If you run a roofing business, you've probably heard about Business Owners Policies—or BOPs—as a way to bundle your insurance and save money. And here's the truth: for some roofing contractors, a BOP is a smart move that simplifies coverage and cuts costs. But for others, especially those doing high-risk commercial roofing or rapid growth, a BOP might not even be an option. Let's break down when a BOP makes sense for your roofing business, what's actually included, and what you still need to buy separately.
What Exactly Is a BOP and Why Do Roofing Contractors Consider It?
A Business Owners Policy isn't a single type of insurance—it's a package deal. Think of it like getting cable, internet, and phone service bundled together instead of paying for each separately. For roofing contractors, a BOP typically combines three essential coverages into one policy: general liability insurance (which covers property damage and injuries you cause to others), commercial property insurance (which protects your business property like tools, equipment, and your office space), and business interruption insurance (which helps replace lost income if a covered event forces you to temporarily shut down).
The appeal is simple: bundling these coverages into a BOP usually costs 10-15% less than buying each policy individually. For a small roofing operation, that could mean saving several hundred dollars a month. Based on 2026 industry data, the average BOP for a roofing business with two employees runs about $567 monthly, or roughly $6,800 per year. Compare that to buying general liability at $389 monthly plus commercial property coverage separately, and the savings become real.
Who Actually Qualifies for a BOP?
Here's where things get tricky for roofing contractors. BOPs were originally designed for low-risk businesses like retail shops, small offices, and restaurants. Insurance carriers typically offer BOPs to companies with fewer than 100 employees, less than $5 million in annual revenue, and operations that don't involve exceptionally high risk. But roofing work involves working at heights, heavy materials, expensive property, and significant potential for injury or damage—all factors that insurers consider high-risk.
What does this mean for you? If you run a smaller residential roofing business—maybe you and a few employees handling repair jobs and re-roofing single-family homes—you're more likely to find an insurer willing to write you a BOP. But if you're doing large commercial projects, industrial roofing, or specialty work like metal roofing or solar installation, many carriers will require you to purchase specialized contractor insurance policies instead. Some insurers simply won't offer a BOP to roofing contractors at all, regardless of size.
What's Covered in a Roofing Contractor BOP (and What's Not)
Let's get specific about what protection a BOP actually provides. The general liability portion covers you if your work damages someone's property—say your crew accidentally breaks a window or damages landscaping while installing a roof—or if someone gets injured because of your business operations, like a homeowner tripping over your equipment. It also covers completed operations, meaning if a roof you installed starts leaking and causes water damage, your policy can help cover the claim.
The commercial property coverage protects your business assets. This includes your tools and equipment (ladders, nail guns, compressors), your work vehicles' contents, materials and supplies at your shop or warehouse, and your office equipment if you have a physical location. If these items are damaged or stolen due to fire, theft, vandalism, or certain weather events, your BOP helps pay to replace them.
Business interruption coverage is the part most contractors overlook until they need it. If a covered event—like a fire at your warehouse that destroys your equipment—forces you to halt operations temporarily, this coverage helps replace the income you're losing while you get back on your feet. It can also cover ongoing expenses like rent and payroll during the shutdown period.
Now for what's not covered. This is crucial: a BOP does not include workers' compensation insurance. If one of your roofers falls off a ladder and gets hurt, your BOP won't cover their medical bills or lost wages—you need a separate workers' comp policy for that. And workers' comp is legally required in almost every state if you have employees. For roofing contractors, workers' comp is expensive (averaging around $836 per month in 2026) because of the industry's injury risk, but it's non-negotiable.
A BOP also typically excludes commercial auto insurance (you'll need a separate policy to cover your work trucks and vehicles), professional liability or errors and omissions coverage (which protects against claims of negligent work or failure to perform), and certain high-value tools or specialty equipment (which may need to be scheduled separately or covered under an inland marine policy).
When Does a BOP Actually Make Sense for Your Roofing Business?
A BOP tends to work well if you're a smaller roofing contractor focusing on residential work, you have a physical business location with equipment and inventory to protect, your annual revenue is under $5 million, and you can find an insurer willing to write a BOP for roofing work. In these scenarios, the cost savings and convenience of having everything in one policy makes sense.
But you probably need separate specialized policies if you're doing large commercial or industrial roofing projects, your business is growing rapidly and approaching those revenue limits, you need higher liability limits than a standard BOP offers, or you're doing specialty work like solar installation or green roofing. In those cases, working with an insurance broker who specializes in contractor coverage is your best bet. They can build a custom package that gives you exactly the protection you need without paying for coverage gaps or exclusions that don't work for your business.
What a Complete Roofing Insurance Package Looks Like
Whether you go with a BOP or separate policies, most roofing contractors need a similar foundation of coverage. Based on 2026 industry benchmarks, a comprehensive insurance package for a small roofing business typically costs around $1,501 per month (about $18,000 annually) and includes a BOP or separate general liability and commercial property policies, workers' compensation insurance, and professional liability coverage. Some contractors also add commercial auto insurance for their fleet and inland marine coverage for expensive tools and equipment that travel to job sites.
Your actual costs will vary based on your location (premiums in New York or California run higher than in less expensive states), your claims history (a clean record can qualify you for discounts), your revenue and payroll (higher numbers mean higher premiums), and the specific types of roofing work you perform. The cheapest provider in recent data, Thimble, offers BOPs starting around $320 monthly, while others average closer to $567-$785 depending on your state and risk profile.
How to Get Started with BOP Coverage
If you think a BOP might work for your roofing business, start by getting quotes from multiple insurers. Not all carriers offer BOPs to roofing contractors, so you may need to contact several providers or work with an independent agent who can shop multiple companies on your behalf. When you request quotes, be ready to provide details about your annual revenue and payroll, the types of roofing work you do (residential vs. commercial, repairs vs. new construction), your business location and whether you have a physical shop, your claims history for the past five years, and the value of property and equipment you need to insure.
Compare not just the price but the coverage limits, exclusions, and deductibles. A cheaper policy with major gaps in coverage isn't really cheaper if you end up paying out of pocket for an uncovered claim. And remember, even if you get a great BOP, you still need to secure workers' comp separately—don't skip that step. Your business, your employees, and your financial future all depend on having the right protection in place.
