3 Reasons Real Estate Agents Need A BOP

Real estate is a highly competitive industry, and you have to be on your game to reap the full rewards of what you’re doing. Still, many agents deserve the security of knowing that they will have the a secure business in the event that anything goes wrong. One of the best ways to get that reassurance is to invest in a business owners policy (BOP). a sign above a flower garden

BOPs are tailored to the advantage of small businesses, and real estate agencies are often among their greatest beneficiaries. Here are three reasons why.

Reason #1: General Liability Insurance

Perhaps the most important reason for real estate agents to purchase a BOP is that it includes general liability coverage. This type of coverage protects you against lawsuits arising from injury to others or damage to someone else’s property.

For example, imagine a situation where you accidentally cause damage to a client’s home while you are hosting an open house. Or, what if someone trips and becomes severely injured while at your office. The general liability portion of your BOP helps handle the lawyer’s fees, court costs, and the claim for damage. In some cases, general liability coverage might also protect you from slander, libel, or copyright lawsuits, which, though not physical, could prove harmful.

Reason #2: Coverage For Your Office & Business Property

Another reason to buy a BOP is that it includes property damage coverage for your office. This includes owned buildings and things you use on a regular basis to run your business such as computers, tablets, smartphones, signage and furniture. Business property even includes boxes of your favorite promotional gadgets. If fire vandalism or other hazards damage these items, your insurance would help get things back on track by replacing them.

Reason #3: Business Interruption Income Coverage

If sudden damage to your office prevents you from doing business, a BOP might be able to help. Most BOPs include a provision for business interruptions. It helps you pay for certain expenses while you get things operational again. This is crucial coverage designed to help real estate offices of all sizes to continue to make money even if the unthinkable happens.

Of course, a BOP isn’t the only important type of business insurance for a realtor to carry. For instance, commercial auto policies are important, but aren’t usually included in the BOP. To learn more about the various types of policies available to agents and brokers, speak to an agent today.

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