Insurance for web designers & developers

Why do web designers need professional indemnity insurance?

What business doesn’t have a website these days? An invisible one is what.

But not just any old website will do. Clients pay you good money to design and develop something that not only works and looks good, but gets them business too. No easy task.

If your masterpiece fails to convert leads, doesn’t do what the client wanted, is delivered late or keeps crashing, they’re going to ask questions. Awkward questions like: who’s going to pay for our lost business? When can we expect our sales to increase? Have you got a solicitor?

You might not have done anything wrong, but that doesn’t always matter. The fact there’s an allegation against you is enough. You have to do something about it and that takes time, effort and money.

That’s when professional indemnity insurance for web designers steps in. It pays your legal bills, argues your case and frees you up to keep running your business.

You need it because you have a business to run. Because you don’t have unlimited funds. Because you’re not a legal expert. And because your reputation matters.

What does professional indemnity insurance for web designers cover?

PI takes care of claims and allegations made against you by clients and third parties because of mistakes you’ve made and things you’ve failed to do.

Specifically (but depending on the policy wording), it covers:

• Negligence
• Defamation
• Intellectual property infringement
• Loss of documents or data
• Negligent misrepresentation or misstatement
• Employee dishonesty
• Virus transmission
• Breach of confidentiality
• Failure of third-party equipment

Some professional indemnity policies can even pay to fix a mistake before your client notices, preventing a claim in the first place.

Clever stuff.

How much professional indemnity insurance do I need?

Professional indemnity insurance protects your web design and development business and no one else’s. So only you can decide what level of cover is enough.

Consider the exact nature of what you do, who you do it for and how much it’s worth. Think about worst-case scenarios and what could go wrong. What’s the most expensive mistake you could make (or be accused of making)?

Always bear in mind that you can’t have too much cover. Your legal defence can cost many £tens of thousands – and that’s before the bill for compensation arrives. Your level of cover has to be enough to cover it all.

It’s a tricky one to get right. Have a read of this guide or call us if you need more help.

Do I need public liability insurance?

Yes, probably.

Public liability is handy if you go out and about on business (eg to meetings or to install equipment), or if visitors come to you.

It protects you if a third party claims it’s your fault they were injured or their property was damaged. Say they tripped and fell in your office, or you spilled coffee over their laptop.

It’s useful if you’re clumsy, of course. But it’s also useful in dealing with people from the ‘where there’s blame there’s a claim’ school of thought.

What other web design business insurance do I need?

Cyber insurance is your back-up if you host a client’s systems or website, organise the hosting, or access their network remotely. All run the risk of hackers finding a way in and stealing data. That can mean compensation claims, especially if personal data goes missing. You’re covered for legal costs, damages and investigations by the regulator.

Employers’ liability insurance covers your business for claims by staff or helpers that they suffered injury or illness because of the work they do for you. It’s a legal requirement for UK businesses with employees.

Office and property insurance covers the things in your office (furniture, fittings, fixed IT equipment etc) and portable insurance covers gadgets and technical equipment away from the office (laptops, tablets, projectors etc). If you’re not sure it’s worth insuring, add it all up – it’s probably worth more than you think.

Business interruption insurance means you can still work when your office is out of action. Be it flood, fire or flea infestation, you’re covered for the costs of setting up elsewhere and for any lost revenue in that time.

Directors’ and officers’ insurance covers your company bosses. Anyone from regulators to shareholders to competitors can accuse you of not running a business with due care. Worse, directors are personally liable for their actions. The good thing is this insurance covers your defence costs and any compensation you have to pay. So you can put away your chequebook.

Why choose us?

Good question.

The answer is - we really know about small business insurance. It’s all we do.

We have ‘advised sales’ status from the FCA, which means they trust us to offer tailored advice to customers (just on insurance though, we’re not life coaches). So, we won’t just give you a sales pitch. We’ll work hard to make sure you come away with exactly what you need, and nothing you don’t.

For us, it’s all about making things simple, human, and hassle-free.

We have a real office, with real people in it, who are ready to take your call. Or you can get a quote online. It’ll only take a few minutes.

There are lots of other reasons to choose us, but we won’t waffle on. We’ll just ask you to take a look at our customer feedback instead. (That should do it).