Business owners policies (BOPs) vary widely depending on a variety of factors. Depending on the size of your business and the amount of coverage required, you could pay anywhere between $350 and $2,000 a year. On average, businesses pay about $1,200 a year. You should compare quotes among multiple insurers and ask about different ways you can save money. Knowing what factors influence your rates can help you save on your BOP.
Factors that Affect Your BOP 
The main factors that affect the cost of your BOP include:
- Location
- Size of the business
- Industry
- Claims history
- Credit score of the insured
- Coverage limits
- Deductible
Size of the Business
Larger businesses generally cost more to insure. In fact, only certain businesses qualify for a business owners policy based on size. Size qualifications vary from industry to industry, but generally small businesses have less than 100 employees.
Industry
Your industry is one of the biggest factors influencing the cost of your business owners policy. Industries that are at a higher risk of liability or property damage tend to pay more for insurance than lower risk industries.
Claims History
The claims history of the business can also affect your insurance. The more likely you are to file a claim on your business insurance policy, the more you will pay to offset the risk. Businesses with a long history of claims will pay more for their business owners policy.
Credit Score
Your credit score is viewed as an example of how reliable you are with paying your premiums in full and on time. A low credit score can cause higher premiums while a high credit score can save you money on your BOP.
Coverage Limits
Business owners policies are flexible, allowing business owners to add coverages to their policy as needed. This is part of the reason that calculating the cost of a BOP is difficult, as no two policies may look alike. If you have higher coverage limits, you typically pay higher premiums. However, higher limits also means you will more likely be covered in case of an accident.
Deductible
A deductible is how much you must pay out of pocket after an accident before receiving compensation. Choosing a higher deductible can save you money on monthly premiums, but it also means paying more out of pocket after an accident.
Speak with your insurance agent about how much coverage you need under your business owners policy and how you can save money on your policy.