Technology services cover various industries and occupations such as Information technology, telecommunication, electronics etc. Technology services corporate bear risks like a failure of software, hardware, data etc. so there is a need to protect them. Insurance helps to cover those risks.
Technology Services Include
- Software development
- Mobile Services
- Information Security
- Web Applications
- Cloud Computing
Other services like graphic designing, scientific engineering also fall under technology services. Technology insurance includes damage of various events related to software or hardware failure. The policies are there to protect the business from various risks. Technology Services Insurance protects the company from lawsuits.
Who needs Technology Insurance?
- Web designers
- Software developers
- Data storage companies
- Computer manufacturer
- IT consultants
Types of Technology Insurance Coverage
- Data Breach Coverage: It helps to pay the cost of individuals whose information was stolen.
- Error and Omission: It helps to cover the liability claim against the technology business. It covers negligence that might occur in the business.
- Default in Cloud Services: It covers the loss of business income caused by cloud services. For example: if someone uses cloud services to store the data and if it is hacked by someone then cyber liability helps to protect the data.
- General Liability: It provides protection against the damages from lawsuits caused by the third party and it also covers the Libel and Slander claims.
- Business Umbrella: It provides additional liability coverage and protects the business from claims that exceed the underlying policies.
Benefits of Technology Insurance
- Damages will be covered as the insurance will pay the amount which is needed to settle a claim.
- The Insurance policy pays the amount to defend the claim caused by a person. Without insurance, one has to pay for themselves.
- It prevents fraud from occurring by any business operation or other third party like hackers.
- It helps to protect the business security and also attract more customers.
- If someone has technology insurance like a business person then the company stand behind that person and pay for their damages.
Technology Services Insurance covers the claim caused by the theft, hackers and claims based on Intellectual Property Rights. It also protects the technology professionals who are working on software, hardware etc. The business income insurance covers all the losses if someone could not run the technology business due to property damage. Hence, the technology insurance helps with the expenses that are occurred due to some damages like data failure, cyber attack, failure of hardware. For start-up technology service providers, one has to make sure that their business is insured and are ready to bear loss.