IT contractor insurance

Why do IT contractors need insurance?

However expert and dedicated you are, the reality is that things can go wrong. Errors are made, accusations follow, the legal profession gets involved and customers want to be compensated – and you could be the ones to suffer. Closing your eyes to a problem won’t solve it. You must do something.

You need professional indemnity insurance because you have a contract to complete; your pockets aren’t bottomless; you don’t have legal expertise; and you need to protect your good name.

How much professional indemnity insurance does an IT contractor need?

Deciding how much professional indemnity insurance you need involves thinking about the types of contracts you take, who they’re for, and what it involves. Then think about your nightmare scenario, and how much it could end up costing you.

You can never have too high a level of cover – your own legal team will need to be paid for, before you even think about any payouts to the client. Your policy will need to cover all of this.

Read this guide or call us if you need more assistance.

What does professional indemnity insurance cover?

In general terms, it offers IT contractors protection against alleged negligence and claims made against you by customers and third parties.

Specifically, it can also cover loss of documents or data, dishonesty on the part of an employee, transmission of viruses, any breaches of confidentiality and third-party equipment going wrong - and a whole host of other areas. It all depends on the wording of the policy.

And the best thing is, some policies can correct a mistake before the customer even gets to know about it, avoiding a claim being made.

Does an IT contractor need public liability insurance?

If you are working out of the office (for example, installing equipment) or someone else visits yours, then this insurance protects you if someone else claims you have damaged their property or caused an injury. Helpful if you are clumsy, and also in avoiding the costly knock-on effects.

So yes, probably.

What other insurance does an IT contractor need?

Employers’ liability insurance - provides cover if an employee sues you for damages, mainly because they have health problems as a result of working for you. A legal must for UK firms with staff.

Office and property insurance - for all the furniture, equipment and plants in your office.

Portable insurance - gadgets used away from base like laptops, tablets and projectors.

Business interruption insurance - means you can carry on working even if your own office is unusable. The policy will cover the cost of setting up elsewhere and for any money you have lost in the meantime.

Directors’ and officers’ insurance - covers company bosses, because they can be held personally liable for their actions. Your policy covers your defence costs, and any payouts you could have to make.

Why choose us?

We specialise in business insurance. And we know that you don’t always have time on your side.

That’s why we’ve made buying a policy quick and easy. So you can get the cover you need in just a few clicks.

We also know that you’re probably going to have questions. Insurance can be confusing, and sometimes you just need someone on the other end of the phone who knows what they’re talking about.

Every one of our advisers can provide expert advice and guidance. The best part? They keep it simple. In language you can understand.

That’s why our customer service is rated Platinum by the independent reviews platform Feefo.

Oh, and we’ll even pay you if you recommend us.

Still on the fence? Check out our customer feedback and find out how we do insurance better.