Insurance Tips for Tech Startups
Currently, there are hundreds of thousands of tech startups in North America with this number increasing every year. Decades ago, a substantial amount of money was needed to start a technology company. Nowadays, it doesn’t require much to start a high tech company. Many people are starting their own tech companies on a tiny shoestring budget operating out of their home or tiny remote offices.
Unfortunately, tech startups can be an easy target for lawsuits. Unexperienced business owners may be vulnerable for future lawsuits and personal injury claims. Business owners are advised to invest in a good insurance policy to ensure they are protected in the long run.
Here are some tips to ensure your tech startup is off to the right start:
- Ensuring your startup is rated correctly. It is extremely important that any and all public information about your startup is correct and as accurate as possible. Before quoting on your insurance policy, your insurance agent will need to assess your level of risk; this usually starts with doing some research on the company.
- Make sure you have sufficient coverage. Your general liability coverage will protect you against a wide range of liability claims including property damage, bodily injury, and personal injury liability. However, something you need to consider is your cyber liability protection. As a tech startup, you may be exposed to greater cyber liability risk. See Cyber Liability for more information.
- Choose the right policy. The type of insurance your tech startup company will need depends on your location and what types of services your business provides. Some things to consider is if your business is based out of your home or if you own or lease the building. Talk to your insurance agent to find out what type of policy is appropriate.
HUB International TECHNOLOGY is based in Vancouver and focuses on insuring and protecting public and private companies in the technology sector. We offer Risk Management and Loss Control strategies, placing General Liability, Property, Business Interruption, Cyber Liability, along with other coverages for all types of technology companies, including E-Commerce