key protections—general liability and commercial property insurance—into one affordable package. It covers claims such as client slip-and-fall accidents, damage to office equipment, and business interruption losses resulting from events like fire or theft.
For solo and small firms, a BOP provides foundational coverage against everyday risks, making it easier to stay protected without having to juggle multiple policies. As your firm grows, it’s also easy to customize with add-ons like professional liability or cyber insurance.
When Does A Lawyer Need A Business Owner's Policy?
A Business Owner's Policy can help if:
- You own or rent your firm's workspace
- You have clients that require you to carry general liability
- You have a physical location and/or your physical property has significant value
- You have the potential for being sued, other than for your professional services
- Your assets, including client information, are at risk of being stolen
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