Few businesses can operate without the assistance of IT contractors or consultants, whether a group or an individual IT specialist. IT professionals are tasked with resolving a wide range of technical problems for business owners and have the unusual position of having access to a business’s private processes, information, and personal customer data. IT contractors and consultants must be fully protected with the right insurances to avoid the risks associated with working on digital information and systems.
The types of insurances for IT contractors and consultants include:
- Cyber Liability: Cyber liability insurance is a “must” for IT professionals. Cyber criminals across the globe are working on identifying any system weaknesses, and even the most well-protected organizations have been victims. IT professionals must ensure they have cyber liability coverage, as the losses associated with cybercrime are extremely high.
- Professional Liability (Errors & Omissions) Insurance: Errors and omissions insurance is designed to protect those working in the IT field against claims filed for negligent or inadequate work. This insurance is absolutely critical for IT professionals.
- General Liability: IT professionals need general liability coverage to protect against claims filed by others, including bodily injury, personal injury, and property damage claims. This insurance also protects against false advertising claims, violations regarding copyrights and trademarks, and other specific risks.
- Worker’s Comp: If you have a specific number of employees, you need workers’ compensation insurance. The number of employees is dictated by the laws in your state.
- Commercial Umbrella: If a lawsuit goes beyond the coverage of your liability insurance, commercial umbrella insurance can save your company from financial ruin.
For insurance guidance for IT contractors and consultations, contact our local agent.
