The best way to protect your investment in your dental practice is through a Business Owners Policy (BOP). A business owners policy combines many coverages essential to protecting a practice from a potential loss. Below are some of the core coverages offered in a BOP policy.
- Property Coverage – Property Coverage protects property owned by the practice from loss such as fire or water damage from a burst pipe. Water damage due to flood is not automatically included. This is a conversation that you should have with your insurance advisor. It is important to keep the limit of coverage up-to-date to avoid any gaps in coverage. Major purchases such as CT Scans or X-Rays should be reported to make sure sufficient amount of coverage is being carried. Carriers will address the coverage for the building (exterior walls) and build outs/improvements (interior walls) in different ways. It is important to breakout these two limits and have this discussion with your insurance advisor to make sure coverage is being provided correctly.
- General Liability Coverage – General Liability coverage protects your practice against lawsuits arising from bodily injury or property damage caused by standard business operations. A common example of a general liability claim is a patient slips on a wet spot while walk to or from the chair. This is separate from your professional liability which protects you from the liability you face while working with a patient within the scope of your dental license.
- Business Income/Extra Expense Coverage – In the event of a serious loss such as a fire your practice could be shut down for a significant period of time. Business income coverage will pay for any loss of income suffered during your shut down period. Extra Expense coverage will pays for additional expenses your practice incurs to temporarily set up a new location. It is essential to keep your practice running during the rebuild process. 40% of dental practices do not reopen after a loss. Of the 60% that do reopen, 25% fail within one year. Having a disaster plan and the proper insurance can help beat these odds.
JLK Group works with the top AM Best rated carriers that offer business owner policies. JLK Group provides a tailored insurance program that best fits your practice needs.