What does Tech E&O cover?
Technology professional liability (Tech E&O) insurance is intended to cover two types of risk:
(1) Financial loss of a third party arising from failure of the insured’s product to perform as intended or expected, and
(2) financial loss of a third party arising from an act, error, or omission committed in the course of the insured’s performance of services for another.
Who needs Tech E&O coverage?
|Common examples include information technology firms, programmers, software developers, data processors, web designers, computer consultants, and more. It is important to note, however, that Tech E&O is not limited to the technology industry. Most companies today utilize technology in some part of providing a service or product and need to take the necessary precautions. To ensure your company is covering all bases, a full risk management assessment is needed.