Is technology insurance right for you?

Running a business is challenging. It can feel like you’re making about a million decisions that need your full attention, and it can be overwhelming. One such decision that every business owner needs to make is the issue of insurance. There are hundreds of types of business insurance, each with its own importance. One form of protection you may not have considered is technology insurance. If you’re stuck deciding whether to pay for this service, here’s a quick checklist to see if you need it.

Estimated reading time: 3 minutes

Are you developing technology?

The first box on the checklist concerns your company’s operations. Technology insurance has multiple facets, but one of the most prevalent forms is protection. develop technology from theftIf your company develops technology in any way, having insurance can protect you and your work from online piracy. Whether you’re designing a website or coding a new video game, tech insurance protects your hard work from theft.

Additionally, if your company develops electrical components, we recommend that you consider taking out technical insurance. These policies protect your intellectual work from theft, but they also protect you in the unfortunate case that something goes wrong and hurts someone. For example, if you’re making a computer part and the part has a leaking battery that injures someone, Insurtech Policies protect your company from fallout. If your company is involved in technology development, including technology insurance in your insurance is a wise decision.

Are you working with high-value data?

The second box in the checklist is the databank contents. Tech companies aren’t the only ones who need special insurance policies. If you’re dealing with online data, it might be wise to cover your business as well. Depending on the type of data you work with, competitors and other interested parties may try to break into your server and steal your information. It might sound like a spy movie scenario, but it’s a common occurrence at big tech companies. Instead of leaving your data unprotected, we recommend that you take out insurance and get covered.

Keeping your IT department insured along these lines can help prevent it. Potential data leakIf all the computers and servers in your business are in good working order, you are less likely to expose confidential information and harm your company. Whether you’re dealing with research and development, federal contracts, or simply human resources for a large company, technology insurance can help keep your information safe.

Do you get your financial information online?

The final box to check is financial records. If your company is like most other companies, you do your payroll digitally. All data about employee, bank and company accounts are online. Do you have a contingency plan in case the worst happens and someone outside your company gets the information? Having tech insurance can protect you if your financial data is compromised. There is no way to predict when someone will try to steal your data, but insurtech can help your business recover and compensate.

Similarly, if your company does payroll or human resources for other businesses, Protect your dataWhether you work with employee financial information or not, you need to keep your servers and spreadsheets secure. Rather than dealing with unruly data breaches, getting tech insurance can give you peace of mind about your job.

In summary, technology insurance is a smart decision for various businesses. If your company can check any of these boxes, we encourage you to consider obtaining an appropriate policy.

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