Insurance for Software Engineers, Explained

Business insurance is meant to protect your business (and often yourself). There are many types of insurance products available for businesses to ensure that you are properly covered. With the wide range of coverage options available, it can be difficult to know what is right for your company.  Some businesses need more coverage than others depending on operations and revenue.

It is no different for software engineers. Software engineers perform many services and often deal with sensitive information. Because of that, they require insurance to address their specific needs. 

Here are some of the insurance policies that may be right for a software engineering company.

• Errors and Omissions (also known as Professional Liability). This insurance covers negligent acts and omissions in your work.  Errors that lead to security breaches and malfunctions are typically covered.  This type of insurance is often required by contract and is important for any IT professional. 
• Cyber Liability. . Every organization, from global enterprises to a one-person LLC faces cyber risk.  Cyber liability insurance helps cover your company’s liability for a data breach involving customer information.  It also helps with the expense of notifying customers about the breach and recovery efforts. 
• Fidelity Bonds. Fidelity bonds are also known as employee dishonesty bonds or crime bonds. They generally cover expenses That occur due to misdeeds by your employees.  For example, if an employee steals a computer from a client site, a fidelity bond may cover the loss.
• General Liability. Most businesses should carry general liability insurance.   This insurance helps protect your business from claims of bodily injury, property damage, advertising injury, copyright infringement, and reputational harm.  Workers Compensation.  Most businesses with employees are required by law to carry worker’s compensation insurance.  This covers medical costs and lost wages for work-related injuries and illnesses.  It is required in almost every state for businesses with employees. 
• Commercial Auto Insurance. If you have a business vehicle, you should strongly consider a commercial automobile insurance policy.  This can cover physical damage and liability in the event of an accident. 

Every insurance policy has important terms that can affect your business.  To discuss what insurance programs are right for your company, contact us today. We will be glad to talk to you about your business, all the services that you offer, and how we can make sure that your business is properly insured.