Running a business carries a lot of risk even if you are working in the tech industry. For this reason, you need to protect it with an insurance policy. For example, when your app hurts someone or damages properties, having tech insurance can free you from having to pay for the damages. Depending on your business needs and budget, here are some of the protection you can get from technology insurance company workers compensation.
General Liability Insurance
General liability insurance covers your business from third-party bodily injuries, property damage, or advertising injuries. It helps you pay for any expenses you may incur while defending your tech business up to policy limits if your claim is covered. If you are renting or own a commercial office space, general liability covers the lease or if you want to open your business to the public. You may avail of a Business Owner’s Policy if your company’s risk profile is low enough.
Professional Liability Insurance
The risks associated with an IT business include data breach, server crashes, and data wipe out. If all these events lead to a lawsuit, getting professional liability insurance can help you cover for these cases. Also known as errors & omissions insurance, this type of technology insurance for IT companies and consultants helps cover for legal expenses when you are accused of professional negligence, breach of contract, and other errors.
Worker’s Compensation Insurance
Your state would also likely require you to carry worker’s compensation if you have any employees. It will help you pay for any injuries incurred by your employees in their workplace. Worker’s compensation helps pay for medical expenses, replacement wages, disability benefits, and death benefits. It will also cover legal expenses if someone sues your business because of the accident.
Commercial Property Insurance
Natural disasters are circumstances that we cannot control. You do not want to drain your bank account paying for damaged equipment or office furnishings. With commercial property insurance, you get compensated for replacing your assets caused by windstorms, fires, vandalism, and theft.
Umbrella Insurance Coverage
When the policy limit of your liability insurance has been reached, you can apply for umbrella insurance to cover the remaining balance. If your general liability insurance only covers $1 million and you owe $1.5 million, umbrella insurance can cover the remaining balance. This type of policy offers millions worth of additional coverage. It is worth noting, however, that umbrella insurance does not apply to errors and omissions insurance.