Business Insurance glossary

Business interruption

Coverage that replaces lost income and helps pay ongoing expenses when a covered event forces a business to pause operations.

Full definition of Business interruption

Business owner's policy (BOP)

A package that bundles general liability and commercial property coverage, and often business interruption, for small to mid-sized businesses at a lower cost than buying each separately.

Full definition of Business owner's policy (BOP)

Certificate of insurance

A one-page document that proves a business carries certain insurance, listing coverages, limits, and dates. Clients and landlords often request one before doing business.

Full definition of Certificate of insurance

Commercial property

Commercial property insurance covers a business’s building, equipment, inventory, and furniture against covered causes of loss, such as fire or theft. Flood and earthquake damage are usually excluded and need separate coverage. It’s often combined with general liability in a business owners policy.

Full definition of Commercial property

Cyber liability

Coverage that helps a business respond to data breaches and cyberattacks, including notification costs, legal expenses, and sometimes ransom and recovery.

Full definition of Cyber liability

General liability

Coverage that pays for third-party bodily injury and property damage claims arising from your business operations, such as a customer injured at your premises.

Full definition of General liability

Professional liability (E&O)

Also called errors and omissions, it covers claims that your professional advice or services caused a client financial harm. Common for consultants, agents, and licensed professionals.

Full definition of Professional liability (E&O)

Workers compensation

Coverage that pays medical costs and lost wages for employees injured on the job. Most states require it once a business has employees.

Full definition of Workers compensation