Technology firms are in a precarious position. While they are needed for daily activities, they also come with their fair share of unique risks. Additionally, basic insurance policies come with certain limitations; as such, there is a need for policies that cover technology specifically. For example, there could be cases of irreplaceable data, software, and research material that need that extra layer of protection. This can be done with the help of Technology insurance.
This particular coverage can be made to cover specific needs that you may require. The policies can be set up to protect your equipment from any risks that it may face daily.
What is the price of the insurance?
On average, for small technology businesses, a standard insurance policy from the General Liability category (that would generally cost anywhere between one million dollars to two million dollars or seven crores to 15 crore rupees) costs 27 to 40 dollars (2000 to 3000 rupees). This is, of course, based on location, size, payroll, sales, and experience. This also protects firms from lawsuits for a small price.
What type of insurance do technology firms need?
Technology insurance policies can include a lot of coverages. Some include the following:
- General liability: This protects a tech company from lawsuits that accuse them of bodily injury or property damage that business operations could cause. An example could be ruining a client’s computer by spilling something on it. It also protects against slander claims.
- Professional Liability: This protects against any negligence that could take place during your business operations.
- Commercial Property: This protects the building of your business operations, including your property used to aid these operations. It also covers the equipment you use to fix a client’s technological devices, irrespective of whether they are yours or not.
- Commercial Umbrella: This protects your business from any claims that exceed the limits set by your existing policies. It also provides additional protection on top of the other coverages you have.
- Cyber Liability: This protects you from any; inconveniences’ that may arise due to a breach in your network, which could cause your customer’s important information to be at risk. This also protects your own firm’s data from hackers.
- Business Income: This covers any losses you may experience if you are, for some reason, unable to operate or run your businesses. It makes up for the revenue loss that may occur due to property damage.
It is important to select the correct policy and insurance for your technology firm. It is important to prioritize efficiency as well as protection.