Is Technology Professional Liability A Critical Purchase?
Question: How should we think about insurance for technology professional liability? Is that a critical purchase now that my company is incorporated, or is it unnecessary?
Answer: Professional liability insurance for any technology company, incorporated or individually owned, is absolutely necessary to protect the assets, owners, and shareholders of the company. It doesn’t matter whether you are a software developer, computer consultant, internet designer, web site designer or a programmer selling products and services to an array of clients, having Professional Liability insurance as well as Phoenix General Liability insurance is a very smart way to protect you and your company, because as we know in today’s business world, lawsuits are happening more frequently than ever.
Securing Technology Professional Insurance can be a life-saver to a company when the company you performed work for suffered a failure of hardware or software products or services that you provided which led to critical mistakes being made, which then can result in lost income and litigation, but also in a business failure. Could your company withstand that type of claim without insurance? Professional Liability Insurance, also in this particular instance known as computer consultant insurance, can offer protection for such things as software and hardware products and services that often control key business functions such as
- office automation
- database management
- word processing
- accounting and billing
- production equipment
Information Technology Companies in the course of doing business will surely have lawsuit exposures for intellectual property violations. In acquiring Technology insurance, such as computer consultant insurance or software developer insurance can protect your company from special personal injury issues involving privacy issues and computer virus attacks.
Software Developer Errors and Omissions Liability Insurance in Phoenix also provides legal defense and settlement coverage, which we all know legal costs can run quite high, in case of an allegation of financial loss related to professional services. Should a client of yours allege that the software they contracted with your company to develop contains a glitch and locks up their system causing lost business revenue, having an errors and omissions policy will be most beneficial in keeping your business afloat and running smoothly. To learn more about what having this type of policy can mean for your business, please contact us to set an appointment.
Reposted from Quora: https://www.quora.com/How-should-we-think-about-insurance-for-technology-professional-liability-Is-that-a-critical-purchase-now-that-my-company-is-incorporated-or-is-it-unnecessary