The midfielder was named the team’s Standard Chartered Player of the Season for 2020-21 after also collecting the Player of the Season honour from the LFC Women’s Supporters Club.
Kearns, from Allerton, is a home-grown talent having progressed through the club’s development squad before breaking into the first-team set-up.
The England U19 international signed her first professional contract with the Reds last January and will now continue her career with LFC Women.
Manager Matt Beard said: “I’ve watched a lot of Bo recently and I’m really excited by her. She’s got everything to become a top, top player.