If you're running a painting contracting business, you've probably heard the term BOP thrown around. Maybe your accountant mentioned it, or you saw it while shopping for insurance online. Here's what you need to know: a Business Owners Policy isn't just another insurance acronym—it's potentially the smartest money-saving move you can make for your painting business.
Think of a BOP as a value meal at your favorite restaurant. Instead of ordering general liability and commercial property insurance separately, you get both bundled together at a discount. For most painting contractors, this means saving 10-20% on your insurance costs while getting comprehensive coverage that protects both your business property and your liability exposure.
What's Actually Inside a BOP for Painting Contractors?
A Business Owners Policy combines two essential coverages that most painting businesses need anyway. First, there's general liability insurance, which protects you when your work causes property damage or someone gets hurt. If you're painting a homeowner's living room and accidentally knock over an expensive lamp, or a client trips over your drop cloth and breaks their wrist, that's when general liability kicks in.
The second piece is commercial property insurance. This covers your business assets—your sprayers, ladders, scaffolding, brushes, rollers, and any inventory you're storing. If there's a small fire in your workshop that damages thousands of dollars worth of equipment, or someone breaks into your van and steals your tools, commercial property insurance helps you replace what you've lost. For painting contractors who've invested heavily in quality equipment, this coverage is essential.
Most BOPs also include business interruption coverage. This is the part many contractors don't think about until they need it. Let's say a storm damages your storage facility and you can't access your equipment for two weeks. Business interruption coverage helps replace the income you lose during that downtime. It won't make you whole for every cancelled job, but it provides a financial cushion when circumstances beyond your control shut down your operations temporarily.
Standard BOPs typically offer $1 million per occurrence and $2 million aggregate for liability coverage. Property coverage limits vary based on what you're insuring—you'll work with your insurance agent to set appropriate limits for your specific equipment and property values.
When Does a BOP Make Financial Sense?
Not every painting contractor needs a BOP. If you're a solo operator working out of your truck with minimal equipment, you might be fine with just general liability insurance. But BOPs become increasingly valuable as your business grows and you accumulate more assets to protect.
You're an ideal candidate for a BOP if you rent or own a workshop or office space, store expensive equipment or paint inventory, own specialized painting equipment like airless sprayers or scaffolding systems, or operate as a small to medium-sized business with fewer than 100 employees. BOPs are specifically designed for smaller businesses that qualify as low-risk operations.
Here's the money part: in 2026, painting contractors pay an average of $78 to $211 per month for BOP coverage, depending on their location and business size. Compare that to purchasing general liability at around $144 per month plus separate property coverage, and you can see where the savings come from. The bundled discount typically ranges from 10-20%, which adds up to hundreds or even thousands of dollars annually.
Your actual cost depends on several factors. If you operate in a state with higher labor costs or natural disaster risk, you'll pay more. The value of your tools and equipment affects your premium—a contractor with $50,000 in spray equipment pays more than one with $10,000 in basic supplies. Whether you rent or own your workspace matters too, as does your annual revenue and number of employees.
What a BOP Doesn't Cover (And Why That Matters)
Here's where contractors sometimes get surprised: a BOP doesn't cover everything. It's a great foundation, but you'll likely need additional policies to fully protect your painting business.
Workers' compensation insurance isn't included in a BOP. If you have employees, most states require you to carry workers' comp as a separate policy. Starting in 2026, California requires all contractors to have workers' compensation protection regardless of employee count. This coverage pays medical bills and lost wages if an employee gets hurt on the job—like falling off a ladder or developing respiratory issues from paint fumes.
Commercial auto insurance is also separate. Your BOP won't cover accidents involving your work vehicles. If you drive a van or truck to job sites with your company name on the side, you need commercial auto insurance. Personal auto policies specifically exclude business use, and if you file a claim after an accident while driving to a job, your insurer can deny coverage.
Professional liability insurance (also called errors and omissions) isn't typically part of a BOP either. This covers you when a client claims your work was faulty or didn't meet specifications. If you paint a commercial building and the client says you used the wrong paint type or didn't properly prepare the surface, leading to peeling or damage, professional liability protects you from those claims.
Many painting contractors need specialized coverage for pollution or paint overspray incidents. Standard BOPs often exclude these risks. If you're spraying exterior surfaces and wind carries paint onto a neighbor's car or windows, you might need specific paint overspray liability coverage.
The good news? You can usually bundle these additional coverages with your BOP and still save money. Many insurers offer package discounts when you combine multiple policies. For example, bundling a BOP with workers' comp and professional liability can save you 10-26% compared to buying each policy from different carriers.
How to Get Started with a BOP
Shopping for a BOP doesn't have to be complicated. Start by taking inventory of your business assets. Create a detailed list of all your equipment, including sprayers, ladders, scaffolding, hand tools, and any paint or supplies you typically keep in inventory. Estimate the replacement cost for everything—this helps you determine appropriate property coverage limits.
Next, gather your business information. Insurance companies will ask about your annual revenue, number of employees, years in business, and types of projects you typically handle. They'll want to know if you do mostly residential or commercial work, interior or exterior painting, and whether you perform any high-risk activities like working at significant heights.
Get quotes from at least three different insurers. Prices can vary significantly—some painting contractors pay $182 per month in lower-cost states while others pay $245 for similar coverage in more expensive markets. Don't just compare prices though. Look at what's actually covered, the deductibles, and any exclusions that might affect your specific business.
Ask about additional coverages you might need. A good insurance agent will review your operations and point out gaps in coverage. They might recommend adding hired and non-owned auto coverage, equipment breakdown insurance, or cyber liability if you store client information electronically. These add-ons increase your premium but can save you from devastating out-of-pocket expenses if something goes wrong.
A Business Owners Policy makes sense for most established painting contractors who've invested in equipment and want comprehensive protection at a reasonable price. The 10-15% savings compared to buying separate policies adds up quickly, and managing one bundled policy is simpler than juggling multiple carriers and renewal dates. Take the time to properly assess your needs, shop around for competitive quotes, and make sure you understand exactly what's covered and what requires additional policies. Your painting business deserves protection that matches how hard you've worked to build it.
