What is typically NOT included in a Business Owners Policy?

A Business Owners Policy (BOP) is designed to provide a package of insurance coverages specifically tailored for small to medium-sized businesses. While BOPs generally include several key coverages such as liability coverage, personal property coverage, and sometimes equipment breakdown coverage, they typically do not include data breach coverage.

Data breach coverage is considered a specialized form of insurance that addresses the risks associated with data breaches and cyber incidents. Given the evolving nature of cyber risk and the specific needs of businesses in this area, data breach coverage is often provided as an endorsement or a separate policy rather than being included in a standard BOP. This distinction arises because data breaches often require specific measures, assessments, and legal coverages that are not part of the traditional offerings included in a BOP.

Understanding this distinction is crucial for business owners seeking to adequately protect their operations, as they need to recognize that while a BOP provides broad coverage, additional protections may be necessary for modern threats like cyber incidents.