Software Consultant Liability Insurance in Massachusetts
Software consultant liability insurance is specialized errors and omissions (E&O) insurance for software professionals. The insurance generally covers errors in consultants’ work or advice.
Without insurance, consultants could be financially devastated if they make an error that causes extensive disruption. This tends to be the most appropriate E&O insurance for consultants in this field.
Consultants who operate as independent contractors may receive coverage from an employer that hires them, but they’re less likely to. Most consultants in these situations have to purchase their own E&O insurance.
What is software consultant liability insurance?
Software consultants in Massachusetts guide clients in many facets of software development, implementation, and usage, and each of these facets presents new ways that projects could go awry. Should a serious issue arise as a result of a consultant’s actions or advice, the consultant may be held financially liable for any negative outcome. Software consultant liability insurance may provide protection in this case.
Software consultant liability insurance is specialized errors and omissions (E&O) insurance for software professionals. The insurance generally covers errors in consultants’ work or advice.
Who in Massachusetts needs software consultant insurance?
Most software professionals in Massachusetts should consider software consultant insurance if they provide consulting services. This includes full-time consultants and professionals who moonlight.
Without insurance, consultants could be financially devastated if they make an error that causes extensive disruption. This tends to be the most appropriate E&O insurance for consultants in this field.
Get a Free Quote!
What sorts of errors does software consultant insurance cover?
Although the exact incidents that a particular policy covers are dependent upon that policy’s terms, most software consultant insurance policies protect against a variety of potential mistakes. Policies might provide coverage if a consultant makes errors such as the following:
- Coding error causes an application or website to crash
- Unidentified vulnerability is used to wage a successful online attack
- Application content infringes on another’s copyright
- Coffee spills on a client’s computer
An insurance agent who specializes in these policies can help consultants determine exactly what incidents a given policy will cover. For covered incidents, policies usually help pay court costs, attorney costs and settlements (up to a maximum limit).
Do employers’ policies give software consultants professional liability coverage?
Software consultants who work for an employer may have some professional liability coverage through their employer’s insurance policy. Whether professional liability coverage is afforded largely depends on the employer’s policy and the employment situation.
Consultants who are actual employees likely do receive at least some coverage from their employer, although the coverage may not be as much as they’d like. Additionally, any employer-provided coverage, in this case, is probably limited to work done for the employer — and unlikely to cover moonlighting or side gigs.
Consultants who operate as independent contractors may receive coverage from an employer that hires them, but they’re less likely to. Most consultants in these situations have to purchase their own E&O insurance.
In either situation, a knowledgeable insurance agent can help consultants make sure they have coverage for all of the work they do.
How much are premiums for software consultant liability policies?
The premiums that insurance companies charge for software consultant liability policies vary, as they’re based on a multitude of factors. A consultant’s employment situation, the scope of work and experience are just some of the details that can impact the cost.
The easiest way to find out how much coverage will cost in a given situation is to work with an independent insurance agent. Independent agents are able to compare customized quotes from several insurance companies.
How can consultants in Massachusetts get software consultant liability insurance?
For help finding software consultant liability insurance in Massachusetts, contact the independent insurance agents at Scotti Insurance Agency. Our agents are well-versed in E&O insurance, including in consultant-specific policies, and have the knowledge needed to get you a good policy.
