General liability + commercial property (and usually business interruption) in one package: third-party injury and property claims, plus your building, equipment, and contents.
Reviewed by a licensed commercial insurance agent. Last updated .
A business owner's policy bundles general liability and commercial property — usually with business interruption — into one policy, cheaper than buying each alone. For a restaurant it covers customer-injury claims plus your building, equipment, and contents. It does not include workers' comp, liquor liability, or commercial auto.
What it covers
General liability + commercial property (and usually business interruption) in one package: third-party injury and property claims, plus your building, equipment, and contents.
Who needs it
Most small-to-midsize restaurants, cafes, and bars that qualify by size, revenue, and risk. It is the standard starter package and satisfies most landlord liability requirements.
Typical cost
Insureon restaurant BOP median is about $251/month (~$3,010/yr) at $1M/$2M limits with a $1,000 deductible — roughly 4–5x the all-industry BOP average, reflecting fire, foot traffic, and alcohol exposure.
Varies by state?
Not materially — rates vary by location, not by statute.
The bundle is the core, not the whole program
A BOP is the cheapest way to get general liability and property together, and bundling them beats two standalone premiums. But it deliberately excludes three things a real restaurant needs: workers’ compensation, liquor liability, and commercial auto. Owners routinely under-budget because those are billed separately on top of the ~$3,010 BOP.
Eligibility and when you outgrow it
Carriers cap BOP eligibility by revenue, square footage, and risk class. A larger or higher-risk restaurant can be pushed to a commercial package policy (CPP) instead. The BOP’s built-in business interruption is a major reason to bundle — a bare property policy may not add it automatically.
What owners don’t expect
•A BOP excludes workers’ comp, liquor liability, and commercial auto — those are separate policies.
•Business interruption is typically included in a BOP but not always in a standalone property policy.
•Carriers cap BOP eligibility by revenue and square footage; larger concepts move to a commercial package policy.
•The restaurant BOP median (~$3,010/yr) runs 4–5x the all-industry average because restaurants are higher risk.
Common questions
What does a restaurant BOP include?
A business owner’s policy bundles general liability and commercial property — covering customer-injury claims and damage to your building, equipment, and contents — usually with business interruption. It does not include workers’ compensation, liquor liability, or commercial auto, which are bought separately. That is why the BOP is the core of a program, not the whole thing.
Bundling liability and property in a BOP is generally cheaper than buying the two standalone, which makes it the standard starting point for a small restaurant or bar.
How much does a BOP cost for a restaurant?
Restaurant owners pay a median of about $251 per month, or roughly $3,010 a year, through Insureon, typically at $1M/$2M limits with a $1,000 deductible. That runs about four to five times the all-industry BOP average, because fire, foot traffic, and alcohol make restaurants higher risk than the typical business.
Remember the BOP is only part of the bill — workers’ comp and liquor liability are separate lines that stack on top, which is where full-program budgets climb.
Is a BOP enough for a bar or restaurant?
Usually not on its own. A BOP handles liability and property, but a restaurant with alcohol and staff still needs separate liquor liability and workers’ compensation, and possibly commercial auto for delivery. The BOP is designed as the core of a program that other policies build on, not a complete solution by itself.
A small counter-service cafe with no alcohol might get by with a BOP plus workers’ comp. A full-service restaurant with a bar and delivery will not.
Is a BOP cheaper than buying policies separately?
Generally yes for the two coverages it bundles. Buying general liability and commercial property together in a business owner’s policy is usually less expensive than purchasing each standalone, which is why the BOP is the standard starting point for small restaurants. Coverages outside the bundle, like workers’ comp, are still priced separately.
The savings come from the packaging, not a discount you can negotiate — so the comparison to make is BOP versus standalone GL plus standalone property, not BOP versus nothing.
Cost examples are illustrative national figures gathered from public filings and industry surveys. They are not quotes. Your actual premium depends on your state, carrier, revenue, payroll, location, and coverage selections. Restaurant Insurance Authority is an insurance marketing and referral service, not an insurer or licensed agency. We connect business owners with licensed independent commercial-lines agents who specialize in food and beverage. Questions? Call (855) 480-1410.
Talk to an agent who insures food & beverage every day
A licensed commercial-lines agent who specializes in restaurants and bars will review your coverage, close the gaps that catch owners, and show you what a program actually costs — before anything is bound.