Tech insurance protects your IT-related business and you as a business owner against the costs of recovering from material and legal perils your company may face in this unique industry.
Without adequate IT insurance coverage, you could face financial perils that can destroy your business.
Tech insurance policies are designed to protect your business from legal defense fees, settlement costs, and expenses related to property damage.
Coverage also includes financial support to keep your business running in the event of a disaster.
- Professional Liability Insurance (Errors & Omissions Coverage): Protects your company if an error or oversight is made that leads to a lawsuit.
- Cyber Insurance: Cyber insurance protects your business from cyber attacks, data loss, data breaches, and more.
- Intellectual Property (IP) Liability: If your business produces intellectual property such as software, this coverage will protect you from infringement issues, whether someone makes a claim against you or you need to make a claim against someone else.
- Commercial Property Coverage: When you operate your IT business from a physical location, commercial property coverage will protect you from financial loss that results from damage to your commercial property.
Who Needs Tech Insurance?
While every type of business should have some form of commercial insurance, IT companies are exposed to unique liability risks.
It’s essential that IT companies have the right tech insurance to protect their technology-based services and products.
There’s a lot that can go wrong between the developer and the end-user when it comes to IT products and services.
Additionally, IT companies are at a higher risk of being targeted by cybercriminals, data breaches, and damage to their professional reputations.
Tech insurance is crucial for IT professionals who offer products or services such as:
- Web hosting and design
- Data processing
- Technology consulting
- Software and tool development
- System installation and integration
- Network management
- Computer systems analysis
- Custom programming
- Application and data hosting
- Web-based retail
- Desktop support
- Internet services
IT insurance provides financial protection and peace of mind to professionals all across the tech industry.
Tech insurance is designed to protect your tech business from common claims such as:
- Breach of warranty
- Mechanical breakdown
- Data theft
- Breach of contract
- Copyright infringement
- Liquid damage
What Insurance Do Tech Companies Need?
As a technology business owner, there are always risks when it comes to offering tech expertise or services.
With the right insurance coverage, your business can rebound from lawsuits, cyberattacks, and other unique risks associated with your industry.
Here are some tech insurance policies you should consider for your tech company:
- Fidelity Bonds: Protects your company if an employee steals from a client or customer through electronic means.
- D&O (Directors and Officers) Insurance: Protects founders, executives, and members of the Board of Directors against lawsuits.
- Worker’s Compensation: No matter the industry, this insurance policy is required for most businesses to protect employees should they become injured on the job.
No matter your tech insurance needs, Capital Insurance is here to help.
What Insurance Does a Tech Startup Need?
The right insurance for tech startups provides valuable protection against the unexpected to prevent financial damage and business disruption.
Additionally, investors and customers look for startups with insurance protection because it lowers their risk.
Tech startups are also prone to data breaches and cyberattacks, even if they are not huge corporations.
As a tech startup, here are some insurance options you should consider:
- General Liability Insurance: Covers the cost of legal fees and settlements related to client injuries and client property damage.
- Technology E&O (Errors and Omissions) Insurance: Protects you from the costs associated with inaccurate, late, or unsatisfactory work.
- Cyber Liability Insurance: Coverage expenses relate to data breaches or other cyber incidences.
Building a tech startup company from the ground up takes a lot of work and passion. Let Capital Insurance help you protect your business so you can continue to grow and thrive.