How much is BOP insurance in Pennsylvania?

How much is BOP insurance in Pennsylvania?

The average BOP insurance premium in Pennsylvania is $743 per year or around $62 per month. However, rates differ based on business type and industry.

Here are the average BOP insurance premiums for different business types, based on data from Insureon.

• Building design: $648
• Cleaning services: $907
• Construction: $1,173
• Food and beverage: $1,770
• Healthcare professionals: $841
• IT/technology: $550
• Landscaping: $1,130
• Media and advertising: $670
• Photo and video: $570
• Professional services: $566
• Retail: $1,136
• Sports and fitness: $800

Average BOP insurance cost by company

Insurance companies charge different rates for BOP insurance. Here are the average annual BOP insurance premiums from several national insurance companies:

• The Hartford: $1,019
• Progressive: $1,351
• Huckleberry: $864
• Thimble: $725

Companies that offer BOP insurance in Pennsylvania

When shopping for BOP insurance in Pennsylvania, you’ll need to decide whether you prefer to work with a national carrier or a smaller, regional one. There are pros and cons to both. While large carriers often have lower premiums, they sometimes don’t have the best customer service, a benefit that smaller companies can provide.

Here are some of the top regional BOP insurance companies that serve Pennsylvania business owners:

• Erie Insurance
• Penn National Insurance
• Donegal Mutual Insurance
• Selective Insurance

Most commercial insurance companies require business owners to call an agent to get a BOP quote. You can also use a quote comparison site to get BOP quotes from multiple insurance carriers. 

How to estimate BOP Insurance costs in Pennsylvania

BOP insurance premiums are different for every business. These are some of the factors that affect premiums in Pennsylvania:

• Industry: The industry your business operates in will impact the cost of BOP insurance. Industries that are considered high-risk, like construction and retail, often have higher BOP premiums than low-risk industries, like professional services.
• Annual revenue: Small businesses with high annual revenue usually pay more for BOP insurance than ones with lower revenue. That’s because businesses with high revenue often need policies with generous coverage limits that will adequately protect their assets.
• Business property value: The value of your business property, including the building and contents inside, affects BOP insurance premiums. For example, if you own the building your business operates in, and you store expensive equipment or inventory inside, you can expect to pay a high premium for BOP insurance.
• Number of employees: The more employees you have on payroll, the riskier your business is to insure, especially when it comes to general liability insurance. Because of that, businesses with many employees can expect to pay higher rates for BOP insurance than businesses with just a few workers.
• Claims history: If your business has filed any insurance claims in the past several years, you’ll probably have a higher BOP insurance rate than a company with a clean claims history. Insurance companies charge higher rates for businesses with prior claims because they believe there’s a greater likelihood of additional claims in the future.

How to compare carriers to get the best BOP insurance rates in Pennsylvania

When shopping for BOP insurance in Pennsylvania, there are a few important things you need to do:

• Understand what’s covered: Read the policy’s fine print to find out what’s covered—and what’s not. To fill gaps in your BOP, you might need to purchase additional policies, like commercial auto insurance or umbrella insurance. Get quotes to see how these other policies will affect your overall insurance spending.
• Check insurer financial strength ratings: Before you choose a BOP insurance company, check the carrier’s financial strength rating. The credit rating agency AM Best is a good source for this. Insurance companies with an A rating or higher have an excellent ability to meet financial obligations, which include paying claims.
• Read customer reviews: It’s a good idea to read customer reviews when comparing insurers in Pennsylvania. Look for complaints about denied claims, slow claim handling, poor customer service, or unexpected rate increases. If a company consistently gets poor reviews, and has few positive ones, consider crossing it off your list.
• Get personalized rate quotes: The cost of BOP insurance in Pennsylvania is different for every small business, and rates can vary significantly depending on the company. Get personalized BOP insurance rate quotes from several insurance companies to find the best policy at the most affordable price for your coverage needs.

Tips for lowering your BOP insurance cost in Pennsylvania

Here are some tips for reducing your BOP insurance premium in Pennsylvania:

• Bundle a BOP with another policy: Many insurance companies offer a discount to customers who bundle their BOP with another policy, like commercial auto insurance, workers’ compensation insurance, or professional liability insurance.
• Pay your annual premium in full: You can often get a small discount on your BOP if you pay the annual premium upfront and in full. Some insurers also offer a discount when you enroll in automatic payments.
• Improve the safety of your business space: Installing safety features in your building or office space can help you save money on BOP insurance. For example, you can sometimes get a discount for installing a security system, fire alarm or sprinkler system.
• Choose a higher deductible: The commercial property portion of a BOP requires a deductible when you file a claim. If you choose a high deductible, you’ll get a lower monthly premium.
• Review your policy annually: You should review your BOP annually to make sure you always have the right amount of coverage. If your situation has changed, you might be able to lower your insurance coverage limits and reduce your premium or, conversely, you might need to increase your coverage to make sure you’re adequately protected.

What our expert says

Q: What’s the advantage of a BOP for small business?

Andy Lea Chief insurance officer at Embroker, a digital insurance company.

"BOPs are specifically designed for small businesses to be simple and integrate many coverages into one policy – coverages that larger organizations would have to buy separately."