Information Technology (IT) Tech Insurance
You’re an innovator! You love to spend your time tweaking HTML in order to make your product or design just right. And who doesn’t just love CSS? Not only do you love Information Technology (IT), but you started a business doing it. Like most business owners, you are busy and with your spare time, you ponder the risk associated with your trade. Let Heaton Bennett Insurance help alleviate your concern about the risk your business has with a great Information Technology (IT) insurance policy designed around your business.
Technology Errors & Omissions (E&O) Liability Insurance
Technology E&O Liability Insurance protection provides coverage for claims for economic damage caused because of an error, omission, or negligent act.
Example (provided by Travelers Insurance): You design and build labor force software that integrates a client’s HR and payroll systems. You fall behind in delivering your work, resulting in missed milestones and nonfunctioning components. You contend that the client repeatedly changed the size and scope of the project. Ultimately, the client fires you and files a lawsuit, seeking to recover lost profits and extra expenses due to the delay and disruption.
Cyber Liability & Data Breach Coverage
Information Security Liability (ISL) and Breach Essentials protect against claims or suits alleging failure to prevent unauthorized access to, or identity information of others.
Example (provided by Travelers Insurance): Your IT Company was on top of the world when it won the contract to manage the network and security software for the hottest new upscale café chain. The chain’s name was on the rise, and referencing them with business prospects won you additional new business and instant credibility. That is…until a hacker broke through your security software, and the notoriety turned to infamy. Within days, your company is in survival mode. Crisis Management coverage reimburses you for the costs of crisis management consultants and a PR firm to help restore your reputation and keep your business in business.
These examples are illustrative only. In the event of a claim, coverage will be determined based on the facts and circumstances of the filed claim, and the actual policy terms and conditions.
You run a complex business. Let the insurance agents at Heaton Bennett Insurance figure out your complex insurance needs easily. As an independent insurance agency, Heaton Bennett Insurance represents several top insurance companies. They can get your IT business an insurance quote and ensure you’re covered. Call Heaton Bennett Insurance today at: 512-372-8311.
Frequently Asked Questions
Why might an IT business need professional liability insurance?
IT companies may face claims alleging programming errors, failed implementations, service interruptions, or other mistakes in professional services. Professional liability insurance may respond to certain covered claims.
Can insurance cover a cyber incident affecting a client?
Technology errors and omissions or cyber liability coverage may be available for certain claims involving network failures, security incidents, or compromised information. Coverage depends on the services and policy language.
Does an IT business need cyber insurance if it does not store customer data?
An IT company can still face cyber risks through email, internal records, remote access, cloud services, or connections to client systems. Texas technology businesses should evaluate their complete digital exposure.
Are independent developers and IT contractors covered?
Independent contractors are not necessarily covered automatically. Businesses should disclose outsourced work and review contracts, indemnification provisions, and insurance requirements.
Can insurance cover computers and specialized technology equipment?
Commercial property or inland marine coverage may be available for eligible computers, servers, networking equipment, and other technology. Electronic data and software may be subject to separate limitations.